RJR News reports that the Jamaican government is to implement permanent measures to prevent Caribbean Airlines from racking up huge debts with Jamaican agencies.
The Trinidadian air carrier has reduced the massive debt it accumulated in fees as well as other duties in Jamaica, according to RJR News. The report relates that Dr. Omar Davies, Minister of Transport, said it was now necessary to prevent a recurrence. Dr. Davies said the new arrangement will be negotiated by officials from Jamaica and Trinidad & Tobago, the report says. Caribbean Airlines Limited -- http:// http://www.caribbean- airlines.com/ -- provides passenger airline services. It also specializes in the shipment of fresh cut flowers and packaged meats, hatching eggs, chocolates, fruits and vegetables, frozen and chilled fish, vaccines, newspapers, and magazines within the Caribbean, as well as to North America and Europe. * * * As reported in the Troubled Company Reporter on March 21, 2012, RJR News said that Caribbean Airlines Limited owes nearly US $30 million to Trinidad and Tobago's fuel provider National Petroleum. Trinidad Express said CAL enjoys a seven-day credit facility for aviation fuel from the company, according to RJR News. However, the report related that the airline has not been able to pay the full amount when invoiced and instead has been issuing partial payments to sustain the account. RJR News notes that Trinidad Express reported that the arrears were built up over the last six weeks as no payments have been made despite an attractive fuel subsidy which the airline has enjoyed since it began operations in January 2007.
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