Crucial Gulf Air meet in January

The long-awaited Gulf Air board meeting to discuss a strategic plan aimed to float the financially-troubled carrier, has been rescheduled again, company sources said yesterday.

The meeting is likely to be held by the first week of January, the sources told Gulf News on condition of anonymity.

The original meeting was scheduled for September 14, but was postponed to the first week of December when owner states requested further consultations with the management, according to a statement issued then by chairman Sheikh Hamdan bin Mubarak Al Nahyan.

The plan, which focuses on marketing and sales and the introduction of several new divisions, is intended to help restore the company's profitability in three years. It was a result of recommendations by international consultants Simat Helliesen and Eichner Inc. (SH&E).

The owner states - Bahrain, Oman and Abu Dhabi - continue to fully support the carrier, said the sources, denying rumours that Oman may follow Qatar in pulling out.

"The Omani Government said that it has confidence in the viability of the company which is considered a pioneering example of joint Gulf action," the sources said.

Qatar decided in July to pull out of the company, and it is expected within days to formally announce its exit.

In August, the company received 30 million dinars ($79.58 million) from the three owner states. The forthcoming meeting will decide if another amount can be pumped into the cash-strapped company.

Gulf Air has a fleet of 32 planes and flies to nearly 50 destinations in the Middle East, Europe, Asia and North Africa.