LIAT
Strikes back
Competition
is once again rearing its head in the area of airline travel
as regional airline LIAT prepares to battle the increase in
flights into St. Lucia by American Eagle, which has embarked
on this new venture at the beckoning of the Government of
St. Lucia, through the person of Tourism Minister Allan Chastenet.
Just days after the American based airline introduced flights
into Hewannorra International Airport and Grenadines Airways
started flights from Hewannorra to the Grenadines, LIAT executives
have set out on a quest of its island territories to win back
its prominence in regional airline services.
Chief Executive Officer Mark Darby yesterday held talks with
one of the airline’s critics, Tourism Minister Allan
Chastenet who felt the airline was not providing the type
of service St. Lucia needed and that the airline’s structure
was not up to par. The discussions were cordial with exchanges
on both sides the end result being that LIAT, according to
Darby, is highly committed in its services to St. Lucia.
A real possibility exists that at least with St. Lucia, LIAT
and American Eagle, could find themselves in serious competition,
something LIAT is not afraid of, as pointed out by its CEO
yesterday.
Darby yesterday said that his airline welcomes competition
provided it is fair and on an equitable basis.
LIAT’s CEO also commented on an article that quoted
the St. Lucia Hotel and Tourism Association (SLHTA) President,
Colin Hunte as having said that LIAT has been subsidized by
CARICOM Governments for several years and has not proven to
be economically viable.
Darby noted that no subsidy has been received from any member
state of CARICOM since 2006 and rather what has been given
to LIAT has been injected as new equity from the Governments
of Barbados, Antigua and St. Vincent and the Grenadines. He
added that LIAT is pleased to report that when accounts are
finalized the company would be able to say that it broke even
last year, a rather promising year for the airline which has
been operating in the red for several years.
While this presents a turnaround for the airline in the many
years it has been operating this progression may be difficult
to maintain with American Eagle now having more flights than
it usually had into St. Lucia.
LIAT has done a number of things to improve its image now
that it has stepped up its game, such as apologizing for the
inconvenience caused to its customers following the recent
industrial action by flight attendants, which severely disrupted
its services in St. Lucia and its network during that period.
And although the disruption came at a time when LIAT was finalizing
the integration of the Caribbean Star operation, which resulted
in crew shortages, and its reputation being at a low point,
it has put in place a recovery plan aimed at eliminating problems
and dramatically improving punctuality and customer service.
In short the message the LIAT CEO is spreading around is that
the airline is ready, not only to offer a better service than
in the past and to make LIAT the carrier of choice for regional
travelers, but also that it is ready to take on competition,
American Eagle included.
We hope that all this juxtapositioning will result in an easing
up of the price of airfares to the consumers.

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