in Route Planning & Tourism

Arik Air drops London and Johannesburg routes

Posted 15 February 2017 · Add Comment

Having assumed control of the airline late last week, the Asset Management Corporation of Nigeria (AMCON) said Arik Air requires over NGN10 billion naira (USD31.7 million at the official bank rate) for it to resume full and uninterrupted operations, reports ch-aviation.

The state-owned firm's Head of the Corporate Communications, Jude Nwauzor, said in a statement that the “mess” met on ground was actually greater than anticipated. 

“It appears that unlike previously recorded, Arik has debts in excess of NGN300 billion (USD953 billion at the official bank rate), especially with some banks, excluding fuel suppliers, lessors and maintenance companies," he said adding that all creditors' claims will be addressed in due course. 

AMCON last week blamed Arik Air's persistent financial woes on its "bad corporate governance". 

Since moving into position, it says insurance cover for Arik's aircraft, which were to have expired on Sunday, 12 February, has been paid with its aircraft gradually resuming flights. The airline's New York JFK service was suspended this past week.

The decision has since been taken to suspend the carrier's flights to London Heathrow and Johannesburg O.R. Tambo in favor of focusing on the West African market. 

”The strategic business decision is meant to realign our operations and refocus on satisfying our domestic and West Africa and other international passengers," Nwauzor added. “It will also present Arik with excellent opportunity to engage and discuss with creditors who have become restive since the intervention and have also understandably exhausted their patience due to non-payment of accumulated debt and non-performance on services and contracts.”

* required field

Post a comment

Other Stories
Advertisement
Latest News

Gulfstream G500 on schedule for certification

Gulfstream Aerospace G500 flight-test programme is making significant progress toward the aircraft's anticipated 2017 certification by the Federal Aviation Administration (FAA).

ASKY to add nonstop service between Lomé and Johannesburg

ASKY is to add a new nonstop service between Lomé and Johannesburg effective 8 April 2017.

UK government restrict electronic items on flights from Egypt and Tunisia

The UK government has announced changes to aviation security measures on selected inbound flights to the UK that restrict the size of electronic items that may be carried by passengers in the cabin.

Zimbabwe seeks Chinese funding for Harare Intl. Airport upgrade and expansion

Zimbabwe has approached the Chinese Import Export Bank (Exim) asking for an undisclosed loan amount to fund the planned upgrading and expansion of the Harare International Airport. By Oscar Nkala

Astral Aerial Solutions wins 2017 IATA Air Cargo Innovation award

The International Air Transport Association (IATA) has announced that Kenya based Astral Aerial Solutions is the recipient of the IATA Air Cargo Innovation Award for 2017, for the company's Unmanned Aircraft System (UAS) Traffic

Yahsat enters long-term partnership with X SAT FZE

Yahsat has started a long-term strategic partnership with UAE communications solutions company X SAT FZE. Under the agreement, X SAT is committed to capacity on Yahsat's upcoming Ka-band satellite, Al Yah 3, to be launched later this

EBACE17 SK0103240517
See us at
Ethiopian AA BT2303130417EBACE17 BT0103240517GroundHandling BT0303280917Aviation Festival BT25114617