Dana loses N18b to FG shut down

Dana loses N18b to FG shut down

By BusinessNews Staff on November 10, 2013

Barely a month after the Nigerian Civil Aviation Authority (NCAA) suspended the operations of Dana Air for an audit yet to commenced, the airline said it lost $25 million about N18 billion between 2012 when its operations was first suspended, and 2013 to the shut down.

Dana Air’s operation was first suspended by the Federal Government in 2012 barely two days after its MD 83 aircraft with 153 passengers crashed at Iju-Ishaga area of Lagos killing all the passengers on board and about six on ground.

The airline was again suspended by NCAA on October 6, 2013 for the audit.

In a statement made available to journalists yesterday, its spokesman, Tony Usidamen, lamented that it is now over 30 days since the NCAA directive, while expressing worry that though the airline is open and ready for the audit, there is no clear indication of when the ‘external auditors’ would begin the exercise.

He added that going by the way NCAA is handling the issue, the sincerity of the regulatory body’s planned audit of the airline is now very much in doubt.

According to Usidamen, “the company’s financial report for 2012 shows that the airline, which is Nigeria’s third largest carrier with a fleet of seven aircrafts, lost N14 billion last year, and has so far lost about N4 billion  in revenue in 2013 due to the suspension of its operations.”

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