Archive for June 22nd, 2012

Juba International Airport to get security boost through EU funding and logistical support

JUBA INTERNATIONAL AIRPORT SECURITY UPGRADE TO GET EU FUNDING
Aviation security at the international airport in Juba, South Sudans capital city, has always been porous at best and the airlines operating in and out of that airport had to create their own additional measures to ensure that their own internal security standards were upheld. As South Sudan is now undergoing vetting by the East African Community to assess their readiness to become a formal applicant member, aviation security too is one of the issues which needed addressing, as are of course air navigational standards and general aviation infrastructure vis a vis CASSOA, East Africas Civil Aviation Safety and Security Oversight Agency.
It is therefore good news that the European Union has now agreed to fund an initial security upgrade at Juba International Airport to the tune of 12.5 million Euros, under a scheme which will see the introduction of state of the are screening equipment, improved perimeter security and surveillance capabilities and most important training of AVSEC personnel, to be able to spot threats and interpret screening pictures correctly.
As witnessed personally in the past, loopholes in airport security could be exploited by radicals and it is therefore noted with some satisfaction that experience shared with officials in Juba seems to have born fruits as the EU apparently responded to an official request from the government in Juba to assist them as a matter of urgency with security upgrades and trained personnel. By September this year, according to information sourced from a regular aviation source in Juba, over 60 trained staff will be deployed at the airport for a 20 month period, to both boost security and also to train understudies in the art of monitoring, surveilling, threat assessment and data interpretation.
Landlocked South Sudan depends on air transport and two flights a day from Entebbe by Air Uganda are complemented by a number of flights from Nairobi, including a double daily operation by Kenya Airways and Jetlink, plus daily flights by Ethiopian Airlines from Addis Ababa. Airline personnel asked to comment on their operational and security challenges in Juba were however not willing to go on record other than confirming that they faced significant challenges and had to put added internal measures into place to ensure the safety of their passengers, crews and aircraft. Watch this space for regular aviation updates from Eastern Africa.

Kenya Airways shares now fully traded again at the Nairobi Stock Exchange

KENYA AIRWAYS NEW SHARES START TRADING

Yesterday saw the first day of trading of the new shares Kenya Airways had issued under a share rights issue, which raised nearly 14.5 billion Kenya Shillings. While short of the full subscription by some margin the funds generated will nevertheless be enough to make relevant downpayments towards new aircraft on order and payments towards a guarantee required for a loan guarantee, essential to maintain production slots at Boeing in particular for the ordered 9 B787 Dreamliners.
At hand to celebrate the event at the Nairobi Stock Exchange was the Permanent Secretary in the Ministry of Transport Mr. Joseph Kinuya, notably the Kenyan Government now holds nearly 30 percent of the companys shares, Kenya Airways Chairman Evanson Mwaniki, Chief Executive Dr. Titus Naikuni, members of his top management team and representatives of their financial advisory team and the outgoing CEO of the Capital Market Authority Ms. Stella Kilonzo.
The crucial threshold of Kenyan ownership to maintain Kenya Airways status as a national airline and to retain traffic rights under bilateral air services agreements, has also been maintained with a percentage of 55.24 percent, which is however down from previously 62.8 percent, showing that international investors saw the earnings potential of The Pride of Africa in coming years.
Trading in the new shares however was below the pegged share rights value of 14 KShs with only in average 13.20 KShs, attributed at least in part to the recent announcement of literally halved profits compared to last year, and volumes traded were just below 4 million shares yesterday.
The airline is on an aggressive growth path with monthly aircraft deliveries scheduled until March next year of new Embraer 190 jets, to be followed by additional orders of B737-800s before in the first quarter of 2014 the new B787 Dreamliner is due to come on line. Under their strategic Plan Mawingo Kenya Airways plans to fly to all political and commercial capitals of Africa by the end of 2013 before then adding more international destinations, mainly in India and China to reach 115 worldwide by 2021 with a tripled fleet of 119 aircraft including a fleet of dedicated cargo planes.
Watch this space for regular and breaking news from East Africas vibrant aviation scene.

(Celebrating success KQs CEO Dr. Titus Naikuni and the Stella Kilonzo, CEO of the CMA, with others)

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