お互い仇同士だ。

English Translation

They are bitter enemies.

Is 仇 properly きゅう, あだ​, or かたき?

EDICT has two variants:

仇同士 [かたきどうし] (n) mutual enemies
仇同士 [てきどうし] (ik) (n) mutual enemies

The (ik) marker means “irregular kana usage”, so I guess that means that かたき is the more common variant.