Kenya Airways has received KSh5 billion loan from Kenya government through the National Treasury, to facilitate the scheduled engine overhaul programmes on its E190 Embraer fleet.
The cash injection will cater for overhaul of 11 Embraer engines which are supposed to be overhauled every eight years in order to uphold the highest levels of safety and maintain reliability and planned network schedules.
The announcement was made to the public pursuant to paragraph A.06 of the Fifth Schedule of the Capital Markets (Securities, Public Offers, Listing and Disclosures Regulations, 2002).
“I would like to thank the Government of Kenya for making these funds available to us. As an airline, we need to be efficient across our operations but more importantly across our fleet,” said Michael Joseph, chairman, Kenya Airways.
“The Embraer fleet is our largest and is the networks’ workhorse. We also plan on undertaking refurbishments on our two Boeing 737-700 aircraft.”
“The refurbishment will guarantee our passengers a better experience on their flights with us. The airline commits to prudent utilisation of the funds to ensure value for money,” said Joseph.
KQ Group Managing Director & CEO Mr. Allan Kilavuka said that Kenya plays a vital role in the aviation industry in Africa and the capital injection will go a long way in enhancing Kenya Airways operations and strengthening it’s fleet.
“As a strategic national asset and key driver of Kenya’s economic development and GDP growth, it is important that the airline continues to operate optimally,” said Kilavuka.
He noted that based on this premise,the company early this year identified six key focus areas that are crucial in improving the airline’s customers experience, reduce costs and wastage, strengthen operational efficiency, stabilizing the organization, grow profitability and improve management relationships with stakeholders.
He added that various initiatives were already in place and progressing well across these focus areas.
“We are grateful to the Government for walking this journey with us and I would like to thank the KQ team that work tirelessly every day to provide a delightful experience for all our customers, said Kilavuka.