Source: Hong Kong Information Services
Hong Kong Airlines today had new conditions attached to its licence by the Air Transport Licensing Authority which warned the licence may be revoked if the airline fails to improve its finances by the authority’s deadline.
In accordance with the two new conditions, the airline must ensure cash injection at a level determined by ATLA, and raise and maintain cash and cash equivalent level as stipulated by the authority by the deadline.
The Transport & Housing Bureau said it concurs with the authority’s decision and that the airline must face up to its problems seriously and use its best endeavours to meet the requirements by the deadline to prevent its situation from further deteriorating and to protect public interests.
Noting that it has been gradually scaling down the airline’s operation in the hope of bringing its finances under control, the bureau said the company must continue its services to passengers in accordance with the terms and conditions of air tickets concerned pending ATLA’s next decision.
The authority will take further action under the Air Transport (Licensing of Air Services) Regulations which provides for revocation or suspension of the airline’s licence if it fails to improve its financial situation as required by ATLA’s deadline.
ATLA will announce its decision by December 7.
The Civil Aviation Department has enhanced monitoring of the airline’s flight operations and aviation safety since the middle of last December.
The department also actively inspects and audits the airline to ensure its various aspects including equipment, organisation, staffing and maintenance comply with the standards of the law and secure its proper and safe operation in compliance with the conditions specified in its Air Operator’s Certificate.