Struggling regional airline LIAT relaunched itself as a discount carrier Tuesday in a bid to keep flying amid soaring operational costs and increased competition.
LIAT is offering fares as low as $22 each way on some routes when passengers book early, and will introduce an e-ticketing system throughout its 18-island network, airline marketing manager Danny Oliver said.The Antigua-based airline is jointly owned by the governments of Barbados, St. Vincent, Trinidad and Antigua. The airline will now offer nonstop service among those destinations.
LIAT received a $16.2 million pledge by the governments with a stake in the airline to assist in leasing new aircraft and change its operational structure, LIAT Chairman Jean Holder said.
LIAT CEO Gary Cullen said the airline's "commercial and financial results continue to improve" after a downturn in travel following the 2001 terror attacks in the United States. The airline has also struggled with high fuel costs and competition from rival carriers.
In 2002, the LIAT laid off 241 employees, or one-third of its work force. The airline has received several bailout packages over the last three years.
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