Adria Switzerland terminates PowdAir contract

GLOBAL AVIATION NEWS

SAA sold

South Africa agreed to sell a majority stake in the country’s grounded national carrier to a local jet-leasing company and private-equity firm, ridding the government of an entity that has long been a drain on state finances. A consortium comprised of Johannesburg-based Global Airways, which owns recently launched domestic airline Lift, and private-equity firm Harith General Partners will take a 51% shareholding in South African Airways (SAA), Public Enterprises Minister Pravin Gordhan said. The government will retain a minority stake. The grouping named Takatso will invest as much as 3.5 billion rand ($258 million) over the next three years, Lift co-founder, Gidon Novick, and Harith Chief Executive Officer, Tshepo Mahloele, said in an interview. “Government will have no further financial obligations to the company, outside of the existing liabilities that they will settle”, Novick said. He added, “Route networks we are still working on, and it will be a phased roll-out based on demand re-emerging post Covid”. The sale of SAA comes about six weeks after the airline emerged from lengthy bankruptcy proceedings, having reduced its workforce by almost 80% and cut liabilities to about 2.6 billion rand. The next challenge is to resume international flights, though South Africa remains cut off from much of the world due to pandemic travel restrictions. A longer-term goal is to list the carrier on a stock exchange, Gordhan said. In the meantime, the government will retain special voting rights to ensure the airline remains in the country, among other national priorities. The deal represents a triumph of sorts for Gordhan, who has argued for the revival of SAA with the help of private investors while others were calling for it to be liquidated. While SAA is now “solvent and liquid,” business-rescue practitioners said when handing over the aircraft, subsidiaries including low cost arm Mango and maintenance firm SAA Technical remain under financial strain and are in the process of being recapitalized. The Department of Public Enterprises and the new consortium will together assess the future of the divisions as part of the due diliegence process, Gordhan said.
Source: Bloomberg

Adria Switzerland terminates PowdAir contract

NEWS FLASH

Adria Airways' Swiss subsidiary, Adria Airways Switzerland, has terminated a contract with start-up PowdAir for the 2017/18 winter season. Starting this December, Adria Switzerland was to provide a Saab 2000 aircraft and crew to fly twice daily from Sion Airport in the Valais region of Switzerland to London City Airport, as well as three times daily to Zurich. However, Christian Schneider, Adria Airways Switzerland's Chief Commercial Officer, told "Aero Telegraph", "We can confirm that the cooperation with PowdAir will be terminated and that we will not carry out flights on PowdAir's behalf". Last week, the Swiss airline said it would shift its focus away from scheduled flights to the ACMI (aircraft, crew, maintenance and insurance lease) business and shrink its fleet by returning all of its leased ATR turboprops.

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Anonymous10:48
But the Powdair contract was an ACMI deal, it must have been a really bad one.
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Anonymous11:22
Mess
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Anonymous11:38
Ne vidim razlog da se prati desavanje u Svajcarskoj. 4K ako bude kupovala na Balkanu onda OK ovako je besmisleno. Adria je vec napravila zbrku sa angazovanjem na Baltiku koje je kratko trajalo i zavrsilo se njihovim kreditom.
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Anonymous11:58
Iz lošeg u gore.

Treba to pratiti da se vidi što radi 4K i kakav kaos radi. Jer nije ovo kraj njihovom shopingu. Bit će toga i u regiji. I bit će i ovdje kaotično.
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Unknown16:30
Pokušavam da pronađem smisao ili bar neki trag strategije 4K i njihovog poslovanja. Siguran sam da rade ad hoc. Kao da strateške odluke donose nadglasavanjem na sedmičnim sastancima kolegijuma. Malo prevagne jedna strategija, već za 15-ak dana druga, a sledećeg meseca treća - koja nema nikakve veze sa prethodne dve. Verujem da će Lufthansa da uzme stvari u svoje ruke. U suprotnom, Adriji se loše piše.
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Adria Switzerland terminates PowdAir contract

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