The United Arab Emirates' flagship carrier Etihad said it lost $1.87 billion in 2016, blaming "one-off impairment charges and fuel hedging losses" for the massive loss.

The Abu Dhabi-based airline's loss comes during a tough time for the Gulf's long-haul carriers, as a diplomatic crisis with Qatar upended regional air routes and Trump administration's travel ban on six majority Muslim nations also hurt their business. Etihad's loss also comes as it re-evaluates its business plans following the January departure of CEO James Hogan.

He led an aggressive multi-year buying spree that saw the Mideast carrier snap up stakes in airlines from Europe to Australia. Etihad said the loss included a $1.06 billion charge on aircraft reflecting lower market values and a $808 million charge on certain assets and financial exposures to equity partners, mainly related to Alitalia and Air Berlin.