Some weeks ago the DC9 fleet was effectively grounded in a last ditch effort to cause a financial turnabout, and substituted for two South African registered BAE 146. That however too did not stop the bleed apparently and ever more dismal loadfactors seem to have scared off the joint venture partners from South Africa. It is understood that when they withdrew their planes the end game approached rapidly for EASA and the halt of operations finally confirmed this.
In particular the route to Juba has in recent weeks become substantially more competitive, after Kenya Airways finally entered the frame and commenced daily flights between Nairobi and the Southern Sudanese capital, and together with Jetlink – they are operating twice a day in fact on their modern CRJ200 jets – they will undoubtedly try to see off other competition to this highly profitable destination. The use of EASA’s outdated, worn and far from state of the art aircraft was surely one of the many reasons why B5 in the end operated with what some say barely 30 percent load factor while those using newer jets operate well near with full house on every departure. On the Juba route this development also serves notice to other operators with old equipment, which is expensive to maintain, and the coming weeks will tell the story if others presently operating in Kenya will follow EASA to the exit.
In a twist of sorts, a senior Kenya Airways manager – now taken to court by Jetlink together with KQ itself – made comments last week about B5 not going to operate, but in a mistaken belief seems to have packaged EASA with Jetlink, which in fact not only operates but has just added new routes, and now faces a court case over libel.
While we await the outcome of this case – some sources have indicated that KQ may wish to settle this out of court in view of the blunder by their employee – the aviation industry in Kenya is undoubtedly now facing a period of ‘survival for the financially fittest’, as Kenya Airways slug it out on the main routes between Nairobi and Mombasa, but of late also Nairobi to Kisumu, with Jetlink and Fly 540. Ever newer and ever lower fares, as reported yesterday when KQ launched a ‘stand by fare’ of 3.000 Kenya Shillings (1 US Dollar is worth about 80 Kenya Shillings) one way between Nairobi and Mombasa, inclusive of all taxes, make operations now only viable when combined with high loadfactors, and the next few months will let aviation observers and the general public know who has the fortitude of deep pockets and high loads and who else might have to face the inevitable and join EASA in the history books of Kenyan aviation. Watch this space for the very latest information on aviation developments in Eastern Africa and the Indian Ocean region.
Courtesy Wolfganghthome's Blog
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