Arik Air, Nigeria's biggest airline, Thursday morning suspended all flight operations throughout the country. Although details are still sketchy, the airline is believed to have taken the action because of some differences between it and Federal Airports Authority of Nigeria (FAAN).
More details to follow...
The grounding of Arik is causing chaos as about the only way of getting to Port Harcourt today is by Aero, which naturally is totally overbooked . Flying on internal flights in Nigeria is a nightmare at present with the few carriers left constantly bumping passengers, delaying flights by anything up to 6 hours or cancelling altogether. Things are unlikely to improve until some business sense comes into play. Airlines like Arik are started by groups of individuals with enormous sums of money who have no clue how to run an airline, fail to employ enough people who do and then either ignore their advice or continue interfere with the day-to-day operations . That coupled with massive inefficiency and corruption ensure that the system cannot work.
The only alternative for the long-suffering passengers is to take their chances on Nigeria's appalling roads which are plagued by terrible condition, frequent roadblocks set up by corrupt policemen and local government officials on the take and gangs of armed robbers. To be fair, there are quite a few long distance coach operators who now have fairly modern, reliable, air-conditioned buses who in many cases take no longer than flights with all the delays and cancellations. Sadly, even though they're much cheaper, many people regard them with suspicion or don't want to travel just because of the risks I've just mentioned and the discomfort of getting shaken around over the awful roads.
There seems to be little or no short or medium solution, which in Africa's most populous (and one of its richest) nation is an absolute disgrace
Can't read the link it comes up as a 404 error (shame that can't happen with all Nigerian scams!)
However, if you click the link you can see that its title is "senate committee recommends arik air as national flag carrier". I nearly peed myself. Thanks for the laugh arik, you've filled up some empty hours reading and commenting about you.
is this a concerted effort to run Arik out of business? I hope not
Reading the article, and another from 'This Day' it was not made clear (to me anyway!) whether the outstanding loans were to be 'called in' or the intention was to refuse any extension of credit.
Anyway I see that Aero Contractors are also listed.
If Arik and Aero were put out of business then the whole of the Nigerian economy, such as it is, would fall apart.
Certainley since the collapse of Air Nigeria etc people in high places will have observed that Arik's cash flow has improved somewhat. Is it possible that some of those people are looking for what they see as their 'slice of the action' ?
Perhaps this is just a lot of 'posturing' rather than an end game.
"Perhaps this is just a lot of 'posturing' rather than an end game."
To my admittedly cynical mind........... Rumours have been circulating of a new National carrier funded by private investors for some time Senate nominates Arik for National carrier status then, Next day this wahala starts for Arik. I wonder if someone is trying to wrest control from the owners??
No need for fancy theories, the banks are getting worried about the massive loans that are not being repaid and the government is worried that they could easily end up having to bail out the entire banking sector.
So the banks are having to call time on the worst miscreants before it all collapses into disaster. The usual suspects are, of course, crying foul.
I expect Aric will probably make some token payments to the bank by not paying the staff and the fuel suppliers etc. In the end ARIK is a money pit and it can only end one way.
My goodness! I seem to remember the early 80s, when the air taxi business was booming. Nigeria Airways was on its way down and the roads were a total mess, so that we had guys with attache cases full of naira, still worth something then, lined up trying to book flights. That sort of fell off with the rise of all those local airlines, particularly Aero who moved from small aircraft to Dash 8s and then 737s, but now the air taxi market may return. Hmm... no Avgas, so no little bug-smashers, but how about Caravans, or the Cessna 406 or even the Cessna 441?
Very true indeed. If one asks for a 5% stake of an airline owing billions then that means they are already out of pocket to the tune of the 5 % of the billions owed. It is hardly likely that Arik will ever make any profit in the next 10 years. So does it make any sense to allege the ministers wanted a 5 % share? I think someone was out to change the focus of what this is all about! Sadly, a lot of airlines think that they can run without ever paying any bills, repaying the banks the loans they have, or even paying their workers. Why? Because every person thinks we MUST have an airline at any cost. I say shut down the airline, sell the assets and pay the debts. In a free market economy someone will come in and meet the demand, and having seen other airlines close down, may actually have a workable business plan, and more likely, PAY THEIR BILLS.
Stella caught with her fat fingers in the cookie tin??? He states "HOGWASHHHH!!!! "
At least he realizes Arik cannot pass a smell test in anyones kitchen!!
As of late it looks as if ARIK has taken the Primary School approach to the matter at hand. By barring the chap that spoke honestly...
Perhaps Arik is succeptable to the pressures of the Presses? Here's the latest quabble showing the classic schoolhouse actions of West Africa's Largest Airline (some of those blacklisted are deserving
Arik Air declares FAAN MD persona non-grata
Written by Shola Adekola Wednesday, 26 September 2012
THE face-off between the Federal Airports Authority of Nigeria (FAAN) and Arik Air over the latter’s indebtedness reached its peak on Tuesday, when the management of the airline blacklisted the Managing Director of the FAAN, Mr George Uriesi.
It will be recalled that workers union in the industry had, last week, disrupted operations of Arik Air at the General Aviation Terminal over the indebtedness of the airline to agencies of government totaling N18 billion.
Out of the amount, FAAN was owed N7.077 billion.
Following the protest by the unions, Arik announced the shutdown of its domestic operations.
Later, a meeting of all parties concerned were held at the instance of the Minister of Aviation, Mrs Stella Adaeze-Oduah, where peace was brokered.
On Friday, as a result of the truce, the chief executives of all the three major agencies, led by the Director-General of the Nigerian Civil Aviation Authority (NCAA), Dr Harold Demuren, addressed a press conference, announcing the truce, having discussed with leaders of the union on the need to let peace reign in the industry, while efforts were being made to recover debts owed by Arik, only for the industry to be awash today with the news of the blacklisting of the FAAN Managing Director,Uriesi.
In the list obtained on Tuesday, the personal-non grata list had Uriesi topping the list of 27 people with reasons for their being barred from patronising Arik “permanently.”
While various reasons were adduced by Arik Air for taking such decisions, it only adduced “management decision” for the blacklist, while it also gave September 24, 2012 as the effective date of Mr Uriesi’s blacklist.
When the news of the blacklist of the FAAN MD filtered through on Monday, an Arik official vehemently denied, saying “that will be petty on the part of any airline to have done.”
But the list, which eventually got to journalists, confirmed that indeed Arik Air management blacklisted the FAAN boss.
Another person on the list is one Mr Omojuwa J. Japhet, who the airline claimed to have lost his ipad “on our flight in June,12. Since then, he has resorted to posting damaging things about Arik Air on PPRuNe and some other social media sites. All efforts to pacify him proved abortive.”
Others were blacklisted for having engaged Arik staff in one brawl or another at the check-in counters for various reasons.
They included Mr Victor Ogbondah Elo; Lawal Lateef; Obayomi Osoba; Obiriki James; Guanah Raymos; Moulim Boubacal; Moussa Baba; Al-Laranma and one Ibrahim (a Somalian).
Others were Warsame Ahmed Adbukadir (Somalian); Abdelrahman Wala Eldin (Sudanese); Mohammed Murtada Awad Alla Hamad-Sudanese (Briton); Bakare Lanre; Miss Davies-Fasan Adesola; Ejilasisi Kudirat Abike; Musa Azeez-Arisekola; Adesugba Sijuade Adekoya and Oluseye Yakubu Idowu.
Also on the list were Olomiwe Peter Chukwu; Nwachukwu Austin; Orji Dniel Ikechukwu; Uzoh Himan; Adesanya David; Ikukoyi Olufemi Olukay and Grace Nkiruka Guobadia.