SriLankan Airlines (UL, Colombo International) has reportedly racked up USD15.9 million in losses as a result of PIA's delays in taking receipt of two A330-300s. The aircraft are part of a July agreement wherein PIA - Pakistan International Airlines (PK, Islamabad International) said it would wet-lease three A330-300s from SriLankan for use by its "Premier" service brand.
PIA took delivery of 4R-ALN (cn 1604) in August and has since deployed it into service on Premier-branded services from Islamabad International and Lahore International to London Heathrow. The contract's two other A330s - 4R-ALL (cn 1564) and 4R-ALM (cn 1583) - were to have arrived before year-end.
According to airline sources quoted on the SriLanka Mirror news site, the delays relate to the Pakistanis' desire to lower the overall cost of the contract by converting it into a dry-lease arrangement. In August, PIA said each aircraft would operate for eleven block hours per day for a daily cost of USD88,000 or USD264,000 for all three aircraft. The Mirror report suggests that given these overheads, PIA has been unable to get the desired returns from its investment and has now sought talks with SriLankan Airlines CEO Suren Ratwatte to revise the contract.
SriLankan's board has instructed Ratwatte to find an amicable solution to the matter.
