21 August, 2019

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SriLankan Airlines: Parliament Reveals UL Loss Is Over 100 Billion: A Few Comments

By Rajeewa Jayaweera –

Rajeewa Jayaweera

Rajeewa Jayaweera

Having read the article by Marlon Dale Ferreira published on 02 February 2015, I decided to make a few comments based on my own experience with the National Carrier spanning over a period of 16 years which I hope would help readers to put matters in a better perspective.

On the issue of “the entire country blaming the previous regime for milking the national airline by appointing many political stooges that have now gone on to take the airline basically to the cleaners”. Ferreira is correct in that political stooges were indeed appointed by the previous regime. On the issue of “milking the national airline”, every government since the airline’s inception are guilty of milking the airline. Suffice to state between 1994 and 1998 in the run up to privatization, the entire cabinet of Ministers were supposedly opposed to privatization excluding the then President and Finance Minister who wanted to be done with regular treasury hand outs. The main concern of those who opposed privatization was the anticipated loss of First Class travel. Ministers on officials travel were entitled to First Class travel. It was a common practice to have their ticket issued against payment by the relevant ministry, return it to the airline for a refund which was issued by way of MCOs in the name of the minister (not in the name of payee), purchase two Economy class tickets for the Minister and spouse and send the tickets to the Chairman who would oblige by upgrading both tickets for First Class travel on a ‘firm basis’. This is but a very small example of how Air Lanka was milked by till 1998. This practice was drastically reduced though not completely eliminated after management was taken over by Emirates. Sri Lanka did not have an ‘open skies’ policy until after privatization of Air Lanka. However several foreign carriers were granted traffic rights to Sri Lanka simply due to the carriers of those countries having local companies as General Sales Agents in Sri Lanka who were close to the Head of State of the day. In addition, more than one Head of State directed Air Lanka to appoint their cronies as General Sales Agents in foreign countries on terms unfavourable to the national carrier. Granting GSA contracts in South India in the early 1990s to a Trade Union Leader from the Hill Country resulting in the loss of millions if not billions is one such instance.

Srilankan airlineAir Lanka assisted by Singapore Airlines took to the skies on 01 September 1979. The Singaporeans lasted less than two years and their separation was acrimonious to that extent the two carriers were reciprocally banned from landing in Sri Lanka and Singapore. Air Lanka for some time carried Singapore bound passengers to Kuala Lumpur and sent to Singapore on MAS. During the short stint of SQ management, there was no ‘viable bottom line’. While the airline boosted Sri Lanka’s image abroad and became known for its legendary in-flight meals, cabin service, liberal serving of alcohol on board and lavish giveaways, the airline was heavily dependent on Treasury hand-outs.

Many senior employees did take up employment with Middle Eastern carriers. I myself was one of them. My departure had less to do with monetary gains but more to do with a disagreement with my expatriate immediate superior. Since I could not make my superior to leave, I had no other option but to leave myself. I hasten to add that I was able to obtain employment within two weeks of my disagreement due to the skills I acquired during Emirates management from 1998 till 2005 when I left. Many who left to join Middle Eastern carriers similar to myself acquired superior skills after the takeover of management by Emirates which enabled them to obtain lucrative employment elsewhere. Exceptions were Pilots, Cabin Crew and Ground Handling staff who are always in demand.

The ‘Gulf Carrier of Dubai’ was given an initial grant of USD 10 mil. by the Ruler to set up the airline and told not to come back for more. They started operations in 1985 (6 years after Air Lanka) with one leased Airbus A300 from PIA and two leased Boeing 727-200 from the Royal Family’s Air Wing. By 1994 they had a fleet of 18 aircraft. The secret of their success was the Ruler never appointed relatives, his minions, civil servants, ex-army generals nor businessmen to run the airline. It was handed over to a team of expatriates (mostly British) led by an Englishman named Morris Flanagen who I believe is still on the Board though in a non-Executive capacity. Meanwhile many locals have gradually taken up senior positions.

