{"id":155542,"date":"2022-07-10T09:07:26","date_gmt":"2022-07-10T13:07:26","guid":{"rendered":"https:\/\/antiguanewsroom.com\/?p=155542"},"modified":"2022-07-10T09:07:26","modified_gmt":"2022-07-10T13:07:26","slug":"fresh-operating-changes-for-new-liat","status":"publish","type":"post","link":"https:\/\/antiguanewsroom.com\/fresh-operating-changes-for-new-liat\/","title":{"rendered":"Fresh operating changes for new LIAT"},"content":{"rendered":"
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The Antigua and Barbuda government says every territory to which the cash-strapped regional airline LIAT flies will be asked to purchase shares in the new company as efforts continue to revitalise the embattled airline.<\/p>

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A statement issued following the weekly Cabinet meeting, noted that three officials from the LIAT\u2019s administrative office held discussions with ministers on the future role and expansion plans for the airline.<\/p>\n

\u201cIn the proposed new LIAT, the salaries, wages and other emoluments will take up a smaller part of its cost of operations. Currently three aircraft are being utilized, as opposed to 10 aircraft before the collapse of LIAT,\u201d the statement noted.<\/p>

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It said that the schedule plan for the new LIAT is intended to reflect the commercial needs and fulfillment of the territories and that \u201cany destination requiring more flights than has been deemed necessary, would make a special payment to realize its ambition.<\/p>

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\u201cA minimum revenue guarantee (MRG) would be applied in order to determine what that cost would be. Every territory to which LIAT flies will be asked to purchase shares, so that the burdens and the benefits can be equitably shared.\u201d<\/p>\n

The statement said that the revenue earned by LIAT over these past 20 months \u201cshows a small operating profit\u201d.<\/p>

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The airline entered into court-appointed administration in July last year after a High Court \u00a0judge granted a petition for the airline\u2019s reorganisation. The Guyana-born chairman of BDO Antigua and Barbuda, Cleveland Seaforth, was appointed LIAT\u2019s administrator for the duration of proceedings.<\/p>\n

The airline is owned by the governments of Antigua and Barbuda, Barbados, Dominica and St Vincent and the Grenadines (SVG). Antigua and Barbuda Prime Minister Gaston Browne said previously that a decision had been taken that would allow Barbados and SVG to turn over their shares in LIAT to St. John\u2019s for one EC dollar (One EC dollar=US$0.37 cents) .<\/p>

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Last year, St. John\u2019s had put the cost of restructuring LIAT at EC$108 million of which 50 per cent will come from the Antiguan government with the remainder expected to come via other shareholder governments or even private investors.<\/p>

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Earlier this year, Prime Minister Browne appealed to Caribbean trade unions to re-think their positions regarding the latest offer made to laid-off workers of the airline.<\/p>\n

The Antigua and Barbuda government said it was providing $2 million dollars \u201cto meet partial satisfaction of the cash component of the compassionate pay-out\u201d to former local employees of the regional airline.<\/p>\n

Late last month, the Leeward Islands Airlines Pilots Association (LIALPA) said that terminated workers have been on the breadline since April 2020 and are in dire straits.<\/p>\n

The pilots said they hoped the shareholder governments would emulate the \u201ccommendable responsible leadership\u201d of the St. Lucia Prime Minister Phillip J. Pierre, who announced that his administration would be honouring the debt of the St Lucian workers of LIAT.<\/p>\n

Meanwhile, Antigua\u2019s Information Minister Melford Nicholas is defending the policy to seek financial assistance from countries wanting LIAT\u2019s services.<\/p>\n

\u201cIn the past, many states would have required and demanded certain flight schedules that made it uneconomic. I think, in this new arrangement, they will be proposing a minimal number of flight operations.<\/p>\n

\u201cAnd where member states would want to go beyond that, then they will be asked to supplement that operation with minimum rates guaranteed \u2013 much like the North American carriers would have done in the Caribbean,\u201d Nicholas told reporters in Antigua.<\/p>\n

\u201cI think, based on those discussions, we are satisfied that LIAT 2020 has a very good potential of rising from the ashes of LIAT 1974 Ltd, meeting and going beyond the expectations that currently exist for intra-regional travel,\u201d Nicholas said.<\/p>\n

\"\"<\/a><\/div>","protected":false},"excerpt":{"rendered":"

The Antigua and Barbuda government says every territory to which the cash-strapped regional airline LIAT flies will be asked to purchase shares in the new company as efforts continue to revitalise the embattled airline. A statement issued following the weekly Cabinet meeting, noted that three officials from the LIAT\u2019s administrative office held discussions with ministers […]<\/p>\n","protected":false},"author":3,"featured_media":153207,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[],"class_list":["post-155542","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news"],"yoast_head":"\nFresh operating changes for new LIAT - Antigua News Room<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/antiguanewsroom.com\/fresh-operating-changes-for-new-liat\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Fresh operating changes for new LIAT\" \/>\n<meta property=\"og:description\" content=\"The Antigua and Barbuda government says every territory to which the cash-strapped regional airline LIAT flies will be asked to purchase shares in the new company as efforts continue to revitalise the embattled airline. 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