Air Niguni makes turnaround

AIR Niugini recorded an operating profit of K500,000 in the 2019 financial year, according to a company statement.
It recorded a loss of K133 million in 2018.
It attributed the “turnaround” to a “massive transformation” including the higher-altitude programme that reviewed its cost control, revenue opportunities, customer service improvements and operations.
The programme, implemented by managing director Alan Milne soon after his appointment, resulted in more than K20 million in savings in the first three months.
There was also an internal organisational restructure, a review of management systems and an overhaul of operations including cancelling unviable international routes to Bali and Townsville while reducing the number of flight frequencies to other destinations.
“Air Niugini is a good airline but as a team we want to make this a great airline,” Milne said.
“I think this result is a huge step in that direction. This result is genuinely a team effort from everyone, from the baggage handlers to the cabin crew, to the engineers, to the executive team and the board of directors.
“Air Niugini is an airline the people of PNG can be proud of.”
Chairman Sir Kostas Constantinou said the board of directors was pleased with the business result.
“With the board’s approval and support, management has been encouraged to implement a business restructure programme,” he said.
“The results represent the commencement of these efforts, which will deliver positive results for both Air Niugini and Papua New Guinea as a whole.”
Milne said there was still a lot of work to do for the airline to grow stronger, particularly as the coronavirus continued to have a huge impact on travel-related industries across the globe.
A number of initiatives planned for the next 12 months include on-going cost savings with the programme, promoting maintenance services to other airlines, negotiating a fleet replacement programme and reviewing flight schedule efficiencies that meet customer demands.