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Tag: Aero

  • Cross River, Aero Airline begin flight partnership

    Cross River, Aero Airline begin flight partnership

    Cross River State Governor, Senator Bassey Otu has formally declared open the commencement of a renewed strategic partnership agreement entered by the state government with the management of Aero Contractors Airline to fly the air routes to and fro Abuja and Lagos using the state-owned aircrafts, named “Cally”, a Beoing 737.

    The formal operations under the renewed agreement started yesterday with the landing in Calabar, of one of the two aircrafts earlier purchased for the state by the immediate past Governor, Prof. Ben Ayade.

    The aircrafts are branded Cally and are operated by Aero but before now, had ceased operating due to some undisclosed reasons.

    The new administration led by Otu decided to address the issues that affected the earlier partnership agreement which was first entered into with Aero by the immediate past administration.

    Under the renewed strategic agreement as described by governor, the government wants to ensure that air travellers can easily travel into and out of Calabar to meet appointments instead of previous situation where flights into and out of Calabar were problematic and the air fares doubled the amount obtainable in similar routes across the country.

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    The governor, while welcoming the management of Aero Airline that landed the Margaret Ekpo International Airport, with the Cally Aircraft Boeing 737 expressed delight that the operations will cover the annual 32 days Christmas festival in the state that begins on December 1st to January 2nd of the new year.

    Otu commended his predecessor for the vision to position the state in the aviation industry by purchasing the two aircraft which the Aero management confirmed one was flying and the other not flying.

    He said his administration has come to ensure the two aircrafts are up and functional as well as expand the aircraft number by having three additional aircrafts in a near future.

     ”(It’s) not just the two aircrafts that you will be seeing; we have about three more aircrafts that will be joining them not too long from now. Calabar has been an international airport and we want to raise it to that standard,” he said.

    He thanked the officials of the aviation ministry, Federal Airports Authority of Nigeria (FAAN) and others that made it possible that flights will soon start landing in Calabar airport up to 9.pm.”They are restoring the lighting system and they are bringing Calabar airport to full functionality; So that it will actually function as an international airport,” he added.

    Otu said before now, it was a bit difficult to come into the state because of poor road condition, but “henceforth, you can freely fly into Calabar. I thank the management of Aero Contractors, our partners in the business”, adding that they have agreed to build a stronger partnership and to ensure it becomes a very viable business for Cross River State.

    The governor particularly welcomed fun seekers around the world to come to Calabar and enjoy the carnival and the entire 32 days Christmas festival starting from December 1.

    The governor also assured residents that the strategic partnership with Aero comes with opportunities for everyone in terms of employments and business expansion.

    The Managing Director of Aero Contractor, Capt Abdul Sanusi, said the company has a similar partnership agreement with the Rivers State Government and they are up to date in terms of payment, saying: so with Cross River State, there is no need for fear of loss or operations because Aero has the best record in Nigeria as the oldest airline operator in the country.

     ”We are into partnership to help the state and even help in developing a state-owned company. And our strategic partnership will go beyond the festive season. We will continue to service the route and build the traffic within the country and outside, into the neighbouring countries,” he said.

  • ‘Govt’s intervention in Arik, Aero kept over 3, 000 jobs’

    Federal Government’s intervention in Arik and Aero Contractors saved  over 3,000 jobs in the aviation industry, the Minister of Aviation, Hadi Sirika, said yesterday.

    He said the intervention also prevented the dearth of more aviation professionals and the two airlines are today still in operation, under receivership.

    He said to make the airspace safer,  the Federal Government, through the Nigerian Airspace Management Agency (NAMA), completed the Kano Tower Automated Air Traffic Management and Meteorological Systems, as well as the installation of the Instrument Landing Systems (ILS).

    Others, he said are the Category II (CAT II), Doppler Very Omnidirectional Range (DVORs), Distance Measuring Equipment (DMEs) at four airports; Lagos, Kano, Port Harcourt and Kaduna completed, while that of Minna, Jos, Yola, Maiduguri, Benin and Akure are still on-going and nearing completion.

    Sirika said about two years ago, the Nigerian Airspace Management Agency (NAMA)  installed CAT III Instrument Landing System in Lagos and Abuja, which has helped to improve operations during inclement weather conditions. Also, we have installed the Very High Frequency (VHF) radios for aerodrome and approach air-ground communication in 18 airports nationwide.

