Etihad lands award for upgraded first class


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Etihad Airways's US$70 million (Dh257.1m) investment in a new first-class cabin last year has already begun to pay off with the Abu Dhabi airline winning one of the most coveted awards in commercial aviation: the best first class in the Skytrax 2010 World Airline Awards. Qatar Airways took the top spot for best business class and best Middle East airline, while Emirates Airline won best inflight entertainment for the sixth year in a row, as the Gulf's well-financed and state-backed carriers continued their climb up the rankings at the industry's largest awards event yesterday.

"We are exceptionally proud," said Peter Baumgartner, the chief commercial officer at the six-year old Etihad Airways, after receiving the award in Hamburg, Germany. Etihad won a trio of awards for best first-class catering, seat and overall product, demonstrating that its recent investments in service and equipment delivered results, he said. Its 208-centimetre-long, first-class suite includes leather upholstery from Poltrona Frau, which also outfits Ferrari sports cars, and a changing room with a full-length mirror and wash basin.

"We introduced things like an on-board food and beverage manager not just to create a talking point but to deliver service that is meaningful," Mr Baumgartner said. Skytrax, a UK-based consultancy, draws its results from an eight-month survey from more than 18 million air travellers. Its World Airline Awards are considered the top industry event. The results this year challenged the reign of the Asia-based carriers such as Singapore Airways and Cathay Pacific Airways, which dominated the top spots since 2007.

Etihad, Qatar Airways and Emirates are investing heavily in their products and services to gain market share for long-haul routes between Asia, Africa, Europe and the Americas, particularly in the lucrative business and first-class segments. In the affluent GCC market, premium travel is especially important, with the UAE alone being home to 79,000 millionaires, according to the latest wealth report by Merrill Lynch and Capgemini.

Although first and business-class travel declined during the global downturn as companies and individuals tightened their belts, both are recovering, Mr Baumgartner said. Qatar Airways's awards, which this year include best business-class catering and the Middle East "service excellence" award, helped it ascend to become the number three airline in the world, according to the survey. Etihad is now ranked as the sixth-best airline in the world, up from 23rd spot in 2007.

Edward Plaisted, the chairman of Skytrax, called Etihad's clean sweep in the first-class category a "fantastic result". Last year, Etihad won best business class in only its fifth year of operation. With its accolades in first and business classes, Etihad was targeting the two categories it has not yet won - best airline in the world and best economy cabin, Mr Baumgartner said. "We are aiming to be recognised as the best airline in the world and our ranking is trending toward that."

igale@thenational.ae

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Type 1 diabetes is a genetic and unavoidable condition, rather than the lifestyle-related type 2 diabetes.

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Being overweight or obese increases the chances of developing the more common type 2 diabetes.

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Year started: 2017

Based: Bahrain

Employees: 100-120

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Ten tax points to be aware of in 2026

1. Domestic VAT refund amendments: request your refund within five years

If a business does not apply for the refund on time, they lose their credit.

2. E-invoicing in the UAE

Businesses should continue preparing for the implementation of e-invoicing in the UAE, with 2026 a preparation and transition period ahead of phased mandatory adoption. 

3. More tax audits

Tax authorities are increasingly using data already available across multiple filings to identify audit risks. 

4. More beneficial VAT and excise tax penalty regime

Tax disputes are expected to become more frequent and more structured, with clearer administrative objection and appeal processes. The UAE has adopted a new penalty regime for VAT and excise disputes, which now mirrors the penalty regime for corporate tax.

5. Greater emphasis on statutory audit

There is a greater need for the accuracy of financial statements. The International Financial Reporting Standards standards need to be strictly adhered to and, as a result, the quality of the audits will need to increase.

6. Further transfer pricing enforcement

Transfer pricing enforcement, which refers to the practice of establishing prices for internal transactions between related entities, is expected to broaden in scope. The UAE will shortly open the possibility to negotiate advance pricing agreements, or essentially rulings for transfer pricing purposes. 

7. Limited time periods for audits

Recent amendments also introduce a default five-year limitation period for tax audits and assessments, subject to specific statutory exceptions. While the standard audit and assessment period is five years, this may be extended to up to 15 years in cases involving fraud or tax evasion. 

8. Pillar 2 implementation 

Many multinational groups will begin to feel the practical effect of the Domestic Minimum Top-Up Tax (DMTT), the UAE's implementation of the OECD’s global minimum tax under Pillar 2. While the rules apply for financial years starting on or after January 1, 2025, it is 2026 that marks the transition to an operational phase.

9. Reduced compliance obligations for imported goods and services

Businesses that apply the reverse-charge mechanism for VAT purposes in the UAE may benefit from reduced compliance obligations. 

10. Substance and CbC reporting focus

Tax authorities are expected to continue strengthening the enforcement of economic substance and Country-by-Country (CbC) reporting frameworks. In the UAE, these regimes are increasingly being used as risk-assessment tools, providing tax authorities with a comprehensive view of multinational groups’ global footprints and enabling them to assess whether profits are aligned with real economic activity. 

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The Evelyn Shakir Non-Fiction Award

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The George Ellenbogen Poetry Award

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Children/Young Adult

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Your rights as an employee

The government has taken an increasingly tough line against companies that fail to pay employees on time. Three years ago, the Cabinet passed a decree allowing the government to halt the granting of work permits to companies with wage backlogs.

The new measures passed by the Cabinet in 2016 were an update to the Wage Protection System, which is in place to track whether a company pays its employees on time or not.

If wages are 10 days late, the new measures kick in and the company is alerted it is in breach of labour rules. If wages remain unpaid for a total of 16 days, the authorities can cancel work permits, effectively shutting off operations. Fines of up to Dh5,000 per unpaid employee follow after 60 days.

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  • Melania Trump - personalised Anya Hindmarch handbag
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Thursday (All UAE kick-off times)

Sevilla v Real Betis (midnight)

Friday

Granada v Real Betis (9.30pm)

Valencia v Levante (midnight)

Saturday

Espanyol v Alaves (4pm)

Celta Vigo v Villarreal (7pm)

Leganes v Real Valladolid (9.30pm)

Mallorca v Barcelona (midnight)

Sunday

Atletic Bilbao v Atletico Madrid (4pm)

Real Madrid v Eibar (9.30pm)

Real Sociedad v Osasuna (midnight)

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Founders: Maaz Sheikh, Danny Bates

Based: Dubai, UAE

Sector: Entertainment/Streaming Video On Demand

Number of employees: 125

Investors/Investment amount: $125 million. Major investors include Starz/Lionsgate, State Street, SEQ and Delta Partners

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