PIA plans fleet expansion

ISLAMABAD: The loss-hit Pakistan International Airline (PIA's) plans to expand its fleet with the purchase of 40 new planes over the next five years, Defence Minister, Ahmad Mukhtar, said on Thursday.

Ahmad Mukhtar told parliament that the planes were needed to arrest PIA's growing deficit.

The state-run airline currently services domestic and international routes with a fleet of Boeing 777, Boeing 747, Airbus A310, Boeing 737 and ATR-42 aircraft. "If PIA does not buy new planes, it will have to close down," Mukhtar said. "When we have the new aircraft the deficit will come down as we will be able to increase the number of flights."

Mukhtar said the defence ministry would present the plan to the federal cabinet this month, but did not give further details of the purchases. He said that PIA was not receiving government subsidy, but had taken out bank loans that it is currently repaying.

PIA suffered a loss of $135.8 million in the first nine months of the year, according to its third-quarter financial report posted on the airline's website. Accumulated losses stood at Rs88 billion ($1 billion).

PIA earns Rs2.84 billion operating profit in 2009

KARACHI: PIA achieved an operating profit of Rs2.84 billion for the year 2009 after four years of operating losses, which stood at Rs7.3 billion in 2008.

Addressing the 53rd AGM of PIA held at a local hotel Saturday, the Managing Director, Aijaz Haroon informed the shareholders that 2009 proved to be a challenging year for the national flag carrier as financial crisis continue to grow due to global recession.

Overseas remittances to Pakistan surge 30pc: Tarin

KARACHI: Federal Minister for Finance Shaukat Tarin has said that the trend of remittances received in last five months of current fiscal year showed an increase of around 30 per cent over the similar period in the last fiscal year.
 
Addressing an MoU signing ceremony between Pakistan Remittance Initiative (PRI)  and Pakistan International Airlines (PIA) at the State Bank of Pakistan on Wednesday, Tarin urged overseas Pakistanis to ensure that they are transferring their money through official channels into Pakistan.