Identifier
Created
Classification
Origin
06ANTANANARIVO177
2006-02-22 13:07:00
UNCLASSIFIED//FOR OFFICIAL USE ONLY
Embassy Antananarivo
Cable title:
Air Mad Privatization Delayed, Boeing Interest
how-toVZCZCXYZ0005 OO RUEHWEB DE RUEHAN #0177 0531307 ZNR UUUUU ZZH O 221307Z FEB 06 FM AMEMBASSY ANTANANARIVO TO RUEHC/SECSTATE WASHDC IMMEDIATE 2329 INFO RUEHFR/AMEMBASSY PARIS 0597 RUEHPL/AMEMBASSY PORT LOUIS 0148 RUCPDOC/DEPT OF COMMERCE WASHDC
UNCLAS ANTANANARIVO 000177
SIPDIS
SENSITIVE
SIPDIS
PARIS FOR D'ELIA
DEPT FOR AF/E MBEYZEROV
DEPT FOR EB/TRA AND EB/CBA
E.O. 12958: N/A
TAGS: EAIR BEXP ECON EFIN PREL MA
SUBJECT: Air Mad Privatization Delayed, Boeing Interest
Ref: 05 Port Louis 744
UNCLAS ANTANANARIVO 000177
SIPDIS
SENSITIVE
SIPDIS
PARIS FOR D'ELIA
DEPT FOR AF/E MBEYZEROV
DEPT FOR EB/TRA AND EB/CBA
E.O. 12958: N/A
TAGS: EAIR BEXP ECON EFIN PREL MA
SUBJECT: Air Mad Privatization Delayed, Boeing Interest
Ref: 05 Port Louis 744
1. (SBU) Air Madagascar Commercial Senior Vice President
Andriamialisoa told EconOff February 14 that Air Madagascar,
the national airline, would continue to be managed by
Lufthansa Consulting for an additional two years. He
confirmed a once-planned privatization date of May 2006 had
been cancelled by the GOM in favor of keeping the Lufthansa
team in place. Andriamialisoa, a 30-year veteran with the
airline, noted with pride the turnaround in recent years
leading to profits in 2004 and 2005, but declined to further
comment on the privatization. Media reports indicate the
GOM has pulled the tender offer for Air Madagascar while it
considers other options.
2. (SBU) Turning to aircraft acquisition, Andriamialisoa
confirmed that a consortium of Indian Ocean carriers -- Air
Madagascar, Air Seychelles, and Air Mauritius - was in talks
to improve their negotiating position with suppliers
(reftel). He said Air Mad and Air Seychelles had "Boeing
cultures," and thus were inclined to buy from the American
producer. Air Mauritius, however, had a "mixed culture of
Boeing and Airbus," so it was less certain which direction
they might go. Andriamialisoa noted Air Mad needed only one
new long-haul aircraft in the medium term.
3. (SBU) EconOff asked if Air Madagascar management needed
further information or assistance in contacting Boeing.
Andriamialisoa was grateful for the offer, but noted the
next move was up to Air Mauritius.
4. (U) Background: Air Madagascar has been operated by
Lufthansa Consulting under a management contract since
September 2002. The GOM owns 89.58 percent of the airline,
with 4.78 percent owned by French firm Socit Nationale de
Participation (SONAPAR),3.48 percent by Air France, 1.91
percent by the Malagasy firm Assurance Ny Havana, and 0.25
percent by Air Mad staff and other private investors.
MCGEE
SIPDIS
SENSITIVE
SIPDIS
PARIS FOR D'ELIA
DEPT FOR AF/E MBEYZEROV
DEPT FOR EB/TRA AND EB/CBA
E.O. 12958: N/A
TAGS: EAIR BEXP ECON EFIN PREL MA
SUBJECT: Air Mad Privatization Delayed, Boeing Interest
Ref: 05 Port Louis 744
1. (SBU) Air Madagascar Commercial Senior Vice President
Andriamialisoa told EconOff February 14 that Air Madagascar,
the national airline, would continue to be managed by
Lufthansa Consulting for an additional two years. He
confirmed a once-planned privatization date of May 2006 had
been cancelled by the GOM in favor of keeping the Lufthansa
team in place. Andriamialisoa, a 30-year veteran with the
airline, noted with pride the turnaround in recent years
leading to profits in 2004 and 2005, but declined to further
comment on the privatization. Media reports indicate the
GOM has pulled the tender offer for Air Madagascar while it
considers other options.
2. (SBU) Turning to aircraft acquisition, Andriamialisoa
confirmed that a consortium of Indian Ocean carriers -- Air
Madagascar, Air Seychelles, and Air Mauritius - was in talks
to improve their negotiating position with suppliers
(reftel). He said Air Mad and Air Seychelles had "Boeing
cultures," and thus were inclined to buy from the American
producer. Air Mauritius, however, had a "mixed culture of
Boeing and Airbus," so it was less certain which direction
they might go. Andriamialisoa noted Air Mad needed only one
new long-haul aircraft in the medium term.
3. (SBU) EconOff asked if Air Madagascar management needed
further information or assistance in contacting Boeing.
Andriamialisoa was grateful for the offer, but noted the
next move was up to Air Mauritius.
4. (U) Background: Air Madagascar has been operated by
Lufthansa Consulting under a management contract since
September 2002. The GOM owns 89.58 percent of the airline,
with 4.78 percent owned by French firm Socit Nationale de
Participation (SONAPAR),3.48 percent by Air France, 1.91
percent by the Malagasy firm Assurance Ny Havana, and 0.25
percent by Air Mad staff and other private investors.
MCGEE