The management of Aero has announced indefinite suspension of the its operations.
In a statement issued in Lagos today and signed by the management, the airline directs all the staff directly and indirectly involved in providing services to “effectively proceed on indefinite leave of absence during the period of non-services.”
The airline said the development was part of the strategic business realignment to reposition the airline and return it to the part of profitability.
“This business decision, which is a result of the current economic situation in the country, has forced some other airlines to suspend operation or out rightly pull out of Nigeria.
“Aero had faced grave challenges in the past six months which impacted on its business and by extension the scheduled services operations. These factors are both internal and external environmental factors that have made it difficult for the foremost airline to continue its scheduled services,” said the airline.
The airline said the impact of the external environment had been very harsh on the carrier’s operational performance, “hence management’s decision to suspend scheduled services operations indefinitely effective September 1, 2016 pending when the external opportunities and a robust sustainable and viable plan is in place for Aero Contractors to recommence its scheduled services.”
“We are aware of the impact this will have on our staff and our highly esteemed customers, hence we have initiated moves to ensure that we are able to return back to operations within the shortest possible time, offering reliable, safe and secure operations, which the airline is known for,” said the airline.
It added that the decision, which is a result of the current economic situation in the country, “has forced some other airlines to suspend operation or out rightly pull out of Nigeria.”
In the case of Aero, management said the airline had faced grave challenges in the past six months which impacted its business and by extension the scheduled services operations.
It stated that during the period in review, Aero, which was hitherto revered for its safety and timeliness among other virtues, witnessed epileptic operations and services to its clients.
The airline said the development was caused by non-alignment of fundamental issues of the business, which in some cases were frustrating and embarrassing to all parties including staff, customers and indeed all stakeholders.
“As part of its resolve to ensure the airline survived unlike most other carriers that experienced short life span in the country, Asset Management Corporation of Nigeria (AMCON) had appointed Mr. Adeniyi Adegbomire SAN as receiver manager on February 6, 2016, with the aim of turning the airline around.
“Since AMCON’s intervention in Aero Contractors in 2011, it has provided support for the airline to meet working capital requirements and fleet expansion. These were to ensure the airline remains a going concern providing services to various clients and the general public.”
However, the airline said the operating environment within and outside the airline “has hindered any possible progress especially in the last six months when the naira depreciated against the dollar thus making it impossible for the airline to achieve its operational targets.”