Oman Air points to integration with SalamAir under restructuring initiative

Oman Air has indicated that closer ties with SalamAir are likely under a restructuring plan outlined by the flag-carrier’s chairman. The restructuring is intended to resolve continuing losses and mounting debts which have burdened the carrier since the Omani government withdrew from Bahrain-based Gulf Air in 2007 to concentrate on developing Oman Air as a long-haul operator. Oman Air, which has a fleet of Boeing 787s, Airbus A330s and Boeing 737s, has not publicly published its financial statements for several years. SalamAir emerged at the beginning of 2017 as a low-cost operator for the country, and uses Airbus A320-family jets. The transformation plan for Oman Air involves evaluating the carrier’s network and making decisions on maintaining specific routes. “Integration with SalamAir is also high on the programme’s agenda,” says the airline. Chairman Saeed Al Mawali has disclosed the plan, which is founded on recommendation of consultancy Oliver Wyman. “Oman Air will restructure with the aim of improving its basic operational performance and enabling it to better meet the needs of the market,” says the carrier. Restructuring of Oman Air is expected to take three or four years, it adds, and will focus on the key areas of financial sustainability, human capital, commercial matters and corporate governance. It is set to embark on a board and executive management shake-up, and recruit industry specialists.<br/>