With immediate effect, Emirates has terminated the concession contract for management of Angolan airline TAAG due to “constant difficulties in repatriating the revenues obtained in the country,” the airline said.
The contract was signed in September 2014, with Emirates appointing a management team whose mission was to have the Angolan flagship airline return to profits through a smaller workforce and downsizing of the air network.
Emirates also said in a statement issued in Luanda that it will reduce its presence in Angola. The move began on Monday by reducing the number of flights per week to Luanda from five to three.
“The issue of repatriation of revenue from ticket sales has remained unsolved, despite numerous requests to the competent authorities and guarantees that measures would be taken,” the company said.
The concession agreement entered into with Emirates Airlines for the period between 2015 and 2019 showed positive operating results of US$100 million after four years, after TAAG reported losses of US$99 million in 2014. (macauhub)