Identifier
Created
Classification
Origin
07LAGOS566
2007-08-10 10:04:00
CONFIDENTIAL
Consulate Lagos
how-toVZCZCXRO6974 PP RUEHPA DE RUEHOS #0566 2221004 ZNY CCCCC ZZH P 101004Z AUG 07 FM AMCONSUL LAGOS TO RUEHC/SECSTATE WASHDC PRIORITY 9319 INFO RUEHZK/ECOWAS COLLECTIVE PRIORITY RUEHUJA/AMEMBASSY ABUJA PRIORITY 9108 RUEHAR/AMEMBASSY ACCRA PRIORITY 1320 RUEHDS/AMEMBASSY ADDIS ABABA PRIORITY 0180 RUEHBS/AMEMBASSY BRUSSELS PRIORITY 0466 RUEHDK/AMEMBASSY DAKAR PRIORITY 0875 RUEHRO/AMEMBASSY ROME PRIORITY 1295 RUCPDOC/DEPT OF COMMERCE WASHDC PRIORITY RULSDMK/DEPT OF TRANSPORTATION WASHDC PRIORITY
C O N F I D E N T I A L LAGOS 000566
SIPDIS
SIPDIS
DEPARTMENT PASS TO FAA (AHARRIS) AND OPIC,
TRANSPORTATION TO FAA; DAKAR FOR FAA REP MOIRA KEANE; ROME
FOR TSA REP JOHN HALINSKI
E.O. 12958: DECL: 08/09/2017
TAGS: EAIR EINV PREL NI
SUBJECT: ARIK AIR BUYS BOEING FLEET
REF: A. A. 2006 LAGOS 1269
B. B. 2006 LAGOS 1075
C. C. 2006 LAGOS 962
Classified By: Acting Consul General Donald McConnell
for reasons 1.4 (D).
C O N F I D E N T I A L LAGOS 000566
SIPDIS
SIPDIS
DEPARTMENT PASS TO FAA (AHARRIS) AND OPIC,
TRANSPORTATION TO FAA; DAKAR FOR FAA REP MOIRA KEANE; ROME
FOR TSA REP JOHN HALINSKI
E.O. 12958: DECL: 08/09/2017
TAGS: EAIR EINV PREL NI
SUBJECT: ARIK AIR BUYS BOEING FLEET
REF: A. A. 2006 LAGOS 1269
B. B. 2006 LAGOS 1075
C. C. 2006 LAGOS 962
Classified By: Acting Consul General Donald McConnell
for reasons 1.4 (D).
1. (U) Summary: Arik Air, a wholly Nigerian-owned airline,
recently purchased a new Boeing 737-700 and announced USD 3
billion of orders for a Boeing 777, 787 Dreamliner, 15
737-800s; and four Q400 Bombardier aircraft. Arik's
capitalization is unprecedented for a fully-owned Nigerian
airline, however, industry insiders note the peculiarity of
an airline acquiring AIRCRAFT before having developed a sound
business plan. End summary.
--------------
Arik and Boeing Business Booming
--------------
2. (U) On August 7, Arik Air celebrated its acquisition of a
new Boeing 737-700, with an inaugural flight from Lagos to
Abuja, followed by a press conference in Abuja. Arik began
operations only ten months ago and has already acquired a
fleet of state-of-the-art AIRCRAFT (Reftel A). During the
press conference, Arik announced orders of USD 3 billion for
a Boeing 777, Boeing 787 Dreamliner, 15 Boeing 737-800s, and
four Q400 Bombardier aircraft. Arik's fleet consists of 16
aircraft based in Lagos.
3. (U) Because of its high volume of business with Arik,
Boeing has assigned a technical advisor to Nigeria, Jeffrey
Richards, to provide full-time support to the airline.
Richards is establishing the computer-based portion of
Arik,s in-house training program and assisting the Nigerian
Civil Aviation Authority (NCAA) in modernizing its technical
library.
--------------
Technical and Safety Issues Cause Turbulence
--------------
4. (U) Arik planned to service 11 domestic routes as well as
routes to the UK and U.S. It is one of three Nigerian
carriers to receive GON rights to fly to the U.S.; the others
are Virgin Nigeria and Bellview. Nigerian-registered
aircraft are barred from flying to the U.S because Nigeria
lacks FAA Category 1 status, however, Arik is exploring
wet-lease options with other operators (Reftel B).