    He listed the airports to include Maiduguri, Enugu, Jos, Calabar, Yola, Ilorin, Sokoto, Lagos, Kano, Abuja, Port Harcourt, Ibadan, Zaria, Katsina, Owerri, Yola, Calabar and Kaduna.

    “We have installed the high power Very High Frequency (VHF) stand-alone radios in Lagos and Kano Area Control Centres (ACC) as backup for air – ground upper airways voice communication and also embarked on the deployment of Controller-Pilot-Data Link Communication (CPDLC) in Lagos and Kano to enhance communication in the oceanic region and the remote areas of the north,” he said.

    Sirika added that the commencement of Aeronautical Information Management Automation Project, which comprises a network of 26 VSAT facilities at all Nigerian airports, as well as Search and Rescue (S&R), with co-ordination, is domiciled in Lagos.

    He pointed out that this will enable the country to comply with the mandatory transition from Aeronautical Information Service (AIS) to Aeronautical Information Management (AIM), saying the government has also developed and published Performance-Based Navigation (PBN) Procedures  for 18 airports across the country and introduced Standard Instrument Departures (SIDs) and Standard Arrival Routes (STARs) at Lagos, Abuja, Kano and Port Harcourt as an improvement on the procedures.

    He said government’s goal is to complete many abandoned airports projects instead of embarking on new ones, saying President Buhari has already commissioned the Port Harcourt International Airport, Omagwa and the Nnamdi Azikiwe International Airport, Abuja. Passenger facilitation has since commenced at these airports, he stated.

    He  said: “This administration met the projects on ground, but Mr. President ensured that they were not abandoned. At present, Kano and Enugu airports are at advanced stages of completion.

    “We reconstructed Abuja runway and undertook isolated repair of the taxiway and apron, including complete remarking of the entire pavement and associated airfield lighting system. We streamlined various security screening points at the international airports in line with Executive Order on Ease of Doing Business.”

  • Smoke on Aero flight

    Aero Contractors yesterday reported an in-flight smoke  incident on its flight NG316 from Port-Harcout, enroute Lagos.

    In a statement, its Chief Executive Officer, Capt. Ado Sanusi, said the flight departed Port-Harcourt airport in Rivers State after it was cleared for departure at exactly 1608GMT, enroute Lagos, with 52 adults and one infant on board.

    He said: “At 1645 GMT about 75 Nautical miles to Lagos and cruising at 24,00ft, the cabin crew observed that the cabin was misty. This was reported to the Captain, who promptly announced to passengers accordingly but with firm assurances of safe landing in Lagos, stating that minutes after that announcement, normal descent was initiated into Lagos.”

    While descending, Capt. Sanusi said “a passenger went into the lavatory, after which the lavatory smoke detector alarm came on. The cabin crew again reported this development to the Captain

    They also contacted the air traffic control at exactly 1655GMT, requesting for emergency support services and proceeded to Lagos, which is the airport with the full complement of emergency support.

    The cabin crew, he stated, “ kept reassuring the passengers of their safety and also handed out wet towels to them as a precautionary measure. Aside from that, the Captain also announced to the passengers to be calm since the smoke in question did not present any irritation or discomfort.”

    The aircraft landed safely at 1703 GMT without any incident and the company engineers swung into action with the systems checks, and reported all normal, Sanusi said, adding that even though the incident has been reported to the authorities and preliminary reports suspecting that the smoke was from the baggage compartment.

    He said investigation into the incident is ongoing.

  • Arik, Aero failed corporate governance test, says AMCON

    Arik, Aero failed corporate governance test, says AMCON

    The Asset Management Corporation of Nigeria (AMCON) has criticised previous managers of Arik Air and Aero Contractors for negligence of corporate governance principles in running the companies.

    AMCON Executive Director, Eberechukwu Uneze, disclosed this at the new members induction ceremony organised by the Institute of Directors of Nigeria (IoD) in Lagos.

    AMCON recently took over Arik Air and Aero Contractors because of debts running into several billions of naira. The Federal High Court in Lagos has deferred rulings till May 15, 2017 on two preliminary objections stemming from the takeover of Arik Air Limited by the AMCON.

    Uneze said that good corporate governance principles must be instituted in companies for things to work properly.

    “Most companies fail not because of lack of finance, but because of poor corporate governance. It was lack of corporate governance that affected Arik Air operations. Aero Contractors was quite promising but it also had issues with corporate governance,” Uneze said.

