Qatar Airways looks to acquire 10 percent stake of American Airlines

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This has been a long, bitter, politicized feud, with the Gulf carriers strongly refuting the subsidy claims and United States labor groups accusing them of killing American jobs.

A stake in American Airlines would add to Qatar Airways' investment portfolio.

And while Qatar, along with Emirates and Etihad, has invested in other carriers - Etihad, for example, has a large stake in ailing Alitalia Airlines - an investment in a US carrier likely will spark a strong response. They claim the airlines rapid expansion in the U.S.is hurting American jobs.

Earlier this month Saudi Arabia, the United Arab Emirates, Egypt and Bahrain cut ties with Qatar and blocked direct flights with the country.

"The proposed investment by Qatar Airways was not solicited by American Airlines and would in no way change the Company's Board composition, governance, management or strategic direction".

President Donald Trump has tweeted criticism of Qatar, despite the presence of a massive and strategic US military base within its borders. Foreign ownership laws also limit a foreign voting interest to 24.9pc, the Fort Worth, Texas-based airline said.

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Qatar Airways, American Airlines, IAG's British Airways, Iberia and LATAM are all members of the oneworld airline alliance.British Airways and Qatar Airways have a revenue-sharing partnership between their respective hubs in Doha and London, and Qatar Airways plans to launch flights to LATAM's base in Santiago, Chile.

American Airlines shares climbed 3% in response to news of the unsolicited approach from Qatar Airways, which said in a statement that it is planning to buy an initial stake of 4.75%. Qatar Airways' home and hub, Hamad International Airport, was this year also rated five-star by Skytrax, one of only five in the world to be given this recognition. Shares of American shot up 5.6 percent in pre-market trade.

Emirates is owned by the Investment Corporation of Dubai, the sovereign wealth fund of the United Arab Emirates (UAE), which posted a balance of $201 billion in June of previous year.

The airline's CEO, Akbar Al Baker, has accused the Trump administration of "putting fuel on [the] fire" of what he called a "blockade" on his country. Why the airline and its CEO chose now to announce their intention to invest in a US carrier is something of a mystery. American says it hasn't received such a request.

In July, Qatar Airways announced a deal to buy a 49 percent stake in Meridiana, Italy's second-biggest carrier.

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