Blame for SriLankan’s 15.9 m USD loss over PIA deal

Jan 03, 2017

Blame for SriLankan’s 15.9 m USD loss over PIA deal ^Featured

Parties to the failing agreement by SriLankan Airlines with Pakistan International Airlines are being blamed for the 15.9 million loss suffered so far by SriLankan Airlines, which has resulted in a 2.3 per cent increase in its total losses for the first quarter of 2016.

There is also suspicion about the agreement signed in an autocratic manner without following the due tender procedures.

Irregularities are alleged in granting PIA additional discounts other than the wet lease.

The PIA has said that SriLankan should grant more concession additionally.

There is a delay its installment payment for the wet leasing of the first A-330 in August and failure to take over other two aircraft under a dry lease agreement.

The board of directors of SriLankan has directed the CEO Suren Ratwatte to find an amicable solution to the present problem.

SL incurs over US$15.9 m loss over PIA deal