{"id":76982,"date":"2012-10-23T00:04:30","date_gmt":"2012-10-23T04:04:30","guid":{"rendered":"http:\/\/dominicanewsonline.com\/news\/?p=76982"},"modified":"2012-10-23T11:15:33","modified_gmt":"2012-10-23T15:15:33","slug":"35-percent-of-liats-daily-fights-are-uneconomic-routes-says-ceo","status":"publish","type":"post","link":"https:\/\/dominicanewsonline.com\/news\/homepage\/news\/regional\/35-percent-of-liats-daily-fights-are-uneconomic-routes-says-ceo\/","title":{"rendered":"35 percent of LIAT\u2019s daily flights are uneconomic routes, says CEO"},"content":{"rendered":"
\"\"
CEO of LIAT Ian Arthur Brunton<\/figcaption><\/figure>\n

BASSETERRE, ST. KITTS (CUOPM) \u2013 LIAT\u2019s newly-appointed Chief Executive Officer, Captain Ian Brunton, has described 35 percent of the airline\u2019s 112 daily flights as \u201csocial (uneconomic) routes\u201d.<\/p>\n

\u201cLIAT cannot continue to meet the cost of these social routes,\u201d Brunton told the state of the industry conference of the Caribbean Tourism Organisation in St. Kitts last week.<\/p>\n

The airline operates the intra-regional routes in the Caribbean going as far north as Puerto Rico and the Dominican Republic and Guyana and Trinidad and Tobago in the south.<\/p>\n

LIAT also flies into the US and British Virgin Islands and the French Caribbean, Guadeloupe and Martinique.<\/p>\n

Ian Brunton, former CEO\u2008of BWIA\u2008from 1979-1993, in his presentation at the conference expressed shock that such a large percentage as 35 percent of the regional airline’s flights are subsidised.<\/p>\n

\u201cThis is madness. I don\u2019t know of any business which can survive in such circumstances,\u201d Brunton said.<\/p>\n

What is more, the airline is owned by only three of the 11 CARICOM governments \u2013 Barbados, St. Vincent and the Grenadines and Antigua and Barbuda \u2013 and there are seven non-CARICOM territories that benefit from the service LIAT provides. Those non-CARICOM territories are: United States Virgin Islands, the Dominican Republic, Puerto Rico, Curacao, Aruba, Guadeloupe and Martinique.<\/p>\n

Without revealing which markets are uneconomical, Brunton said the routes are in and out of eight countries.<\/p>\n

\u201cWe intend to approach those markets to provide support on the uneconomic routes,\u201d says the former CEO of T&T\u2019s Caribbean Airlines Ltd.<\/p>\n

\u201cIf the support is not given, we shall have to wean out the flights,\u201d Brunton told ministers and directors of tourism from the Caribbean at the CTO discussion on “The Challenge of Regional Transportation: Where are the Solutions?”<\/p>\n

Bearing the costs of uneconomic social routes is not the only problem faced by LIAT. High operating costs, fees and taxes on the industry, stifling regulations and security challenges, competition and a steady fall-off (20 per cent) in intra-regional travel over the last five years as a result of the international recession that goes back to 2008, are significant elements of LIAT\u2019s problems.<\/p>\n

So, too, are thin and fragmented markets, limited economies of scale, high employee costs, coupled with aggressive trade union activity.<\/p>\n

In addition, Brunton says \u201cfinding the capital to replace an aging fleet, even if the 30-year old planes are still working well,\u201d is also a major challenge.<\/p>\n

The LIAT CEO wants \u201cto expel the myth that LIAT is gouging customers\u201d.<\/p>\n

The cost of a ticket, he says, is made high by factors outside of the control of the airline. Airport fees and other forms of taxation (66 in all) account for between 30 and 50 percent of the fare, says the airline\u2019s CEO.<\/p>\n

The LIAT base fare, insists Brunton, is competitive with other international airlines on the basis of miles travelled to a destination.<\/p>\n

He admits, though, to delays and at times less-than-required efficiency in customer service.<\/p>\n

The CEO says 34 percent of the delays in September 2012 were caused by industrial action on the part of the representative unions and 39 percent due to technical problems.<\/p>\n

Brunton, who came into the job in August 2012, projects a turnaround of the airline\u2019s fortunes in 12 months. The basis for the turnaround is hinged on a number of factors.<\/p>\n