On the issue of domestic ‘air taxi’ flights, I must categorically state that it was originally the idea of Peter Hill, the onetime CEO appointed by Emirates. He personally visited London, Paris and Frankfurt in late 2002 and made presentations to key Agents. I was the SriLankan Airlines Manager in France at that time and I arranged a presentation at the prestigious St.James Club in Paris. It was attended by all the CEOs of key French Tour Operators including Kuoni France, Nouvelles Frontieres, Jettours and Asia to name a few. The concept was welcomed by those who attended and they all agreed to feature the product in their brochures commencing Winter 2003/4 (one year later). However Air Lanka’s perennial malaise overtook events. The original schedule was changed so many times that by the time Tour Operator brochures reached the market, the Air Taxi schedule did not match the arrival time of flights coming into Colombo from Europe. Subsequently the project was abandoned when the government withdrew permits for private flights after hostilities broke out between GoSL forces and LTTE. A second attempt was made some time in 2010/11. Certain destinations were meant to be a regular operation. However within a few months scheduled flights were abandoned and charter flights introduced. No Tour Operator will agree to use a program which has no consistency.

To conclude, a key error committed repeatedly by our leaders is in not appointing a Chief Executive Officer responsible for the day to day administration of the airline with the Chairman and Board of Directors responsible for policy with a clear demarcation of their respective roles. The only time such a situation prevailed at least for a short time was in 1987/88 when an American named John Flemming was appointed CEO and the Board of Directors had industry stalwarts such as DS Jayasundera and MTL Fernando who ensured that Fleming was permitted to function as a CEO with proper oversight. Chairmen, especially the likes of the last Chairman with or without executive powers has and will continue to undermine the CEO. It would be interesting to see how long it would be before the new Chairman starts receiving requests for excess baggage waivers, upgrades, free tickets and waiver of Tender procedures. In our culture, to expect a politically appointed Chairman to turn down such requests is farfetched unless the promised change in political culture becomes a reality.

*The writer worked for Air Lanka / SriLankan Airlines and Qatar Airways for a period of 20 years and held several Head Office and Overseas appointments based in Colombo, Muscat, Chennai, Paris, Dhaka and Frankfurt overlooking Yemen, South India, Benelux, Scandinavia, Southern Europe, Myanmar, Nepal and Maldives

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  • 5
    0

    The previous chairman was so powerful that everybody else was helpless including board members.

    One example is how he walked into a car sales show room at Kirullappone and drove away with a car that he liked and simply asked the board to ratify it. No tenders were called and no evaluation was done but the chairman got what he wanted.

    We all know how planes were diverted or delayed for personal benefit and also how it used to touch down in Dubai more often than not for personal reasons.

    I am hopeful that present chairman will clean up the mess but however will not be able to stop bleeding. Another year with a Rs 20bn loss could be expected even with low fuel prices.

    Some reasons for continued losses:

    .low yields
    .flying to unprofitable destinations such as Moscow due to political pressure
    .too many employees for a small fleet of less than 20 aircraft. Similar to CTB having 8 staff members for one bus!!
    .has not got the scale to compete with giants like Etihad and Qatar and Emirates. Airline needs scale to be competitive.
    .no collaboration with a strong foreign airline. Even a giant like Qantas tied up with Emirates recently
    .political interference at all levels
    .insufficient capital in the business and hence too much debt and struggling to service the debt
    .lease payments on new fleet and aircraft will be too high

    • 11
      0

      Where is Nishantha Wickramasinghe anyway?

      Has he done a Basil and left in the dark in a real hurry? If not we should impound his passport, no?

      Will we ever see this mother of all cronies along with his equally corrrupt son Dilshan at the Bribery Commission?

      Cheers!

    • 9
      0

      “We all know how planes were diverted or delayed for personal benefit and also how it used to touch down in Dubai more often than not for personal reasons”

      Remember an incident when Chaur Rajini was president, she diverted a Airlanka flight en-route to Dubai when she was returning from an official trip somewhere in Europe. The reason? She got a sudden urge for pol-sambol and could not endure the extra 5 hours wait till the flight touched down in colombo. So, the passengers with its passengers in tow had to be diverted to Dubai to satisfy the ‘queenly’ palate.

  • 2
    0

    Rajeewa Jayaweera –

    Thank you. Ir should be sink or swim.

    However, Air Lanka was to Serve the Politicians First, like the Government corporations.