5. (C) In early 2007, two international oil companies (IOCs)
conducted a technical audit of Arik, in which the airline
failed. (Note: The IOCs conduct such audits to determine on
which airlines their staff may fly. End note). In July, a
U.S. FAA team conducted a technical audit of the NCAA,
including a review of Arik Air, and found that Arik had been
certified by the NCAA under previously-existing rules, which
were laxer than the current requirements for certification.
6. (C) Richards and Boeing International Executive Director,
Chamsou Deen Andjorin, reported the majority of Arik's fleet
was sitting on the tarmac, not currently in service, and it
was still hiring and training staff. Based on their
knowledge, the representatives commented that Arik was the
only airline to buy AIRCRAFT before developing a sound
business plan.
--------------
Comment
--------------
7. (C) Arik's owner, Joseph Arumemi-Johnson, and Chief
Executive Officer, Michael McTighe, have been outspoken in
their commitment to creating a safe, reliable, and profitable
Nigerian airline. In contrast, aviation insiders opined that
Arik has miles to go before it matches its impressive
capitalization with serviced routes and standardized
operating procedures. End comment.
MCCONNELL
SIPDIS
SIPDIS
DEPARTMENT PASS TO FAA (AHARRIS) AND OPIC,
TRANSPORTATION TO FAA; DAKAR FOR FAA REP MOIRA KEANE; ROME
FOR TSA REP JOHN HALINSKI
E.O. 12958: DECL: 08/09/2017
TAGS: EAIR EINV PREL NI
SUBJECT: ARIK AIR BUYS BOEING FLEET
REF: A. A. 2006 LAGOS 1269
B. B. 2006 LAGOS 1075
C. C. 2006 LAGOS 962
Classified By: Acting Consul General Donald McConnell
for reasons 1.4 (D).
1. (U) Summary: Arik Air, a wholly Nigerian-owned airline,
recently purchased a new Boeing 737-700 and announced USD 3
billion of orders for a Boeing 777, 787 Dreamliner, 15
737-800s; and four Q400 Bombardier aircraft. Arik's
capitalization is unprecedented for a fully-owned Nigerian
airline, however, industry insiders note the peculiarity of
an airline acquiring AIRCRAFT before having developed a sound
business plan. End summary.
--------------
Arik and Boeing Business Booming
--------------
2. (U) On August 7, Arik Air celebrated its acquisition of a
new Boeing 737-700, with an inaugural flight from Lagos to
Abuja, followed by a press conference in Abuja. Arik began
operations only ten months ago and has already acquired a
fleet of state-of-the-art AIRCRAFT (Reftel A). During the
press conference, Arik announced orders of USD 3 billion for
a Boeing 777, Boeing 787 Dreamliner, 15 Boeing 737-800s, and
four Q400 Bombardier aircraft. Arik's fleet consists of 16
aircraft based in Lagos.
3. (U) Because of its high volume of business with Arik,
Boeing has assigned a technical advisor to Nigeria, Jeffrey
Richards, to provide full-time support to the airline.
Richards is establishing the computer-based portion of
Arik,s in-house training program and assisting the Nigerian
Civil Aviation Authority (NCAA) in modernizing its technical
library.
--------------
Technical and Safety Issues Cause Turbulence
--------------
4. (U) Arik planned to service 11 domestic routes as well as
routes to the UK and U.S. It is one of three Nigerian
carriers to receive GON rights to fly to the U.S.; the others
are Virgin Nigeria and Bellview. Nigerian-registered
aircraft are barred from flying to the U.S because Nigeria
lacks FAA Category 1 status, however, Arik is exploring
wet-lease options with other operators (Reftel B).
5. (C) In early 2007, two international oil companies (IOCs)
conducted a technical audit of Arik, in which the airline
failed. (Note: The IOCs conduct such audits to determine on
which airlines their staff may fly. End note). In July, a
U.S. FAA team conducted a technical audit of the NCAA,
including a review of Arik Air, and found that Arik had been
certified by the NCAA under previously-existing rules, which
were laxer than the current requirements for certification.
6. (C) Richards and Boeing International Executive Director,
Chamsou Deen Andjorin, reported the majority of Arik's fleet
was sitting on the tarmac, not currently in service, and it
was still hiring and training staff. Based on their
knowledge, the representatives commented that Arik was the
only airline to buy AIRCRAFT before developing a sound
business plan.
--------------
Comment
--------------
7. (C) Arik's owner, Joseph Arumemi-Johnson, and Chief
Executive Officer, Michael McTighe, have been outspoken in
their commitment to creating a safe, reliable, and profitable
Nigerian airline. In contrast, aviation insiders opined that
Arik has miles to go before it matches its impressive
capitalization with serviced routes and standardized
operating procedures. End comment.
MCCONNELL