Skywise reacts to Mango expansion plans
by SAVIOUS KWINIKA
JOHANNESBURG – SKYWISE, the low-cost airliner, has urged South African Airways (SAA) and Mango Airlines to focus on reducing domestic routes instead of embarking on expansion.
The company argued this would enhance competitiveness in the sector.
J Malik, Co-Chairperson of Skywise, said the company viewed the current arrangement involving SAA and Mango as a “sibling rivalry where one is having all the parental resources.”
Malik said reducing their domestic presence will enable government to direct substantial funds to other, more beneficial areas.
At the same time the stressed South African tax payer would at last be relieved of the burden of having to subsidize a failing enterprise.
“Private airlines entail personal risk on the part of entrepreneurs and investors. Therefore private airlines like Skywise will do their best to ensure, not only the survival, but also the viability and progressive profitability of the business,” said Tabassum Qadir, Co-Chairperson.
Recently, Mango announced plans to expand its regional routes and remain the fastest-growing low-cost carrier in Africa to operate with the lowest cost base.
Mango, a 100 percent subsidiary of loss-making SAA, operates with a cost base that is 50 percent lower than SAA’s main fleet.
– CAJ News
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