New fleet to save Kenya Airways funds

Kenya Airways

Kenya Airways

from MARIA MACHARA in Nairobi, Kenya

NAIROBI – KENYA Airways plans to save US$100 million (about Sh9 billion) in revenue in the next financial year.

The national air carrier’s Finance Director, Alex Mbugua, announced that possible strategies such as low maintenance costs would see the firm make some profits.

Mbugua also suggested purchasing new airplanes would provide an answer to their annual financial deficit.

“The new fleet is expected to save 20 percent in fuel efficiency and maintenance costs.

“The new airline will save US$100 million every year going forward and we expect benefits to start coming in from 2015-2016 financial year,” Mbugua said.

The challenges being experienced by Kenya Airways are synonymous with state owned flights as they always seek government bailouts or take loans from international lenders to boost their businesses.

Kenya Airways’ main African rival, South Africa Airways (SAA) faces similar challenges.

– CAJ News






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Posted by on Nov 26 2014. Filed under Aviation, Featured, Finance, Finance & Banking, Investing. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry

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