    “Suffice to state between 1994 and 1998 in the run up to privatization, the entire cabinet of Ministers were supposedly opposed to privatization excluding the then President and Finance Minister who wanted to be done with regular treasury hand outs”

    “This practice was drastically reduced though not completely eliminated after management was taken over by Emirates. “

    “In addition, more than one Head of State directed Air Lanka to appoint their cronies as General Sales Agents in foreign countries on terms unfavourable to the national carrier. Granting GSA contracts in South India in the early 1990s to a Trade Union Leader from the Hill Country resulting in the loss of millions if not billions is one such instance.”

    and the Secret is.. ( amd Mahinda Rajapaksa was the worst)

    “The ‘Gulf Carrier of Dubai’ was given an initial grant of USD 10 mil. by the Ruler to set up the airline and told not to come back for more. They started operations in 1985 (6 years after Air Lanka) with one leased Airbus A300 from PIA and two leased Boeing 727-200 from the Royal Family’s Air Wing. By 1994 they had a fleet of 18 aircraft. The secret of their success was the Ruler never appointed relatives, his minions, civil servants, ex-army generals nor businessmen to run the airline. It was handed over to a team of expatriates (mostly British) led by an Englishman named Morris Flanagen who I believe is still on the Board though in a non-Executive capacity. Meanwhile many locals have gradually taken up senior positions.”

    • 0
      0

      I flew Sri Lankan a few days ago and found it very comfortable and welcoming. Unfortunately the plane was more than two thirds empty.
      A bit more aggressive advertising in other Countries, would be very helpful, in filling up the empty seats.

  • 8
    1

    Good show. This is widespread but may not be endemic. We may have imported it from India.

    I am glad you exposed this. You should write a book about your experiences and title it “How an airline should not be run”.

    You may be shot by the successors to white van Inc so make sure you are well insured so that your kith and kin have something to survive on.

    You seem to be one of the very few decent chaps around.

    Good Luck!

  • 4
    1

    Some very good suggestions from Mr Rajeewa Jayaweera. We hope those who call the shots at the top will read this.

  • 4
    0

    This reminds me what happened to the Hotel’s Corporation. Hotel’s Corporation was the fiefdom of the Politicians and for their families and cronies. Privatisation was vehemently opposed by the Politicians as all enjoyed the hospitality, free of charge except Ranil Wickremasinghe who always paid for whatever services he enjoyed promptly.

  • 3
    0

    Rajiva,

    Your last sentence sums it all up. Can we change our culture – the answer is a resounding no.

    All top appointments are politically motivated, mates taking care of mates or appointed on nepotistic lines. The thrice blessed country is true for those who wield political power and the Thero Mahanayakayas who never engaged in any productive employment but for the rest of the populace this is indeed the thrice accursed country.

    • 0
      0

      I can only say “amen” to your comment.

  • 0
    0

    Below is an article on the similar topics and we seem to have several exposures but NO ONE IS TAKING ACTION ON THESE MATTERS. THAT IS THE TRAGEDY OF IT
    Please read this article – It is also about our airlines.
    [Edited out]

  • 3
    3

    QANTAS lost A$ 2.8 Billion just only last year.

    And it is the Airline which had the largest fleet of all new Boeing 747 in the world. all fully paid by the loyal Aussie Tax Payers, including even our own Dalits ,

    I billion Aussie is not a bad loss considering,the handy job of the current PM ‘s ISGA partner, who destroyed the whole Airlanka Fleet on the ground, with a few dozen innocent Japanese tourists. sitting inside.

    Pity these experts do not mention it.

    Boss of a few sweat shops in the Rag trade has no hope of giving our National Carrier any hope.

    But still better than Mustapha’s old Daddy, who would have considered even “dry flights” and Qatar like costumes.

    May I suggest the PM negotiate a financial deal with the LTTE London,now that they are totally affiliated with the UNP British Chapter..

    I mean British Diaspora recently bragged about them pumping 20 Billion Pounds to the Pommy Economy.

    That is more than 50 Billion Aussie.

    Even just 1 % would be a little compensation for the dastardly act on innocent Tourists.

    And it can be part of the deal when Exc PM Ranil hand over the North to Sambandan in the coming Sinhala New Year.

    • 7
      0

      “But still better than Mustapha’s old Daddy, who would have considered even “dry flights” and Qatar like costumes.”

      Paisa and the dada are not much concerned about an Islamic image for the airline. They couldn’t care less whether the hostesses were in hijab or wore grass skirts like the Polynesians. All they want is some means of making ill-gotten money at any expense. And what better chance than dada being made chairman of the now-bankrupt airline. They can still have their perks and blame it on mismanagement of the previous regime/s and continue with their familial rip-off of the state coffers.

