The Tribune

By NATARIO McKeNZIE

Tribune Business

Reporter

nmckenzie@tribunemedia.net

A leading Bahamian airline executive says he would back Bahamasair's 'strategic' exit from the domestic market, arguing: "You can't spend more than you make".

"With Bahamasair, the goal was to go and build, open or expand markets, to get people to come from Europe, North America, Asia, South America and even to partner with other operators. We have a national flag carrier which should really be bringing visitors here. We cannot depend on the foreign carriers. You will be at their whim when they decide to move, and what they decide to charge," said Sky Bahamas president, Randy Butler.

He was speaking after the Minister of Tourism and Aviation, Dionisio D'Aguilar, last week speculated about the possibility of reducing Bahamasair's domestic presence year-to-year, with the ultimate goal of withdrawing from that market segment completely in the coming years.

"I'm glad to hear that the Minister is thinking that," said Mr Butler.

"That was the original plan, and that's why folks like us got into the business. I think it was a bad deal purchasing those airlines just servicing the domestic route and flying people to Miami, Fort Lauderdale and Orlando.

"You have to do things that make business sense. If Bahamasair leaves the domestic market today, I don't think anyone would miss them but it has to be strategic. If they don't do it this year they will have problems going forward. They may have to look at code sharing with other airlines, and maybe look at leasing equipment."

Mr D'Aguilar recently told The Tribune that the Government must find a way to "encourage and develop" the domestic aviation industry, while it works to end its presence in it.

"We have used Bahamasair, at least internationally, as a way to carry Bahamians to and from Florida, and not as a tourism tool to bring people to this country," he told The Tribune. "There is more than Nassau to Miami, Nassau to Orlando and Nassau to Fort Lauderdale.

"We have been beating ourselves up with the Nassau to Florida route for so long, when there are so many other carriers that run that route. There are other routes that we can take, other routes that we can make where we can earn something. We want to explore international routes, which we can offer as non-stop direct because those are routes that are less competitive."