Comair: No funding from BA
Cape Town - Comair has sent the following response to an opinion piece published by Fin24 on Friday.
Comair Limited – key facts:
• Comair Limited is a leading South African-listed company on the JSE.
• Comair is the holding company for a number of brands:
- British Airways as per a licence agreement (franchise) with British Airways Plc. The agreement allows Comair to fly and sell under the British Airways livery ;
- kulula.com ;
- Food Directions; and
- Comair Travel.
• Comair’s financial results are disclosed in accordance with the Companies Act, the rules of the JSE and based on International Financial Reporting Standards.
• Britair Holdings Limited has an 11.03% shareholding in Comair; however, there is no funding from British Airways Plc.
• During the past year, Comair focused strongly on re-engineering its operations to ensure a return to profitability by June 2012. This was accompanied by a cost saving programme, which included a salary freeze for all of its employees, and its fleet upgrade to new Boeing 737-800s.
• Comair will be taking delivery of a further three new aircraft by December 2012, resulting in kulula having the most fuel efficient fleet in the industry.
• We are confident that Comair will continue with its aviation record of 67 consecutive years of operating profit.
• The South African aviation industry was deregulated in 1991 (21 years ago) and since then 10 out of the 11 independent, private airline companies have failed, leaving only Comair Limited (with its two brands kulula.com and British Airways).
Columnist Mzwandile Jacks stands by his assertions.