Riyadh: Private Saudi airline Sama, which suspended all operations from August 24, will not sell its assets and is making attempts to re-enter the market, a high-level source at the Saudi General Civil Aviation Authority (GACA) said on Wednesday.
"The crisis which led to the suspension of the company's operations is only temporary and does not threaten its future," said the official.
Local Arabic daily Okaz reported that Saudi Arabian Airlines (Saudia), Qatar Airways, Air Arabia and a number of other Arab airline companies have expressed interest in buying Sama, which was the first Arab Gulf airline company to fall prey to the financial crisis.
The suspension of the company’s operations is expected to loom over a meeting, in Madinah Munawarah on Thursday, of the executive committee of the Arab Air Transport Federation. A number of issues, including the joint purchase of fuel and spare parts, cooperation with foreign airports and the reduction of expenses are to be discussed.
The official, who wished to remain anonymous, told Gulf News that Sama was now coordinating with other airline companies in Saudi Arabia to accept passengers who made reservations on its flights before it was suspended. He revealed that GACA had asked the other airline companies to cover Sama's commitments towards the passengers.
According to the official, the high price of fuel was the main reason behind the suspension of the company's operations and he pointed out that the stoppage would only be temporary until an alternative financing solution was found.
The company was waiting to receive government assistance when it announced the suspension of its operations, described by Nasser Al Tayyar, an expert on economic aviation, as a "real catastrophe in the Saudi aviation sector”.
A member of the Saudi Shura Council, Osama Kurdi, said the government must monitor the airline sector, with a view to providing aid when needed.