    He alleged that the previous managers of both airlines did not make distinctions between personal lives and the companies, adding that good corporate governance should be imbibed for companies to thrive.

    “We need to draw the attention of inductees on the need to practise sound corporate governance in running their companies because it is at the heart of what companies should do,” he said.

    AMCON dissolved the boards of Arik Air and Aero Contractors and appointed managers to oversee the daily affairs of the airlines. The debt management company said the reason behind the takeover is to protect the brand heritage of the airline, maintaining that its intervention was in public interest to sustain and improve the “robust and premium quality service of the airline”

    AMCON said Arik Air would require over N10 billion cash injection before resuming full and uninterrupted operations on its regular domestic and international routes.

    The nation’s biggest airline was taken over by the Federal Government through AMCON over a N300 billion debt profile. According to the new management, only nine aircraft of the 30 in Arik’s fleet are operational. The remaining 21 are either grounded or overseas for C-check.

    It also said the airline became broke, unable to procure aviation fuel for the nine operational aircraft because dealers insisted on cash-and-carry basis. The management called for public understanding because flight schedules might be realigned based on the nine aircraft that are technically sound and ready for flight operations.

    Arik was also said to be owing its technical partners and in perpetual default in its lease payments and insurance premium, leading to regular and embarrassing squabbles with different business partners.

  • Ailing Aero Contractors sacks 60 per cent of workforce

    Ailing Aero Contractors sacks 60 per cent of workforce

    Aero Contractors  Airline, which is under the management of the Asset Management Corporation of Nigeria (AMCON), has sacked 60 per cent of its workforce.

    The News Agency of Nigeria (NAN) reports that letters of redundancy were issued to the affected employees during the week.

    Media Consultant to the airline, Mr Simon Tumba, who confirmed the development in a statement issued on Thursday in Lagos, said the workers would be paid their pension and gratuity.

    Tumba said the airline had been grappling with huge and unrealistic personnel cost as well as other operational challenges worsened by lack of enough aircraft to keep all the workers meaningfully engaged.

    “The issuance of notification of redundancy is a business decision that will ensure Aero’s survival.

    “The current situation where over a thousand people are basically not engaged due to lack of serviceable aircraft is not sustainable for the airline.

    “The huge monthly salary associated with a bloated workforce will eventually kill the airline, which is not the intention of the current government,” he said.

    According to him, Aero Contractors currently has aircraft-to-employee ratio of 1:500, which analysts believe is perhaps the worse in the history of global airline industry.

    Tumba said government’s intervention in Aero was to save it from total collapse therefore, all steps such as this (issuance of redundancy letters) to ensure its survival must be put into consideration to save the airline.

    He said :”This decision will immediately reduce the whooping operational cost, which has been stifling Aero; enable the management bring in more aircraft through savings from overheads and pay for C-checks.

    “It will also enable Aero have a more manageable and committed workforce in line with international best practices of 50 to 60 personnel to one aircraft unlike what obtains in Aero at the moment.”

    He, however, added that those in Maintenance Repair and Overhaul (MRO) and other essential staff in critical departments would not be affected.

    Tumba said Capt. Ado Sanusi, the Chief Executive Officer of Aero, had also assured the workers that they stand a chance of being recalled as soon as the airline increases the number of aircraft in its fleet in the near future.

    A part of the redundancy letter made available to NAN read:, “Following the operational challenges of Aero culminating in loss of business opportunities that adversely affected company finances vis-à-vis operations, we are constrained to place you under redundancy pending a possible future review.

    “This decision was communicated to the unions where their understanding was solicited in view of prevailing operational difficulties.

    “Whilst Aero appreciates your contribution to the company and continues to regard you as worthy ambassadors, we solicit your understanding as we struggle to stabilise operations and rebuild the company.”

    However, the National Union of Air Transport Employees (NUATE) and the Air Transport Senior Staff Services Association of Nigeria (ATSSSAN) , have kicked against the move by the airline.

    Mr Frances Akinjole, General Secretary, ATSSSAN, told NAN that a notification had been sent by the unions to the affected workers not to accept the “purported letter of redundancy “.

    “We are totally against it because in the first place, our members are still being owed salaries and we have not even negotiated the redundancy package.