    • 0
      0

      Sumanasekeram the flag bearer for the Rajapakses is making excuses his masters again, all remarkably with a straight face. When the airline remained with the Emirates management, it had the appearance of being well run and I believe they were sacked because they would not unbook passengers to make way for the Rajapakse entourage on an occasion. And, surprise, surprise a Rajapakse relative, with apparently no qualifications was appointed the head. I am amazed the losses were only Rs.100 Billion. I travelled Colombo to London on 23rd December on SriLankan and the service that was usually excellent, was really atrocious this time. Also, midway, the flight ran out of hot water and we had not hot drinks.

  • 9
    2

    Coming colours no good Machan. Already they are appointing their own catcher as Chairman of srilankan airlines. No proper qualifications only political and other connexions. YahaPaalanya now becoming YahaluPaalanaya.

  • 2
    0

    `a key error committed repeatedly by our leaders is in not appointing a Chief Executive Officer responsible for the day to day administration of the airline’

    To the best of my knowledge, Govt appointed a CEO for the other Airline – Mihin Air – by the name of Sajin Waas Gunawardhana. Did it make any difference?

    • 3
      0

      There is a big difference between a professional CEO and a wharf clerk appointed as a CEO. No wonder Mihin Air was billions of Rs in debt and sucked up all the Tsunami funds. Unfortunately that was not enough and Mhin Air having reached the end of its tether, was then tethered to SLK Airlines, to be rescued by the tax payers or to service its debts. No wonder SLK airlines are also now going down the plug hole with MR family’s two useless clown CEOs heading these two white elephants.

  • 1
    2

    Sri Lankan Air is by far the worst airline I’ve ever traveled on, and I’ve traveled on many. Totally disorganized and somewhat dishonest! Unfortunately we booked on them for many of our flight for our honeymoon, big mistake!!
    Cancelled flights on us repeatedly, 5 hour delays on the rescheduled flights.
    On another occassion tried at 5 different Sri Lankkan offices to change a fight 4 couldnt do it?? The 5th took 45 mins to take us of the original flight and rebook us on the exact same filght?? After we pointed this out we waited another 20 mins while we were changed to a flight that left at 1.45 am (we were told it was at 3pm, but that was flying the other way). The lady didnt even have the integrity to tell us that she had the times wrong just gave us the print out of the ticket. We noticed it straight away and asked and she said matter of factly that was the only time the flight was avail. True, but at least be honest enough to let us know the original time we were told was a mistake and it was going to be 13 hours later.

    As we were one of the first to check in (we’d been waiting at the airport for 5 hours) they still couldnt organise us two seats together. We booked together, checked in together but had to sit apart on a flight, it was our honeymoon.

    Will never fly with them again no matter how much cheaper or more direct they are. They were dreadful!! Think twice before booking anything with them!

  • 7
    1

    I worked at AirLanka few years into its start up.. JRJ time.. total rort .. every week a million rupee cheque used to come from the central bank to top up.. Govt. Ministers tickets were issued on AirLanka paper n they were supposed to use it to the max .. ACS Hameed – foreign minsiter and Ronnie De Mel – Finance Minister used to get ther tickets issued with the London / New York sector on the Concorde ! thats 30 per cent more than the First class fare . .. to save 2 .hours flying time .. a begging bowl country .. whats a few hours ? .. ( curses are not good enough for these bastards while poor people used to scream in pain at the Cancer hospital in maharagama as the hospital used to not have money for pain killers ) ..and they also got their tickets endorsed to Swiss Air n rarely used Air – Lanka .. saying that Air-Lanka due to the dud planes leased … by Rakitha n JRJ catchers I guess .. was always late .. so the Govt. Ministers avoided UL .. as USUALLY LATE ! .. Close the airline down .. or give it away free .. total drain on the country.

  • 3
    0

    So I am still waiting to hear the cost of transporting MR family’s sports cars and private good to and fro, and where they were despatched to; the cost of luxury dog transport from Geneva for GR’s wife and the cost of employing a first class courier called a Pilot, and the cost of horse transport. No doubt the politicians used the airline as their domestic pick up van, as well as private limousines, for their annual or seasonal holiday jaunts for their families in Europe, China, and US. Only the CEO seconded from Emirates to run the joint venture had the guts to show MR his two fingers, and though MR fired him and the airline, the Ex CEO landed the top job in the airline. Well done Sir.

    Mr Jayaweera let us have some more of your anecdotes on these tasty morsels. BTW any idea how Mr Nishantha managed to get a Rs 4 million wrist watch from the Chairman’s paltry salary?

