Arik Air: Aviation Minister soft pedals on legal threat

     

Nigeria’s Minister of Aviation, Princess Stella Oduah, has suspended her planned legal action against Arik Air over allegation that she demanded five per cent equity participation in the airline.
Mr Joe Obi, the Special Adviser on Media to the minister, disclosed this Monday in Abuja.
Obi said the minister decided to suspend legal action after a meeting with the Secretary to the Government of Federation (SGF), Sen. Anyim Pius Anyim, on Friday, Sept. 21.
Obi said the minister, who had directed her lawyers to seek legal redress over the allegation by the management of Arik Air, had decided to suspend actions till further notice in deference to the SGF.
He claimed that the SGF had given the airline a two-week ultimatum to “reconcile the debts it is owing the ministry and return with evidence of payment’’.
“We don’t want to disrespect the admonition of the SGF. We are holding on for now but that will also depend on the progress that will be reported in the next two weeks.
“The SGF has directed Arik Air to go to the ministry and the agencies to reconcile its debts and come back with confirmation of payment to him within two weeks.”
Mr Aniete Okon, the Vice Chairman of Arik Air, had told journalists in Lagos on September 20 that the airline was being punished for its refusal to accede to “the personal interest of the minister’’.
Responding to the allegation in a statement on September 21, the minister threatened to institute legal action against the airline over the “unfounded allegations against her.”
The statement said that a recent publication by the management of the airline, which claimed that the minister requested for five per cent equity from the airline, was designed to embarrass her.
It said that Arik Air owed the ministry N85.40 billion and stressed that Oduah had no stake in the company.
The statement added that the minister had never contemplated acquiring a stake in any airline and said that the time was ripe for Arik Air to change its mode of business to enable it resolve its financial crisis.
Courtesy pmnewsnigeria.com

As Arik returns to the skies

Nigeria's biggest airline Arik Air has announced that it would resume flight operations today after suspending services for three days.
On Thursday aviation workers under the aegis of Air Transport Service Senior Staff Association (ATSSSAN) and the National Union of Air transport Employees (NUATE) had disrupted the airline's domestic services over the debt it owes to the Federal Airports Authority of Nigeria (FAAN), prompting its management to suspend operations.
After a meeting with the Federal Government that was presided by the Secretary to the Federal Government Senator Anyim Pius Anyim in Abuja yesterday, the Managing Director /Vice President of Arik Air Chris Ndulue told newsmen in Lagos that the issue was amicably resolved as the aviation agencies assured that they would rein in the unions, which suspended their action on Friday, while the airline would resume operations.
"We have been able to resolve all the issues and we are happy to announce we are resuming operations tomorrow (today)," Ndulue said.
He also disclosed that another meeting was scheduled between the airline and the Federal Government and this would take place in the next two weeks to conclude the discussion that was started yesterday.

Ndulue said that there was no discussion on the payment of the debts the airline owe FAAN, which is disputably put at N7.07 billion by the agency.

"We did not discuss any payment plan. It was agreed that there was no real problem between the airline and FAAN.
We are happy to put what happened behind us. The agencies have pledged to control their workers. The meeting was all about reconciliation.
"What happened is part of the sacrifices we have to make for pioneering this kind of operation.
"It stunts growth but we know that to get where we are going takes time and endurance. We suffered disruption of our operations; we suffered losses.
On Friday during a press conference, the Managing Director of FAAN, George Uriesi, said that the agency and Arik Air had been talking on the payment of the debts and the talks had reached advanced stage before the unions disrupted that discussion by their action.
He noted, however, that the action of the workers has brought the debt issue to the fore and to the public knowledge.
"This is a little bit of distraction in the sense that we now have to deal with the crisis whereas we were progressing along a path towards a resolution as management."
Meanwhile, Arik Air has denied ever accusing the Minister of Aviation, Prince Stella Oduah, of requesting for five per cent stake in the airline.
Ndulue said that the airline never said any such thing and that there was nothing like that in the address he read to the media on Thursday.
"When I addressed you I read from a paper which contained all that I said. Go and read that document again and see whether there is anything like that there," Ndule challenged journalists.
Defending the debt owed by the airline, which made the Central Bank of Nigeria (CBN) give a directive that banks should no longer extend credit facility to the airline and others, the Arik Air Managing Director said that there was no way an airline could have about 23 new generation aircrafts operating many routes without being indebted, adding that shortlisting the airline among many other companies and individuals that should not be given loans by the banks might be an oversight by CBN.
The airline is reported to owe N85. 482 billion.
allafrica.com

Delta Airlines, Pink Planes and Breast Cancer

 