    “If they go ahead with this move then the unions are prepared to face them headlong,” he said. (NAN)

  • AMCON takes over OAS Helicopters 

    AMCON takes over OAS Helicopters 

    Asset Management Corporation of Nigeria (AMCON) has taken over Odengene Air Shuttle Services (OAS) Helicopters in Lagos.

    The takeover came after a court order, according to the Spokesman of AMCON, Jude Nwauzor, on Tuesday. He did not give details on the takeover.

    It was however learnt that the AMCON management Tuesday sealed off the head office of the helicopter firm at Maryland in Lagos,

    The AMCON management is expected to appoint a receiver-manager.

    OAS Helicopters is among the 10 airlines that benefitted from the over N120 billion aviation intervention funds given a few years ago.

    The Order on the company’s office reads: “POSSESSION TAKEN TODAY 14/2/17 BY AMCON BY COURT ORDER ON SUIT NO. FHC/4CS/1139/2016.

    OAS Helicopters is the fourth airline to be taken over by AMCON in the last one year.

    AMCON last week took over Arik Air, following after Aero and Afrijet airlines.

  • Minister assures Aero of support

    Minister of State for Aviation Hadi Sirika has assured the nation’s troubled oldest carrier, Aero Contractors, of governmnent’s support.

    Sirika said he would get presidential approval to set up an Inter–Ministerial Committee to get to the root of the airline’s problems.

    The committee, he said, would ascertain who is not sincere between the workers and the Asset Management Corporation of Nigeria (AMCON) .

    He said in the interim, he would appeal to the management to re-open Aero offices and allow workers to return.

    Such arrangement, he said, would require the unions to  guarantee that the workers would not misbehave.

    Sirika said: “We have a very serious problem on our hands. It needs participation, understanding, sincerity. We have a fantastic brand in Aero. That brand is slowly being destroyed. That brand is about to be extinct and except we join hands and do something together, we may not be able to resolve the issue. The issue is not about you and me but about our children, who will inherit this from us.

    “Many people blame Aero but I don’t think so. Aero’s problems did not start with AMCON coming in. It started way back. The world is watching what we are going to do. The President is concerned, so are the unions and the workers. How do we return the brand to the air and not kill it? How do we revive Aero, retain all the workers and ensure that it continues to operate? There is no how we would sit down as government and allow people to lose their jobs or sit down and kill businesses. There is no difference between Indomie and Aero Contractor. They are both brands. We have to collectively proffer solution to Aero’s problems.Let us change Aero’s story and do something that will make Aero fly.”

  • Aero seeks case transfer for alleged bias by judge

    A firm, Aero Contractors Company of Nigeria Limited, has urged the Chief Judge (CJ) of the Federal High Court, Justice Ibrahim Auta, to transfer its case against Asset Management Corporation of Nigeria (AMCON) from Justice Mohammed Idris.

    In a petition to the CJ on May 4, Aero Contractors alleged that Justice Idris granted an order of interim injunction “without consideration to a pending judgment in the same suit before his court.”

    The firm asked the CJ to transfer the case file from the judge “to any other judge who will adjudicate on the matter without any form of bias” against it.

    The petition was signed by Aero Contractors’ chairperson, board of directors, Eniye Ambakederemo.

    Ambakederemo stated that a mortgage agreement between the firm and the defunct Oceanic Bank Plc suffered default which formed part of the debt inherited by AMCON from the bank upon its liquidation.

    He said: Attempts by AMCON to recover the debt led to an institution of a suit No: FHC/C/CS/07/2014 in AMCON vs. Aero and presided over by Justice Mohammed Idris of the Federal High Court, Lagos.

    “Later on, the matter was resolved amicably and the terms of settlement was entered as the judgment of the court on February 17, 2015 and pronounced upon by the judge.

    “By that judgment, AMCON acquired 60 percent of the shares of Aero while the remaining 40 percent shares were left for the legacy shareholders, which comprise the Ibru Family who are the original owners.”

    Ambakederemo added that the period for the payback of the judgment sum was fixed at 10 years commencing from the date of the judgment wherein Aero started servicing the judgment.

    Ambakederemo said on February 4, this year, whilst compliance to the judgment of Justice Idris of February 17, 2015 was ongoing, the judge granted an order of interim injunction in AMCON’s favour.

    This was in another case instituted by AMCON and a lawyer, Adeniyi Adegbonmire (SAN) against the Chairperson and three other Directors of the firm in suit No: FHC/L/Cs/146/2016 wherein AMCON alleged to have put Aero on receivership.

