Alan Milne

Non-profitable routes put on hold

Managing Director Alan Milne said the airline has to make tough decisions to ensure it gets back to being a profitable company.

Speaking at the Port Moresby Chamber of Commerce and Industry Breakfast recently, Milne said it was unsustainable to continue to operate loss making routes.

A number of international routes have been put on hold due to the impact on the business.

PX records over K54m loss in 2018

Managing director Alan Milne said 2018 was a tough year for the national flag carrier with substantial losses at the back of softening revenue and poor performance.

Milne said among the factors affecting Air Niugini’s performance were the Dash 8 aircraft burning in Mendi, Southern Highlands Province; the P2-PXE Boeing 737-8BK crash in Chuuk; and several loss making routes.

Milne said the state company has initiated a transformation program called ‘Higher Altitudes’ which aims to control cost, enhance revenue, develop staff and operational and customer excellence.

PX orders four Boeing 737 MAX aircrafts

PX CEO, Alan Milne, said the first two will arrive before the end of 2020 and the other two in 2021.

He made the announcement at the Port Moresby Chamber of Commerce & Industry Breakfast event yesterday.

The announcement by the Air Niugini CEO comes in the wake of the Ethiopian Airlines 737 MAX 8 aircraft crash killing all passengers and crew on board.

The incident has seen the grounding of 737 MAX 8 aircrafts by major airline companies around the world.