Friday, April 19, 2013

■ NAMIBIA: Air Namibia allegedly tries to back out of A330 deal with Intrepid; Government served with $130million bill.

Air NamibiaThe Namibian press reports that the Government has been served with a Notice of default following national carrier Air Namibia's (SW) attempt at cancelling a USD130million deal signed last year for two Airbus A330-200s with US-based Intrepid Aviation, a privately held commercial aircraft lessor.

Air Namibia
Originally planned to have been used to replace the airline's Airbus A340-300s on flights to Europe, Air Namibia is understood to have changed its mind on the A330s, currently on the production line in Toulouse, France, preferring instead to lease "second-hand aircraft from elsewhere and at a cheaper cost." 

The development comes as a likely result of  the airline's revised business plan laid out to Government, Air Namibia's sole shareholder, last month as part of conditions to access a further USD120million bailout from the Fiscus.
'The Namibian Sun can exclusively reveal that high-level meetings took place this week with representatives of Intrepid Aviation, who jetted into the country to engage government and Air Namibia officials over the deal that has seemingly gone sour. The stalemate resulted from an attempt by Air Namibia's board of directors to cancel the agreement concluded last year with Intrepid, for which government had issued a hefty financial guarantee.'

Under the terms of the agreement signed last year, Intrepid was to lease two brand new Airbus A330-200 aircraft to Air Namibia for 12 years, effective from the end of this year.

No official response from Air Namibia, or the Namibian government, has been issued at this time.