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ABU DHABI: February 01, 2017. Etihad Aviation Group has signed a US$100 million catering contract with Lufthansa German Airlines and an MoU with Lufthansa Technik (LHT) to cooperate in aircraft maintenance, repair and overhaul (MRO).

Etihad and Lufthansa agreementThe deal follows a December agreement with airberlin, in which Etihad Aviation Group holds a 29 per cent stake, for the wet-lease of 33 aircraft to the Lufthansa Group subsidiary Eurowings for six years from February 2017. Lufthansa Cargo markets the low-cost airline's cargo capacity.

Etihad and Lufthansa said they are also exploring "further cooperation" in freight operations, procurement and passenger services that Etihad Aviation Group president and CEO James Hogan (left of picture with Carsten Spohr) described as a "platform for a much wider strategic collaboration between our two organizations".

Noting that partnerships are key to Etihad's business strategy, Hogan added: "Our collaboration with one of the aviation industry's most established and recognized brands is undoubtedly the most significant non-equity partnership with an airline we have ever announced."

Lufthansa's LSG Sky Chefs four-year contract will provide catering services to Etihad in 16 cities in Europe, Asia and the Americas, while the MoU enables LHT to explore MRO synergies with Etihad Airways Engineering and other member airlines of the Etihad Aviation Group.

Lufthansa Group chairman and CEO Carsten Spohr said he welcomed the opportunity to increase cooperation with Etihad as it "fits perfectly the Lufthansa Group's global strategy for our passenger airlines and service companies".

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