The Tribune

By LEANDRA ROLLE

Tribune Staff Reporter

lrolle@tribunemedia.net

BAHAMASAIR chairman Tommy Turnquest yesterday described the national airline’s current financial state of affairs due to the COVID-19 pandemic as being “very rough,” adding that officials are anxiously awaiting the government’s greenlight on the resumption of domestic and international travel.

In the meantime, Mr Turnquest said the airline is currently focusing its energy on operational training of its staff.

This comes after government officials said they are eying late October or early November as a potential reopening date for the country’s borders.

“It’s been very rough,” said Mr Turnquest. “There’s been no operations since the 28th or 29th of July. We are awaiting the government’s indication in regard to firstly, domestic travel and then secondly, international travel.

“Bahamasair is using the opportunity for training with a new operating system and so this has been a good time for our staff to get involved in the training. We’ve been looking at the finances in terms of the outstanding payables, what are the cost of operations, types of operation, how are we able to operate in a more efficient manner.”

He added: “And so we’ve been using the time constructively in my view - the executive management, the managers, supervisors and the line staff—all in my view realise that they are getting paid and they’ve got to add some value and I think that they are adding value by undergoing training.

“…We have a maintenance team, they’re going in and turning over their engines. They’ve sanitised everything. We need to be ready. The key is to be able to make sure we can operate.”

On Monday, Prime Minister Dr Hubert Minnis revealed that the government has not yet made a decision concerning salary deferrals for Bahamasair’s employees.

This comes after he warned last month that the government may have to consider deferring a portion of salaries for the airline’s employees as a result of the economic fallout from the COVID-19 crisis.

Yesterday, the chairman told reporters that all salaries had been paid to date. However, he acknowledged that officials are currently engaged in discussions with the Minnis administration concerning its funding for upcoming payment for workers.

He said: “Firstly, let me say that we have paid salaries to date and a salary is due again on Friday and we’re in discussions with the government to fund that. Once that’s funded, we’ll pass it on but we make absolutely no money from lack of operations and we have no reserves unfortunately.”

Asked yesterday if Bahamasair was operating only because of the mercies of the government, he replied: “Well, Bahamasair is always at the mercy of the government. The government is the shareholder representing the people of the Bahamas and no it’s not safe to say that because we only operate in terms of the government.

“The government is our only shareholder. Any company operates on behalf of its shareholders so that’s not earth shattering in any way. We’re not making any revenue so we’re relying on rejection on the shareholder.”

In July, Mr Turnquest warned the airline will “close down” without an increase in taxpayer subsidies after its top-line was cut by $22m due to Hurricane Dorian and COVID-19.

Mr Turnquest, speaking after the national flag carrier was ordered to cease commercial flights into the US, told Tribune Business that revenues for the 2020 financial year that just closed at end-June were likely to be down 24 percent year-over-year - from $92m to $70m.