  • 1
    0

    During Rakhitha w’s time there were allegations that he was using the airline to ship chandeliers and electrical fittings for his nes house.
    Then there were stories about cut flowers being sent first class to Japan.

    • 6
      0

      “…..Then there were stories about cut flowers being sent first class to Japan”

      This was Premadasas son-in-law who was operating a private floral business in Colombo. To export his flowers fresh as the morning dew, 2 flights of the national carrier were scheduled to make the long trip to japan every week, at great cost to the state coffers. Mind you, the flights were almost empty except for the flower handlers who were personal friends of the business family anyway.But who cares? Today the erstwhile brother-in-law of the floral magnate is a minister in the new govt and he will now tell you that he knew nothing about this kolama. New bottle but old wine Putha. Drink to your hearts content all you Somapalas.

  • 0
    0

    It seems that the justification is it was done in the past so it’s not all bad that it was done recently…… 2 wrongs do not make it right! Either way transparency is the important thing submit accounts so that we can decide as it is running on public funds. The other thing is CEO advertise it in the papers, short listed candidates let us know who they are? Why not, the recruitment can be clear that the best available has been selected.

  • 1
    2

    Thank you Rajeewa Jayaweera & Marlon Fereira , two senior ex Air Lanka & Sri Lankan employees who has seen the ‘ SL Govt. Merry Go Round ‘ ( Air Line ) for over 20 years nose diving to worst financial situations.

    Gentlemen ,with your experience over 20 years, Can SL govt. ever bring this Airline back to profitability ?
    If the answer is ‘ yes ‘ the newly appointed management should take a responsibility to show some sorts of positive results at least in 5- 7 years time. ( Successful growth ) .

    If the answer is ‘ No ‘ the present govt. under the leadership of newly elected very loyal President Sirisena ( so as the public being influenced ) should be advised to shut the ‘ SL Govt. Merry Go Round ‘ .

    The question again ‘ WHO CAN DO IT ‘ ?
    Answer I suppose should come from the Hon. Minister Arjuna Ranatunga.

    Last paragraph, Rajeewa Jayaweera’s article ‘ Never changing SL Culture ‘
    of Excess Baggage , Up grading of seating class & requests and other Tender Contract matters as such , will not bring any healthy changes towards any business.

    • 4
      0

      “The question again ‘ WHO CAN DO IT ‘ ? Answer I suppose should come from the Hon. Minister Arjuna Ranatunga.”

      WRONG!Running an airline is not like setting a playing field for cricket. You need professional business-acumen and experience in the field. This appointment is purely political and bound to fail. Square pegs do NOT fit into round holes.

  • 0
    0

    Rajeewa Jayaweera: You have confirmed what Ferreira said viz. “… correct in that political stooges were indeed appointed by previous regimes” and you said: ” on the issue of milking of the national airline”. No. Both of you are absolutely “WRONG” as far as the period from 1979 to 1986 was concerned. Look at the Board of Directors appointed by the then President who directed to set up the National Airline – Air Lanka. Capt S.R.Wickramanayake – as Chairman/Managing Direcor, a highly experienced pilot, (a Sri Lankan)who was operational with the Singapore Airlines; Mr. G.V.P.Samarasinghe, Secretary to the Cabinet, Mr. V.C.Gunatilleka- Solicitor General, Mr. R.Coomaraswamy and Mr. D.C.Wijesekera – A Public Accountant and one time President of the Institute of the Chartered Accountnts. There were subsequent changes with the death of Mr. V.C.Coomaraswamy in whose place Mr.A.N.U.Jayawardane, a Lawyer and a Chairman/Managing Director of several commercial establishments; and with the resignation of Mr. V.C.Gunatilleke, Dr. W.M.Thilakaratne, Secretary to the Treasury were appointed.

    The above selection was not “Political” but very correct and suitable personnel from a varying disciplines. So you two have not taken the trouble to “differentiate” from 1979 to 1986 before making that sweeping statement.

    However coming back to the “Growth” of the National Carrier – Air Lanka from the inception, “Ratay Mahathaya” too, being an ex Air Lnaka employee conveniently forgot to make a reasonable assessment. He, being an ex employee from its inception should have known better. Of course he declares that his service was limited to few years. His statement : ” a cheque was sent “every week” from the Central Bank” was absolutely false and that displayed of his ignorance of the entire working of the airline. He should have known that the initial capital given by the Government was Rs. 500,000.00 and the subsequent injection of capital came from the General Treasury and not the Central Bank. What more could I say of his understanding of the operations of Ari Lanka.

