BWIA West Indies Airways is interested in establishing its own first class lounge at the Cheddi Jagan International Airport, Timehri and will soon reapply to the administration there for permission to move ahead with plans.
"BWIA would love to have a first class lounge at the Cheddi Jagan Airport...," BWIA Chief Executive Officer, Mr. Conrad Aleong told reporters at Le Meridien Pegasus Hotel in Georgetown yesterday.

The airline's Area Manager, South America, Mrs. Dawn Murray explained that while it would welcome the initiative of having a first class lounge at the airport, it has been trying for about three years without success.

She said they were first promised one but were told that they would have to share it with Guyana Airways 2000 and the discussions with the two over financing eventually fell through.

Murray said with the corporatisation of the airport, BWIA will have to again request a first class lounge, noting, "...and I feel very strongly that we will get it and I really hope we do."

BWIA is also waiting on the airport administration to carry out work on the runway, which BWIA Vice President of Customer Services, Mr. Don McLeon said is due for resurfacing though those responsible have complained of financial problems. He said there is also work that BWIA needs to see done on the ramp area.

Aleong said BWIA has helped the airport administration in the past with rehabilitation works and in the last instance, paying for an expert from Canada to oversee some repairs.

He, however, said the airline has had its share of problems and is still struggling to maintain a profit margin. BWIA has been struggling for some time to be consistent in making profits and has been successful in 1998 through to 2000.

The airline has six state-of-the-art planes, each costing about US$36M, he said.

Referring to a number of airlines that went into bankruptcy, Aleong said the industry is one in which the costs are usually fixed and operate on very small margins. As such, when the revenue is dropped, it translates into very substantial losses, he explained.

Aleong said since the September 11 attacks in the United States, the challenges facing the airline have been greater and in the five days the airline could not operate in the U.S, it lost US$1.4M.

He said fortunately, the Trinidadian government provided financial assistance with its Cabinet recently approving US$1.4M to replace the loss.

Aleong said the airline has been able to keep its head above water since the shortfall was not as much as that suffered by some other airlines. There has since been a 10 per cent reduction in flights and a freeze in wages and salaries for employees for 2001 and 2002.

The airline had also resorted to US$10 and US$5 insurance surcharges to counter the increase in insurance premium, which rose from US$40,000 to US$3.2M per year following the attacks in the U.S.

He said BWIA had also asked the Trinidadian government for a cash advance to cope with the increased insurance premium.

"We are heading to the last six weeks of the year and we feel confident that we will make it through. We are keeping on and making it a stable situation for our customers and our employees...", Aleong said, expressing hope that business will be better by early next year.

BWIA has been operating in Guyana for 56 years, providing uninterrupted, non-stop flights into Guyana and Aleong said it is hoping to gain flag carrier status.

"I think the dedication and commitment over the years have been showing themselves as being the right thing to do...", he stated.

Aleong said the airline is now on the lookout for flight attendants from Guyana to add to the West Indian mix on the aircraft. He said they are finalising some interviews and hope to recruit about 12 attendants.

Addressing the high airfares that passengers complain about, Aleong said for consumers, the cheaper the fare, the better, but for the airline to recover the money spent on each aircraft, it has to take certain measures. He said it takes about 10 years to pay for an aircraft.

"The economics of the airline industry compels good management to find the right fares to make it a sustainable airline", he said, noting that several airlines have stopped operations after short periods.

"It is not cheap to run an airline and the fares are the only thing to bring in the money to pay the expenses", he stated.

He said regardless of the September 11 attacks, flights to London are continuing and doing well and BWIA has not experienced a lot of change in flights coming out of the U.S., but in those going in. The local and Trinidadian markets have, however, dropped due to the visa hold-off and the situation in the U.S.

Aleong stressed that there has been increased security at the airline and that baggage and passengers are thoroughly searched.

BWIA has also mandated new carry-on baggage restrictions on all flights and effective immediately, passengers on flights out of Miami, Washington, and New York will now be limited to one piece of hand baggage plus one personal item, such as a handbag, laptop or briefcase that must fit easily under the seat or in the overhead compartment.

Hand baggage will now be tagged at time of check-in along with checked bags and oversized and untagged hand baggage will not be allowed on flights.