Lagos: Nigeria’s largest carrier, Air Peace, says it has lost over $15 million following the abrupt withdrawal of three leased aircraft by its wet lessor, SmartLynx Airlines—a move the airline describes as illegal, damaging, and without prior notice.
The airline said on Friday that the disruptions cost it $15 million.
The Chief Commercial Officer at Air Peace, Mr Nowel Ngala, disclosed this at a news conference in Lagos.
According to Ngala, Air Peace has experienced several operational disruptions, resulting in flight delays and cancellations.
He said that Air Peace entered a wet-lease agreement with Smartlynx because 13 of its aircraft were undergoing scheduled maintenance abroad.
According to him, to avoid service gaps and ensure Nigerians would continue to travel conveniently, the airline leased aircraft from SmartLynx.
He said that the sudden withdrawal of the three aircraft was illegal and a breach of contract.
Ngala stated that the withdrawal resulted in financial loss and reputational damage to Air Peace and the Nigerian travelling public.
“This withdrawal was done without prior notice. It is a clear violation of industry standards and an agreement between the two parties.
“What makes this even more concerning is that SmartLynx had collected money upfront from Air Peace.”
He said that the lessor claimed that the owners of the aircraft wanted them withdrawn.
“Over five million dollars of our money, including over a million dollars paid as security deposits for those aircraft, is with them (SmartLynx).
“This situation has caused over 15 million dollars in damages to Air Peace. These aircraft had already been rostered for scheduled flights, and their sudden removal created significant gaps in our operations,” he said.
Ngala said that Air Peace had released three of the aircraft to the owners in good faith.
According to him, one more aircraft remains, and the airline is requesting a refund.
He said that was not the first time Air Peace was placed in a difficult situation by a lessor.
According to him, a lessor had ‘vanished’ with over two million dollars from Air Peace, claiming it was taking leased aircraft for maintenance.
He stated that the aircraft was never returned, and the funds were unaccounted for.
“These actions, unfortunately, reflect the challenges Nigerian carriers often face in international leasing arrangements. We cannot allow that to happen again,” he said.
According to Ngala, despite the challenges, Air Peace has completed its aircraft maintenance, and two have arrived for services.
He said that the airline hoped to resume full operations across all its routes from next week as more of its aircraft would return.
He said: “We regret the difficulties our passengers have experienced, and we appreciate their patience and understanding throughout this period.
