PIA Premier Service incurs over Rs 2b worth of losses

Ever since the launch of PIA’s Premier Service on 14^th August, 2016, it has incurred losses of Rs 2.1b until 31^st December 2016. According to officials in the aviation division, total expenditure incurred during the period was around Rs 3.9b.

Just last month, it was rumoured that PIA was shutting down the recently launched Premier service. PIA Spokesman Daniyal Gilani denied all such rumours, terming them baseless. He further added that the operations of the newly launched service were being conducted successfully and the service would continue.

PIA had acquired a Sri Lankan Airlines aircraft on wet lease for its Premier Service last year at exorbitant rates. Gilani further informed that the aircraft could not be wet-leased beyond a period of 6 months, hence work on a fresh tender was underway to acquire new planes on wet lease at lower rates. In the meantime, PIA’s Premier service will be operated using the Boeing 777 aircraft.