Airline News
Lessor ALC to lead Oman Air fleet renewal
September 11th 2015
Omani flag carrier, Muscat-based Oman Air, has selected Air Lease Corporation (ALC) to provide it with 14 new short- and long-haul aircraft to 2019, as part of its fleet renewal. The lease agreements cover three B737-800s, seven B737-8MAXs and one new B787-9 from ALC’s order book with Boeing. The order included one used B737-700 and two used B737-800s. Read More »
Oman Air’s chief financial officer, Japeen Shah, said the contracts would allow the carrier to maintain its expansion plans. The airline operates 38 aircraft, which it plans to increase to 57 by 2018 and to 70 aircraft by 2020. Oman Air does not publish net loss figures, but it said it has not been profitable in recent years. Its chief executive, previous airberlin chief commercial officer, Paul Gregorowitsch, has set a target date of year end-2017 to return to profitability. Oman Air hopes to establish Muscat, as Emirates Airline has in Dubai and Qatar Airways with Doha, as a transfer hub for east-west traffic. Passengers flying from Asia will have generally short connection times to Oman Air’s services to London, Paris, Frankfurt, Munich, Milan and Zurich.
“Yes, I admit we are getting state support, but it is because we are developing our infrastructure. Our airline is still young,” Gregorowitsch told media at the International Air Transport Association (IATA) annual general meeting in Miami in June. The Oman Air boss sided with his Gulf counterparts in the on-going European/U.S. vs. Gulf carriers Open Skies debate. “I think that some other governments, for instance in Europe, should look at the results of the combined efforts in the Middle East that are strengthening and supporting national carriers,” he said. “If you look at how Qatar, Emirates and Oman are developing their infrastructure by putting their hands together and investing in new airports and taking care of customers rather than enforcing fines on passengers, these things could actually make European competition fairer too.”
