BWIA, the ill fated and poorly managed Caribbean
airline carrier have been granted a three-month reprieve to help save the company from liquidation. The company has recently faced losing the majority of its eight aircrafts because of spiraling debt.
In light of the situation Caribbean Tourism Organisation Secretary General Jean Holder, amongst other leading voices in the Caribbean has called, once again, for the creation of one regional airline.
International Lease Finance Corp. seized two of BWIA`s airlines planes in Miami early last week. It also threatened to appropriate five more because the company owed in the region of $5 million, officials said.
Negotiations with the government of Trinidad and Tobago, who are minority share holders of the previously state-owned airline, settled an agreement to pay off the debt, a government spokesperson said.
In April, Trinidad had agreed to loan BWIA $18 million to pay off debts, on the condition the airline make some administrative changes. However, owing to none compliance the offer was rejected.
To save costs, the airline is considering consolidating with Antigua-based LIAT, which travels solely between islands, but details haven`t been announced.
Government Attempt to Save BWIA