    Then coming back to its GROWTH from 1979 to 1986. It started with a Management Agreement with Singapore Airlines, according to which a number of experienced personnel in the aviation industry were brought to work in Sri Lanka. As per the agreement all their salaries and benefits have to be paid by Air Lanka and their services were for period of only two years. The airline started with a “wet leased” Boring 707 aircraft and by 1986 it had Tri Stars to Boring 747s (Big Tops) Local staff to man to operations after taking over from the expatriates were recruited and trained in varying fields of operations from Pilots, Air Craft Engineers, Mechanics, Ground Handling personnel, Cabin Services etc. By 1984 it developed the capacity to do a “C” Check on a Tri Star Aircraft by the local staff under supervision. A “C” check means stripping the aircraft to the very borne and re-assembling after doing the maintenance work. You would be surprised, if I tell you, that a first batch of 20 Sri Lankan Aircraft Mechanics were hired on contract to work in Sudi Airlines. All initial technical personnel were trained in China Bay facility belonging to the Air Force and further given hands on experience in Air Lanka facility. It is too exhaustive to write all that in a comment like this.

    Of course, I agree with the entry of Emirates the National Carrier made good “commercial progress” and even paid taxes to the Treasury. After their departure it took a different turn. WHY? It was nothing but “POLITICAL BUNGLING” and making those “POLITICAL APPOINTMENTS” – placing “SQUARE PEGS IN ROUND HOLES”. From the present day events, the two whom I mentioned above viz. Mr Ferreira and Mr. Jayaweera are absolutely correct.

  • 1
    3

    Rajeewa – we expected the present govt. to appoint people like you with
    wide experience in airline management to head Sri Lankan airlines but it did not happen that way and the usual pattern of selecting one of the govt. stooges, took place with zero knowledge in aviation industry.

    Please keeping exposing as to how much Airlanka and Srilankan lost due to inefficient handling of the airlines by the managements from time to time and some airlines and General sales Agents took both airlines for a ride. The past and the present govts., still do not seem to understand that unlike other establishments,knowledge and experience are required to run an airline. They could appoint a chairman as a figure head, but the CEO and rest of the senior management staff should
    have administrative experience as there is stiff competition among the airlines to make profits. selection of profitable routes, timings, on time performance and proper agreements with other airlines, matter.

    Malaysian Airlines, one of the most Senior airlines in Far East operating for nearly 40 years,recently appointed an experienced foreigner as their head to restructure the airline as they were not making profits. The First Chairman of Air Lanka Capt. Rakitha Wicremanayake took office with the assurance from the then President JRJ that he is answerable only to the President and ministers nor the parliamentarians did not interfere with him and referral letters for jobs were put in the waste paper basket in Chairman’s office and he showed profits and of cause he was assisted by airline experts from overseas, stationed in Colombo and the airline won awards for best inflight services for a no. of years with smart cabin crew looking after the passengers on board. The rot took place when contractual agreements with other airlines and major Agents were terminated and govts.in power took over the working of the airline and appointed novices as Chairmen,directors and senior management staff, resulting in heavy losses in millions of Dollars, So Rajeewa , keep hammering until the Govt.realises that running an airline is not like running a bus company

  • 0
    0

    Intersting to note that Premadasa catcher Udayanga was appointed ambassador to Moscow and he became the Sri Lankan GSA for Moscow as well.

    What was the Sri Lankan board doing?

  • 0
    0

    Lots of grave digging but no constructive comments on how to make airline profitable! All Lankans know our political culture, interference in all affairs for narrow parochial benefits even if that means an upgrade to business class or use the full fare ticket for spouse travel. But are the new board is of capable people. Except Chairman all other were in previous boards and airline bled money even then except in 2001 to 2004. In 2001/02 thanks to the insuring of aircraft at 110% of the actual value, for the planes destroyed at CAK airline got more money which became profit. 2003/04 airline made $ 56 Million and ever since then lost money. Of course not 32 Billion rupees as in 2013/14 financial year.

    If the airline is to make profits which it can given that ATF per gallon has dropped from $ 3.00 to about $ 1.65 you need pragmatic thinking people who know the aviation field in the board so that they can lead and create vision for others. All you need is to work on what the winning strategies are and implement those. But are the current lot with new board capable of doing that?

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