Sama gets $53.3m financial boost
SAMA Airlines of Saudi Arabia has received a big financial boost with the shareholders deciding to pump $53.33 million into the airline. Prince Bandar bin Khalid al Faisal, chairman of Sama, said the airline’s shareholders have been encouraged by the progress Sama has made in the past year since its launch.
“Sama has achieved a number of major milestones that currently demonstrate how the business is progressing. For instance, we had one million passenger booking in the first year, a route network serving 22 destinations across Saudi Arabia and the Middle East besides being awarded ‘Best new brand’ by Gulf Marketing Review, ‘Best in Aviation’ by Arabian Business, among other achievements,” he said.
Sama has seen very strong bookings on international routes, clearly demonstrating the huge demand for quality, low fares regional travel between Saudi Arabia and the Middle East. “Our revenues have increased over 250 per cent for first half of 2008 and our international routes have already moved into profitability.”
The biggest challenge for Sama will be to maintain a domestic fare cap amid escalating oil prices.