Crisis ridden SriLankan looks at purchasing new aircraft

By Raisa Wickrematunge 

Despite suffering a massive financial loss running to nearly Rs. 10 billion, the country’s national carrier SriLankan is mulling the possibility of purchasing new aircraft in an effort to update its present outdated fleet. 

Ports and Aviation Minister Chamal Rajapakse told The Sunday Leader that if SriLankan Airlines followed the business plan it had drawn up for the current year, it would soon be able to recover from its losses.

Rajapakse noted that the airline needed to invest in new airplanes to match up with other international airlines.

When asked how the airline would come up with the money for this, Rajapakse said that he was confident that if the airline followed its business plan it would be able to self finance it.

“They are an independent entity,” Rajapakse said of the airline and brushed off a possibility of the government funding the new aircraft purchase.

Meanwhile, SriLankan Airlines CEO Manoj Gunawardena said the refleeting programme for the airline was in two phases. “The first step is to update the old A320 fleet of five planes. We have replaced three, returned one, and one is on a waitlist to Mihin Airlines. It will be returned at the beginning of next year,” Gunawardena said.

He added that the A320s were all on operating lease. The CEO went on to say that the refleeting of the A330 and 340 would not be necessary immediately. “We have current leases (on those models) until 2011.” Gunawardena said.