- Airline gets boost ahead of Yuletide season
This is just as the Asset Management Corporation of Nigeria (AMCON) plans to receive an additional two aircraft expected to return from C-checks in the next few weeks – one at the end of the year, and another in January.
Over the last two years the current management has been working hard to improve the number of serviceable aircraft in the airline’ s fleet. The efforts are yielding results.
The Arik fleet are nearly mid – life and such require major overhaul of engines, landing gear, etc. Unfortunately, Arik in addition to being over burdened by debts had no reserves. The company was simply in a fix. The significant work done to date has therefore been the result of prudent management of resources and the support of Asset Management Corporation of Nigeria (AMCON).
Since the current management took over the airline operation its Earnings Before Interest, Taxes, Depreciation and Amortization (EBITDA) is positive, customers’ confidence has been restored On Time Performance (OTP) is over 70% – from as low as 30%; load factors on domestic routes are over 80%, flight cancellations are down to less than 1% from over 40%, Salaries are paid as at when due, pensions are being remitted, all current obligations are being met and the company is prepared for AMCON exit.
The Boeing 737-800 had been in Malta with Lufthansa Technik AG since 2015 before the current management came on board, and its return is a huge testimony of the achievements of the current management due to the high cost of C check of as a result of extended lay over.
The Chief Executive Officer of Arik, Capt. Roy Ilegbodu said: “We are pleased to announce the return of some of our airplanes, following positive resolution of our outstanding debts with African Export Import Bank (AFREXIM) and strong support from Lufthansa Technik AG.
“We are aware that our services are critical to numerous travelers in this festive season, and we are ready for the challenges ahead with improved schedule in our domestic and regional network and excellent customer experience.”