    Ambakederemo alleged: “The ex-parte interim injunction granted in favour of AMCON sprang beyond 14 days and went as far as beyond 60 days plus without a renewal or extension.

    “Thus when Aero’s lawyers sought a discharge of the order on May 17, 2016, the judge denied the firm the opportunity of the enlargement of time to set aside the ex parte interim injunction which contravened Order 26 Rules 11 and 12 of the rules of the Federal High Court.”

    The petitioner urged the CJ to investigate how an ex parte order was made “against me in my absence. Now I have difficulties presenting any case to discharge the order that was granted by listening only to AMCON, the order haven elapsed without renewal.”

    He continued: “From the enquiries I have made, without my prompting or application the judge can on his own set aside the order after 14 days.

    “Since AMCON obtained the ex parte interim order and the court has refused to hear my plea to set it aside, AMCON has used the order to perpetuate untold hardship against Aero.

    “At the moment, the fleet of Aero which was six aircraft has been reduced to three and unfortunately when the judge made the order of ex parte interim injunction, he did not make an order that AMCON should provide an undertaking as to damages.”

     

  • Aero, firm sign deal on Wifi for passengers

    As part of its comitment to provide world-class internet service experience, Spectranet 4G LTE has signed a Memorandum of Understanding (MoU) with Aero Contractors to provide free internet service to  passengers of the airline at the Murtala Muhammed Airport Terminal Two ( MMA2) in Lagos.

    Speaking at the ceremony at the weekend in Lagos, Spectranet Chief Executive Officer, David Venn, said the Spectranet brand is driven by innovation towards endless experience for consumers across all level, to  enable  them  connect to the internet, irrespective of their  location .

    He said the  choice of Aero was clear and deliberate, based on the strategic discovery of the strength of the airline’s  brand as a leading player in the air transport value chain .

    “Our partnership with Aero Contractors is a statement of the aspiration of Spectranet as a leading brand of ISP and we want to continue to scale up our performance, thus the choice of Aero contractors as a partner to give special experience to  passengers at the Murtala Mohammed Airport,” David said.

    While welcoming the Spectranet team,  Aero Contractors’ Chief Executive Officer, Captain Fola Akinkuotu, said it was exciting to partner with a brand, such as Spectranet 4GLTE, a brand with huge ambitions in the market.

    He praised the Spectranet 4G LTE team for the initiative and drive to contribute to the culture of excellence of Aero with the provision of its internet service offering.

    Captain Akinkuotu said: “We are driven by a culture of excellence and everything we do, from tangible to intangible, is anchored on excellence, so this relationship is a combination of a testimonial to the excellent nature of the Spectranet brand in the market as well as an endorsement of our culture of excellence.”

    He said though the service offering will be in Lagos,      he hoped it would grow with the brand to other markets as the customers of Aero Contractors are in every state of the federation.

    Assuring the Aero Contractors team on its plan to expand across the country, David Venn reiterated       that the firm’s presence is in Lagos, Abuja, Port Harcourt and Ibadan with plans at advanced stages to be in more cities of the country.

     

  • ‘Aero’s turnaround could save over N3.56b yearly’

    ‘Aero’s turnaround could save over N3.56b yearly’

    If Aero Airlines must keep afloat, its managers would need to put in place a turnaround strategy of reducing work force to 700 workers  from the existing 1, 453, investigation has revealed.

    Apart from cutting down on the work force by an estimated 51 per cent, sources hinted that the airline needs serious surgical intervention including  fleet enhancement to accommodate the  lease of eight aircraft and route expansion in Wet and Central African routes alongside some domestic routes.

    The Nation investigations also  revealed that failure on the part of  managers of the airline to carry out financial restructuring to ensure the carrier is able to pay its suppliers as and when due, may sound the death knell for the hitherto solid carrier.

    A source hinted that should the airline carry out the restructuring plan, the benefits will  begin to accrue within the next  year.

    Investigations also revealed that  Aero Airlines this year obtained a loan running into over N120million from the Asset Management Corporation of Nigeria (AMCON) to stop aircraft lessors from repossessing some aircraft from the carrier.

    Aero, investigation further revealed may not get additional loan from AMCON, without carrying out staff rationalisation of about 51 per cent.

    Currently, Aero operates two Boeing 737 and additional two Dash 8 aircraft with a staff strenght of 1, 453.