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  • A video someone sent me a link to:-

    Newsfirst.lk Sri Lanka's Number One News Provider. Website: www.newsfirst.lkEmail: contact@newsfirst.lkTelephone: +94 114792700Like us on Facebook: https://...


    Just awful reporting and they miss all the important reasons the Airline is on the point of shutting down.

    People who don't know the real situation would probably think replacing a few people at the top will magically solve all the problems.

    There's also a Sinhala version on the chanel.
    Always fly a stable approach - it's the only stability you'll find this business

    Comment


    • Originally posted by ejanson65 View Post
      A video someone sent me a link to:-

      Newsfirst.lk Sri Lanka's Number One News Provider. Website: www.newsfirst.lkEmail: contact@newsfirst.lkTelephone: +94 114792700Like us on Facebook: https://...


      Just awful reporting and they miss all the important reasons the Airline is on the point of shutting down.

      People who don't know the real situation would probably think replacing a few people at the top will magically solve all the problems.

      There's also a Sinhala version on the chanel.
      Here is an another one

      One of the VP s for Credit Suisse is a Sri Lankan with Singaporean residency. I know him very well. He is the cousin of Kabir Hashim's wife (I notice a conflict of interest). He mentioned to me we are structuring a loan for UL; I said ok what is the interest rate. He mentioned to me well let's not talk about interest rate...i.e. well above the market rate.

      Without closing this money hemorrhaging airline; GOSL want run it. Minister/Kabir Hashim needs money to run the airline.

      Treasury has stopped giving funds so now they are trying to get funds from anywhere at any cost...just prolonging the inevitable

      While expressing hope that national carrier SriLankan Airlines would not be liquidated, State Minister Lakshman Yapa Abeywardana said the Government had successfully negotiated a long-term credit package of US$ 150 million and a short-term loan facility of US$ 50 million with the Credit Suisse Bank on behalf of the airline. ..

      Comment


      • Originally posted by Speedbird View Post
        Here is an another one

        One of the VP s for Credit Suisse is a Sri Lankan with Singaporean residency. I know him very well. He is the cousin of Kabir Hashim's wife (I notice a conflict of interest). He mentioned to me we are structuring a loan for UL; I said ok what is the interest rate. He mentioned to me well let's not talk about interest rate...i.e. well above the market rate.

        Without closing this money hemorrhaging airline; GOSL want run it. Minister/Kabir Hashim needs money to run the airline.

        Treasury has stopped giving funds so now they are trying to get funds from anywhere at any cost...just prolonging the inevitable

        http://www.dailymirror.lk/article/Cr...er-142903.html
        Someone at Credit Suisse is in for a swift change of employment!

        Given the state of the Airline (and the country) I'm surprised anyone would lend money to them. There is no way any of this will ever be paid back - citizens are going to have to eat this loan on top of all the others.

        I'm sure that they are paying huge interest on this money due to the high risk involved.

        It's not going to change anything except now there's an increased risk of the entire banking system being dragged under as well.
        Always fly a stable approach - it's the only stability you'll find this business

        Comment


        • Originally posted by ejanson65 View Post
          Someone at Credit Suisse is in for a swift change of employment!

          Given the state of the Airline (and the country) I'm surprised anyone would lend money to them. There is no way any of this will ever be paid back - citizens are going to have to eat this loan on top of all the others.

          I'm sure that they are paying huge interest on this money due to the high risk involved.

          It's not going to change anything except now there's an increased risk of the entire banking system being dragged under as well.
          Very sad situation for our flag carrier. State sponsored bunch of crooks ruining the National Airline.

          Comment


          • Originally posted by ejanson65 View Post

            I'm sure that they are paying huge interest on this money due to the high risk involved.
            Yes Captain Obvious

            It's not going to change anything except now there's an increased risk of the entire banking system being dragged under as well.
            If I remember correctly there is Government guarantee for the loan. So only people who will be affected would be Sri Lankan taxpayer

            Originally posted by channa View Post
            Very sad situation for our flag carrier. State sponsored bunch of crooks ruining the National Airline.
            Home, it isn’t just a place. It's a feeling that lives in us. #FlyTheFlag Narrated by Ryan ReynoldsFollow Air Canada on social media:Facebook: www.facebook.c...


            I am not sure about "your" flag carrier but this is my home and flag carrier ...But I would definitely speak out against BS

            Comment


            • kabir hashim didn't get any information about director board resign

              Ada Derana Late Night News Bulletin 10.00 pm - 2017.12.27අද දෙරණ රාත්‍රී 10.00 පුවත් විකාශය - 2017.12.27Watch More Video - http://goo.gl/2QWjSA


              kabir hashim didn't get any information about director board resign
              time code 15.00
              - ada derana

              Comment


              • Didn't see the below article posted anywhere before:

                The Nyras report says the “Government Officials Committee to approve restructuring plan and quickly review major restructuring decisions (e.g. negotiation offers). Management to provide regular updates on progress of restructuring.” The Board of Directors, Nyras says, “must be prepared to act quickly and be available on an almost daily basis.” It also wants to “Consider appointing an Executive Committee with delegated authority during the restructuring process.”

                The other recommendations by Nyras is “absolute focus of leadership team on delivery of restructuring plan, with personal objectives accountability for each part of the plan. Structured review of process of restructuring implementation.” It also says there should be “clarity of direction and objectives of the restructure, with departmental and personal objectives aligned to delivery.”