One is for \u201cCaribbean governments to find innovative ways to increase the volume of passengers rather than imposing high fees and charges,\u201d says Brunton.<\/p>\n","protected":false},"excerpt":{"rendered":"BASSETERRE, ST. KITTS (CUOPM) \u2013 LIAT\u2019s newly-appointed Chief Executive Officer, Captain Ian Brunton, has described 35 percent of the airline\u2019s 112 daily flights as \u201csocial (uneconomic) routes\u201d. \u201cLIAT cannot continue to meet the cost of these social routes,\u201d Brunton told…","protected":false},"author":16,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_cbd_carousel_blocks":"[]","footnotes":""},"categories":[14],"tags":[],"class_list":["post-76982","post","type-post","status-publish","format-standard","hentry","category-regional"],"acf":[],"yoast_head":"\n35 percent of LIAT\u2019s daily flights are uneconomic routes, says CEO - Dominica News Online<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/dominicanewsonline.com\/news\/homepage\/news\/regional\/35-percent-of-liats-daily-fights-are-uneconomic-routes-says-ceo\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"35 percent of LIAT\u2019s daily flights are uneconomic routes, says CEO - Dominica News Online\" \/>\n<meta property=\"og:description\" content=\"BASSETERRE, ST. KITTS (CUOPM) \u2013 LIAT\u2019s newly-appointed Chief Executive Officer, Captain Ian Brunton, has described 35 percent of the airline\u2019s 112 daily flights as \u201csocial (uneconomic) routes\u201d. \u201cLIAT cannot continue to meet the cost of these social routes,\u201d Brunton told...\" \/>\n<meta property=\"og:url\" content=\"https:\/\/dominicanewsonline.com\/news\/homepage\/news\/regional\/35-percent-of-liats-daily-fights-are-uneconomic-routes-says-ceo\/\" \/>\n<meta property=\"og:site_name\" content=\"Dominica News Online\" \/>\n<meta property=\"article:published_time\" content=\"2012-10-23T04:04:30+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2012-10-23T15:15:33+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/dominicanewsonline.com\/news\/wp-content\/uploads\/2012\/07\/Captain-Ian-Arthur-Brunton.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"288\" \/>\n\t<meta property=\"og:image:height\" content=\"320\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Admin\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Admin\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"3 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\\\/\\\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\\\/\\\/dominicanewsonline.com\\\/news\\\/homepage\\\/news\\\/regional\\\/35-percent-of-liats-daily-fights-are-uneconomic-routes-says-ceo\\\/#article\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/dominicanewsonline.com\\\/news\\\/homepage\\\/news\\\/regional\\\/35-percent-of-liats-daily-fights-are-uneconomic-routes-says-ceo\\\/\"},\"author\":{\"name\":\"Admin\",\"@id\":\"https:\\\/\\\/dominicanewsonline.com\\\/news\\\/#\\\/schema\\\/person\\\/51a62154b494e84510be75e846b1cf55\"},\"headline\":\"35 percent of LIAT\u2019s daily flights are uneconomic routes, says CEO\",\"datePublished\":\"2012-10-23T04:04:30+00:00\",\"dateModified\":\"2012-10-23T15:15:33+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\\\/\\\/dominicanewsonline.com\\\/news\\\/homepage\\\/news\\\/regional\\\/35-percent-of-liats-daily-fights-are-uneconomic-routes-says-ceo\\\/\"},\"wordCount\":587,\"commentCount\":53,\"image\":{\"@id\":\"https:\\\/\\\/dominicanewsonline.com\\\/news\\\/homepage\\\/news\\\/regional\\\/35-percent-of-liats-daily-fights-are-uneconomic-routes-says-ceo\\\/#primaryimage\"},\"thumbnailUrl\":\"http:\\\/\\\/dominicanewsonline.com\\\/news\\\/wp-content\\\/uploads\\\/2012\\\/07\\\/Captain-Ian-Arthur-Brunton-270x300.jpg\",\"articleSection\":[\"Regional\"],\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\\\/\\\/dominicanewsonline.com\\\/news\\\/homepage\\\/news\\\/regional\\\/35-percent-of-liats-daily-fights-are-uneconomic-routes-says-ceo\\\/#respond\"]}]},{\"@type\":\"WebPage\",\"@id\":\"https:\\\/\\\/dominicanewsonline.com\\\/news\\\/homepage\\\/news\\\/regional\\\/35-percent-of-liats-daily-fights-are-uneconomic-routes-says-ceo\\\/\",\"url\":\"https:\\\/\\\/dominicanewsonline.com\\\/news\\\/homepage\\\/news\\\/regional\\\/35-percent-of-liats-daily-fights-are-uneconomic-routes-says-ceo\\\/\",\"name\":\"35 percent of LIAT\u2019s daily flights are uneconomic routes, says CEO - 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