Published On: Tue, Nov 15th, 2016

Ramiz: “A dollar invested in InselAir will be a dollar wasted”

ramizThe Government of Curaçao should not continue throwing the people's money in a private company. An airline of which its management has proven their incompetence to run it. They have no viable plan and the right aircraft to operate their scheduled flights.

If Curaçao wants to have an airline to save the hundreds of jobs then they should, before injecting any money, make sure that the airline has an action plan to restructure its business plan. Also, a change of management must take place. The current management has wasted millions of dollars of the Curaçao Government. This proves their incompetence and inability to adapt to changes and to the reality of the market. The other alternative would be to convince an international airline to come and invest in InselAir. I don't see it happening. InselAir is a very sick airline and it would be easier to start an another one from zero.

This issue of Cadivi has been brought over and over again to the spotlight year after year every time they need money. This is an excuse they use when they need money. It is unacceptable.

InselAir is lying to the Government when they say that Venezuela owes them $100 million. Let's make something clear, Venezuela does not owe any money to any airline. The airlines should have those bolivars generated by the tickets and services sold in Venezuela in their bank accounts. In InselAir’s case we know that part or all of that money is gone, used. The Venezuelan government, when they have the dollars they will make them available to the airlines so they can exchange their bolivars for dollars and expatriate the sales proceeds to their respective countries.

Maduro already said, “we don't have dollars”. It will be interesting to see if Venezuela will make dollars available to the airlines when there aren’t any to feed and provide medicine to its citizens.

When and if those dollars are made available, I don't see it happening anytime soon, the bolivars received have been devaluated several times and the to say that there is $100 million is unrealistic and absolutely not true.

InselAir should have taken provisions in their books and taken the necessary lost to represent the exchange rate lost just as companies like COPA and Avianca have done.

Bringing this Cadivi issue every time they are drowning is a joke and another joke is for the Government to lend them more money. Money that will never be repaid, just like they have always done.

The game is over for InselAir with 14 of its 17 aircraft grounded. This is a reason for concern, not only financially but also the safety of the passengers.

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