Strategic changes at Gulf Air?

Gulf Air has scrapped a longer-term agreement to lease four wide-body aircraft, only weeks after the deal was announced. Bahrain’s national carrier will cancel its deal to continue to lease four long-range B777-300ER aircraft from Indian carrier Jet Airways after just six months. [1755 words]

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This report contains the following subheadings:

• Expansion turns to (temporary?) contraction
• ...but some expansion on selected routes will occur
• Break-even by 2010? Now a receding possibility
• Yields now under pressure
• Ongoing cost discipline in 2009
• Two new finance facilities
• New maintenance arrangements with Singapore Airlines Affiliate