                Titled “Restructuring of SriLankan Airlines – Delivering a sustainable future,” Nyras report says:

                We have been asked to develop a plan to assess and implement options for the restructure of SriLankan Airlines (“SLA”) to address challenges associated with legacy and fleet–related debt and consistent operational losses.
                The restructuring plan should be consistent with GoSL objectives such as developing tourism, growing traffic and connectivity, ability to compete with Low Cost Carriers, affordable travel for SriLankan business, travelling public and migrant workers, find suitable partners willing to invest in SriLankan whilst respecting foreign ownership rules, cost effective airline and impact on jobs for the Sri Lankan economy.
                We worked previously with SLA between January and March 2016, so have a good understanding of the airline’s challenges. We worked closely with airline management and staff, reported and explained our findings to the Board and senior Government Officials.
                Our previous work also investigated the practicalities of an administration / “Chapter 11” scenario, assessed SLA’s competitive disadvantage caused by high fuel price, and estimated the impact on Ceylon Petroleum Corporation if it reduces prices to market levels. Note: Chapter 11 is a chapter of Title 11 of the United States Bankruptcy Code, which permits reorganisation under the bankruptcy laws of that country.
                Some of the issues have since been addressed, but the major structural issues remain.

                The timeline for this assignment, Nyras says is to address the most pressing concerns by the end of March 2018. It has identified eight different areas for the restructuring process. Among them are:
                Re-negotiate four remaining A 350s and Rolls Royce engines to avoid US$ 800 million liability by converting A 350 order into A 321s for deployment on restructured network.

                Re-finance seven A330s Lease rates are way over market and refinancing ensures market rate aircraft economics delivering $ 28 million per year but finance/equity required for $ 160 million deposit.
                Re-structure SLA Group to enable investment into airline and SBUs to deliver cash to airline restructure debt, saving $ 41 million per year, improve operations and improve competitiveness.

                Reduce Ceylon Petroleum Corporation pricing by ten US cents per gallon to address lack of competitiveness and increase volumes to other airlines delivering $ 8 million per year.
                Improve commercial activities and streamline distribution to deliver greater yield and revenue opportunities.

                The “absolute priorities,” Nyras says are negotiations with Airbus, Rolls Royce and Lessors, Develop Business Plan to support negotiations, Resolve Ceylon Petroleum pricing, develop future fleet structure and identify investors for A 330 – 300s.
                It is abundantly clear from the Nyras report that over the years there has been serious deficiencies in managing the national carrier. So much so, the consultant firm is even noting the need to consider declaring bankruptcy.

                Comment


                • Most people not in favour of selling SriLankan Airlines: Poll



                  Sri Lankan newspapers should seriously think of hiring people with better knowledge on aviation.

                  UL liabilities - US$ 3 billion

                  The official estimate of what Sri Lanka currently owes its financiers is $64.9 billion, The country's debt-to-GDP currently stands around 75% and 95% of all government revenue is currently going towards debt repayment.

                  Comment


                  • Name The Media: Pilots Guild Tells CEO Ratwatte

                    Comment


                    • Originally posted by lordvader View Post
                      Didn't see the below article posted anywhere before:

                      The timeline for this assignment, Nyras says is to address the most pressing concerns by the end of March 2018. It has identified eight different areas for the restructuring process. Among them are:
                      Re-negotiate four remaining A 350s and Rolls Royce engines to avoid US$ 800 million liability by converting A 350 order into A 321s for deployment on restructured network.

                      http://www.sundaytimes.lk/171224/col...22-274422.html
                      Is it good idea UL converting Four x A350 order into A321 ? If they convert then will they get around Eight A321neo's from Airbus. List price of A321neo is $127M and A350-900 is $311M.

                      Comment


                      • Originally posted by banuthev View Post
                        Is it good idea UL converting Four x A350 order into A321 ? If they convert then will they get around Eight A321neo's from Airbus. List price of A321neo is $127M and A350-900 is $311M.
                        I think its better to have long haul aircraft without going into A321s. When A330s phase out, might turn to be a problem for long haul routes. So I don't know, my opinion would be that better not going for anymore A321neo aircraft, either A330 or A350 would be ideal.
                        Haleef Ismail
                        www.youtube.com/haleef1 | www.instagram.com/cmb_spotter

                        Comment


                        • Originally posted by Haleef View Post
                          I think its better to have long haul aircraft without going into A321s. When A330s phase out, might turn to be a problem for long haul routes. So I don't know, my opinion would be that better not going for anymore A321neo aircraft, either A330 or A350 would be ideal.
                          Maybe replace the A350 order with A330NEO

                          Comment


                          • Originally posted by dilushasg-bdavi View Post
                            Maybe replace the A350 order with A330NEO
                            True. That is a great aircraft after the A350
                            Haleef Ismail
                            www.youtube.com/haleef1 | www.instagram.com/cmb_spotter

                            Comment


                            • Originally posted by Haleef View Post
                              I think its better to have long haul aircraft without going into A321s. When A330s phase out, might turn to be a problem for long haul routes. So I don't know, my opinion would be that better not going for anymore A321neo aircraft, either A330 or A350 would be ideal.
                              The leases of seven A330-300s are going to expire in 2026. Also UL have extended the leases of four A330-200s. So I think UL is not in a hurry to replace wide body fleet. I think UL's current priority to add more flights to India, Gulf, South China and Far East onboard A320/A321.

                              Comment

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