News Summary: Etihad and Air France strike deal

The Associated Press

JET-SETTING: Rapidly expanding Gulf carrier Etihad Airways will jointly market some of its flights with Air France-KLM in what could be the beginning of a larger strategic alliance.

NEW ROUTES: European carriers have watched as Gulf airlines grow into formidable competitors, enticing long-haul passengers with efficient connections, relatively new planes and better amenities. The Air France-KLM deal could prove significant in that it shows a willingness by the company to work with a Gulf rival.

THE AGREEMENT: The deal for now covers codesharing on flights between Etihad's hub in the United Arab Emirates' capital Abu Dhabi and Amsterdam and Paris, as well as some connecting flights to European, Asian and Australian destinations.