Pakistan International Airlines asking gov’t for bail out to survive with five-year plan


AFP

ISLAMABAD — Ailing state carrier Pakistan International Airlines (PIA) is asking the government, saddled with its own mounting debt, to write off losses of US$1.7 billion to save it from looming bankruptcy. In a five-year survival plan submitted to the government, PIA has promised to make cutbacks and better its fleet in a bid to improve its fortunes, if the treasury agrees to cancel its debt and pay off other creditors.

Blaming “bad policies of the past” for accumulated losses of 80 billion rupees (US$936 million) and liabilities of 144 billion rupees, PIA spokesman Sultan Hassan insisted the airline is capable of future success.