Government clears BWIA debt

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Government clears BWIA debt
BY JUHEL BROWNE
Trinidad Guardian 05.22.03

Government=92s last-minute $31.25 million (US$5 million) letter of comfort=
=20
will clear BWIA=92s debt to International Leasing Finance Corporation, the=
=20
company it is leasing most of its aircraft from, Trade and Industry=20
Minister Kenneth Valley said yesterday. ILFC seized a BWIA Boeing 737-800=20
aircraft as it prepared to leave Miami International Airport on Tuesday=20
because of the debt owed by BWIA. =93The US$5 million is to pay off ILFC and=
=20
that=92s it. As I understand it, we are now current with them,=94 said=
 Valley,=20
during the tea break at yesterday=92s session of Parliament. Valley also=20
expects the seized aircraft to be back in service today. Some 103=20
passengers were left stranded in Miami when the aircraft was seized. BWIA=20
spokesman Clint Williams refused to comment on the status of the aircraft=20
yesterday evening though, adding the negotiations for its release were=20
ongoing. On Tuesday, Williams said BWIA expected the aircraft to back in=20
service before the end of the week, as Government, the airline and ILFC=20
were working out its release. As of last night, the aircraft remained in=
 Miami.

Government granted the $31.25 million to BWIA out of a proposed $116.8=20
million State loan for the airline. Government and BWIA have been=20
negotiating the pre-conditions for the loan, which include a review and=20
revision of the airline=92s management and compensation packages for all=20
employees. =93Although they have not completed all their conditions=85I=
 mean,=20
this was an emergency and we had to release the funds for them,=94 Valley=20
said. A member of Cabinet=92s Inter-Ministerial Committee appointed by Prime=
=20
Minister Patrick Manning to conduct a review of BWIA=92s operations, Valley=
=20
said he would be meeting with the airline=92s executive on Monday. Williams=
=20
did confirm all the affected passengers were scheduled to arrive in=20
Trinidad last night. He said the passengers were put on two separate=20
flights: BW 431, which was a direct flight from Miami; and BW 483, which=20
had a stop over in Barbados.

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