Aero
Contractors Airlines has announced that it would suspend its
scheduled services
indefinitely from Thursday, September 1, 2016.
According to the
airline, the decision was as a result of the current economic situation in the
country, which had gravely affected its business over the past six months and
by extension, its scheduled services operations.
The airline management,
in a statement made available to The Point, however, said that suspending
operations was part of the strategic business realignment to reposition the
airline and return it to the part of profitability.
The factors responsible
for the suspension are internal and external environmental factors that have
made it difficult for the foremost airline to continue its scheduled services,”
the airline’s Chief Executive Officer, Capt. Fola Akinkuotu was quoted as
saying.
He said that during the
period in review, Aero witnessed epileptic operations and services to the
external publics that are caused by non-alignment of fundamental issue of the
business, which in some cases have been frustrating and embarrassing to all
parties including staff, customers and indeed all stakeholders.
Determined to ensure the
airline survived unlike some other carriers that experienced short life span in
the country, AMCON had earlier in February, appointed Mr. Adeniyi Adegbomire, a
Senior Advocate of Nigeria, as Receiver Manager, with the aim of turning the
airline around.
Since AMCON’s
intervention in Aero Contractors in 2011, it had provided support for the
airline to meet working capital requirements and fleet expansion.
These were to ensure the
airline remained a going concern, providing services to various clients and the
general public.
Unfortunately, Akinkuotu
said, the operating environment within and outside the airline have hindered
any possible progress, especially in the last six months when the Naira
depreciated against the dollar, thereby making it impossible for the airline to
achieve its operational targets.
With these realities,
coupled with protracted engagements with all relevant stakeholders, the
Management of Aero has strenuously reviewed and assessed options and
opportunities on ensuring viability, safety and sustainability of operations
during the period with a lot of sacrifices.
The impact of the
external environment has been very harsh on our operational performance, hence
management decision to suspend scheduled services operations indefinitely
effective September 1, 2016, pending when the external opportunities and a
robust sustainable and viable plan is in place for Aero Contractors to
recommence its scheduled services.
The implication of the
suspension of scheduled services operations extends to all staff directly and
indirectly involved in providing services as they are effectively to proceed on
indefinite leave of absence during the period of non-services,” Akinkuotu stated.
Nice and tidy.
Nice and tidy.
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