Maroc - NEWSDAY.CO.TT - A la Une - 01/Jan 06:56

The history of LIAT

Leeward Islands Air Transport Services Limited (LIAT) had its origin in Montserrat early in 1956 when L.W. Magruder was granted a temporary permit by the Colonial government to operate a non-scheduled service between Antigua and Montserrat. Magruder entered into a partnership with Frank de Lisle to further develop this service. Mr de Lisle had for some time, seen the need for air links between Montserrat with the neighbouring islands and other main air routes. Accordingly, de Lisle developed a small airstrip in what seemed almost impossible terrain. A small single engine aircraft was piloted by de Lisle from this airstrip which was virtuality in his backyard. The need for development of proper airfield facilities in Montserrat was recognised and a new airfield was commissioned. The Administrator of Montserrat recalled BWIA's undertaking previously given to introduce scheduled services to that island as soon as airfield facilities were available. As a result of meetings held between the governments concerned, BWIA and Messrs Magruder and de Lisle, it was agreed that a new company Leeward Islands Air Transport Services Limited (LIAT) would be formed with BWIA, Magruder and de Lisle as the principal shareholders, and that BWIA would designate LIAT to operate its routes in the Leeward Islands. LIAT came formally into existence in October, 1956. The service between Montserrat and Antigua extended to include St Kitts, Nevis, Anguilla, St Eustatius, St Martin and Barbuda. BWIA also designated LIAT to operate certain other routes until such time as the airfields at these points could be made safe for larger BWIA aircraft. In this way service was extended to Dominica and St Vincent. Later on, LIAT operated between Antigua and Barbados via Guadeloupe, Dominica, Martinique and St Lucia. Between' Antigua, St Kitts and St.Thomas; and between Antigua, St Kitts, St Thomas and San Juan. LIAT was also appointed to act as General Sales Agent for BWIA and BOAC and to provide sales, traffic, operational and engineering services as well. It was always the policy of BWIA to do everything in its power to assist in the development of this vital and effective communications link between the Caribbean Islands. In the implementation of this policy, BWIA expended considerable sums of money and performed innumerable services for the benefit of LIAT. Between 1962 and 1970 LIAT's debt to BWIA amounted to $5,637,484. This did not include any charge for management services and administrative expenses which were all rendered free of cost. In addition, BWIA, guaranteed LIAT's bank overdraft in Antigua and its debt to Hawker Siddley Aviation Company in respect of four AVRO 47S'. It also leased a Bonanza aircraft to LIAT for about five years without any charge. Despite its willingness to continue to pursue this policy of assistance to LIAT, BWIA recognised in 1971 if it was to provide the islands it served with the ever more efficient service they rightly demanded, LIAT's need for new equipment and expansion, was beyond the financial capacity of BWIA. It was in these circumstances that the board of BWIA, reversing what had been its settled policy of keeping LIAT entirely in West Indian hands, decided to dispose of its 75 percent shareholding to Court Line Limited, a reputable British company engaged in shipping and with considerable aviation experience in the field of tourism. Before arriving at this decision, the board satisfied itself that Court Line possessed the requisite resources and technical ability to provide the necessary equipment and operate the extended services which would be needed if LIAT was to serve the Eastern Caribbean adequately. The Board further required assurances that Court Line would permit West Indian governments to participate substantially in LIAT's shareholding if they so wished. BWIA’s then chairman, Sir Ellis Clarke, personally visited all the islands concerned and consulted with respective governments as to their agreement to the Court Line purchase. It was only after positive response had been received from all governments involved and the terms and conditions which they considered advisable were accepted by Court Line, that the sale of BWIA's 75 per cent shareholding in LIAT was effected. Court Line went bankrupt in August 1974, and the governments of 11 Caribbean nations stepped in and acquired the airline. A new company LIAT (1974) Ltd was formed. The TT government, in furtherance of its endeavour to promote Caribbean integration, took up shares in LIAT (1974) Ltd even though, at that time, the financial outlook for the company was gloomy. In order to keep the airline flying, the BAC One-Elevens were removed from the LIAT fleet and replaced with a series of smaller types, such as the de Havilland Canada DHC-6 Twin Otter STOL (short take-off and landing) turboprop. By late 1979, LIAT was operating three aircraft types including the 48-passenger seat Hawker Siddeley HS 748 "Avro" turboprop, as well as the 9-passenger seat Britten-Norman Islander and the 18-passenger seat Britten-Norman Trislander with the latter two aircraft having STOL capability for short runways On 27 June 2020, the prime minister of Antigua and Barbuda announced that LIAT (1974) Ltd would be liquidated following a series of unsuccessful months due to the pandemic and refusal of other shareholder governments to provide cash bailouts. LIAT suspended all operations on 24 January 2024, resulting in the lay-off of most of its employees. With the closure of LIAT (1974) Ltd, a new airline – LIAT 2020 – was incorporated in Antigua and Barbuda in July 2020, in collaboration with private Nigerian airline Air Peace which holds a 70 per cent stake in the company. The Nigerian shareholders obtained Antigua and Barbuda citizenship under its Citizenship by Investment Programme. In this way, the airline becomes majority owned by Caricom citizens and can be designated under the Caricom Multilateral Air Services Agreement (MASA) . The government of Antigua and Barbuda holds the remaining 30 per cent. Air Peace was responsible for providing the leased E145 aircraft that are being used by LIAT 2020. Air Peace and the Antigua and Barbuda government invested US$65 million and US$20 million respectively in LIAT 2020. In May 2020, the FAA assigned the OECS a Category II rating due to safety concerns. To date, the OECS has not been upgraded to FAA IASA Category I. Consequently, newly formed LIAT 2020 which is based in the OECS member State of Antigua and Barbuda cannot operate into the US Virgin Islands and Puerto Rico. Notwithstanding the formation of LIAT 2020, air connectivity in the Eastern Caribbean continues to be plagued by high airport charges and taxes.   The post The history of LIAT appeared first on Trinidad and Tobago Newsday.