Air Peace Ltd. has reported losses of $15 million following operational disruptions caused by the sudden withdrawal of three aircraft by its wet lessor, Smartlynx Airlines.
The Chief Commercial Officer of Air Peace, Mr. Nowel Ngala, disclosed the situation at a press conference in Lagos on Friday, explaining that the disruptions resulted in multiple flight delays and cancellations.
Air Peace had entered into a wet-lease agreement with Smartlynx to cover for 13 of its aircraft undergoing scheduled maintenance abroad.
Ngala described the withdrawal of the three aircraft as “illegal” and a breach of contract, which caused both financial and reputational damage to the airline and inconvenience to passengers.
“This withdrawal was done without prior notice. It violates industry standards and our agreement.
”Smartlynx had collected payments upfront, including over a million dollars as security deposits for these aircraft,” Ngala said.
He added that the lessor claimed the aircraft owners wanted them withdrawn.
”Despite releasing three aircraft in good faith, Air Peace is still seeking the refund of remaining aircraft and funds.
Ngala further recounted a previous incident where a lessor allegedly absconded with over $2 million under the pretext of maintenance, never returning the aircraft or funds.
“These actions highlight the challenges Nigerian carriers often face in international leasing arrangements,” he said.
Despite the disruptions, Ngala assured that Air Peace had completed its aircraft maintenance, with two aircraft already returned and full operations expected to resume next week.
He also confirmed that the airline’s London flights remained unaffected.
“We regret the inconvenience caused to our passengers and appreciate their patience. Air Peace remains committed to providing safe, reliable, and world-class flight services.
”We are taking all necessary steps to prevent such disruptions and hold defaulting partners accountable,” Ngala stated.