ATLANTA and NEW YORK - Delta Air Lines' eighth annual "Breast Cancer One" employee survivor charter takes flight for the fight today in advance of Delta's October fundraising efforts benefiting The Breast Cancer Research Foundation. In memory of BCRF Founder Evelyn Lauder, Delta's Boeing 767-400 signature 'pink plane' will be dedicated at New York's LaGuardia airport in a presentation attended by her husband, Leonard Lauder, BCRF Acting Chairman and Chairman Emeritus of The Estee Lauder Companies, as well as BCRF staff.
"Delta's distinctive pink plane first took flight in 2005 and has flown around the world to highlight and help raise awareness and funds for lifesaving research efforts," said Joanne Smith, senior vice president – In-Flight Service. "This year, we dedicate our pink plane to the memory of BCRF founder Evelyn Lauder. We continue to be inspired by her tireless commitment and determination in the fight to find a cure for breast cancer."
The pink plane also will be painted with a welcome message: "Thank You Delta Customers and Employees. Together We Have Raised $5 Million For the Fight Against Breast Cancer."
"The Breast Cancer Research Foundation has found it so rewarding to work with Delta because they set the bar high and share our commitment to stopping this terrible disease," said Myra Biblowit, President, BCRF. "Together, Evelyn and I led the Foundation from a small US-based organization to a dominant global funder of research that has raised over $380 million since its inception in 1993. Our progress to date is only possible thanks to the support of special partners like Delta Air Lines, its customers and its employees. Dedicating the pink plane to Evelyn in response to her dream to live in a world free of breast cancer is, by far, a unique expression that continues to reflect your committed support of BCRF's mission."
Delta's pink plane will fly from Atlanta's Hartsfield-Jackson International Airport to New York's LaGuardia Airport with more than 140 employee cancer survivors from 19 different departments in 35 locations around the world.
In addition to the pink plane, throughout October Delta's administrative building at its general offices will be illuminated in pink lighting in support of BCRF. Delta employees also will wear pink uniforms and sell pink products including pink lemonade and pink headsets onboard and in Delta Sky Clubs to raise awareness and support for breast cancer research. All proceeds benefit BCRF.
Courtesy www.eturbonews.com

Lufthansa to merge domestic routes with Germanwings

German flag-carrier Lufthansa has confirmed it will merge some domestic routes with subsidiary Germanwings in order to cut costs.
The move is designed to improve profits and fend off growing competition from low-cost carriers.

Under the proposals, flights within Germany and some areas of Europe, excluding those from hubs in Frankfurt and Munich, will be merged with existing low-cost airline Germanwings from January 1st, 2013.
The new service will carry over 18 million passengers in its first year, Lufthansa said.

Lufthansa, one of the largest airlines in Europe, carries just over 100 million passengers a year.

The decision to bundle its short-haul flights under the low-cost brand comes after union representatives agreed to begin a formal mediation procedure.
Unions had called a series of strikes over what they perceived to be job losses as the carrier.

Source: www.breakingtravelnews.com

Foreigners sue Nigerian Dana Air for negligence

LAGOS, Nigeria - Over 20 relatives of foreigners involved in the Dana Air ill-fated flight on June 3rd 2012 that killed all 153 passengers on board and 10 on the ground, have sued the airline in their different countries for negligence.
The Director-General of the Nigerian Civil Aviation Authority (NCAA), Dr. Harold Demuren, who disclosed this development to newsmen last week at the NCAA headquarters in Lagos, pointed out that the foreigners involved were from the United States, United Kingdom, China amongst other countries.
Dr. Demuren noted that some of the foreigners and some Nigerians had dragged Dana Air to court to press charges against the airline adding that until that was settled, the families could not be compensated.
Asked whether he knows the outcome of the litigation, Dr. Demuren declined to comment on it. He however, stressed that apart from the foreigners dragging the airline to court, Dana Airlines was expected to pay the sum total of $350m as compensation to the families of 153 victims onboard the airline noting that the amount of money to be paid excludes those who were killed on ground by the aircraft.
According to him,"the meeting we are holding today is about Dana Air, although as you know money cannot replace lives that were lost due to the crash, people have lost their loved ones. The law is very clear that we need to pay the money that is required."
Debunking some media reports, not Vanguard, that the airline was not adequately insured, Dr. Demuren insisted that the airline was adequately insured as at the time of the crash.
He, however, explained that only 62 families had been paid so far due to the stringent measures involved in assessing the funds stressing that there were multiple claims from some family members which dragged the process backward.
He said, "The aircraft was adequately covered by insurance and I can tell you that the whole money for the settlement of the families according to the law, is on ground, but we have to say it here that money cannot replace lives because so many people have lost their loved ones. Money is the smallest thing and the law is very clear on compensation.
"We had to do a lot of DNA tests to know who to pay to in case of multiple claims. It is very important for us to move forward. That was why we called Dana management, NAICOM and representatives of Lloyds Insurance Company."
Meanwhile, the Deputy Commissioner, Technical, National Insurance Commission (NAICOM), Mr. Ibrahim Hassan also affirmed the statement of the D-G, NCAA that Dana Airlines was adequately insured as at the time of the crash adding that they had been insured even before the said crash.
According to him, "30 per cent of the risk was domiciled in Nigeria by various insurance companies while Llyods of London bears the remaining 70 per cent risk.The issue of 70 per cent has already been resolved. You really have to carry out who the next-of-kin is. Again, some people have already gone to court to challenge the airline on the amount of money they are being paid.
"The compensations of those people who lost their lives and properties on ground have not even commenced. We should not sensationalise the issue, but be responsible. However, I can assure you that all the issues would be settled," Mr. Hassan added.

Source: allafrica.com