PIA MD says only 4% passengers will be shared with Turkish Airlines
PIA defends proposed alliance between PIA and Turkish Airlines, says move will help regain lost passengers.
KARACHI:
Pakistan International Airlines (PIA) Managing Director Capt Mohammad Aijaz Haroon has defended the proposed alliance between PIA and Turkish Airlines, saying PIA would be sharing only four per cent of its passengers with the Turkish carrier.
Haroon said as a result of the alliance PIA would regain its lost passengers who travel to Europe and America through Gulf airlines. Gulf carriers take away Pakistani passenger revenues of around Rs35 billion and if PIA succeeds in reclaiming only 10 per cent of the market, it would be earning Rs3.5 billion annually, he claimed.
“PIA operations will not shrink instead our operations will grow further with revenues,” he stressed. PIA passengers can take daily flights to 100 destinations with one stop-over at Istanbul, as PIA will fly daily flights to Istanbul from Karachi, Lahore and Islamabad.
With the increase in operations after the proposed agreement, PIA can utilise its present workforce, which is the highest in the world compared to the number of aircraft.
Replying to a question, the PIA MD said he has proposed a joint venture to the government and now it is up to the government what way it chooses. “It seems that Turkish Airlines has got green signal from its government. Let’s see when our government approves it.”
Equity injection needed
PIA has told the government that without equity injection, financial woes of the air carrier will continue. PIA can turn into a profitable organisation in the next four years if the government injects equity today.
Published in The Express Tribune, February 4th, 2011.
Pakistan International Airlines (PIA) Managing Director Capt Mohammad Aijaz Haroon has defended the proposed alliance between PIA and Turkish Airlines, saying PIA would be sharing only four per cent of its passengers with the Turkish carrier.
Haroon said as a result of the alliance PIA would regain its lost passengers who travel to Europe and America through Gulf airlines. Gulf carriers take away Pakistani passenger revenues of around Rs35 billion and if PIA succeeds in reclaiming only 10 per cent of the market, it would be earning Rs3.5 billion annually, he claimed.
“PIA operations will not shrink instead our operations will grow further with revenues,” he stressed. PIA passengers can take daily flights to 100 destinations with one stop-over at Istanbul, as PIA will fly daily flights to Istanbul from Karachi, Lahore and Islamabad.
With the increase in operations after the proposed agreement, PIA can utilise its present workforce, which is the highest in the world compared to the number of aircraft.
Replying to a question, the PIA MD said he has proposed a joint venture to the government and now it is up to the government what way it chooses. “It seems that Turkish Airlines has got green signal from its government. Let’s see when our government approves it.”
Equity injection needed
PIA has told the government that without equity injection, financial woes of the air carrier will continue. PIA can turn into a profitable organisation in the next four years if the government injects equity today.
Published in The Express Tribune, February 4th, 2011.