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CPA confident on Mandarin’s return
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Posted on Apr 26 2001
The Commonwealth Ports Authority expressed hopes Mandarin Airlines will resume its Saipan-Taipei air transport services after the scheduled three-month suspension.
Executive Director Carlos H. Salas said CPA is confident Mandarin Air will stand firm on its pledge to resume the aborted Saipan-Taipei flights after it completed aircraft maintenance procedures.
Mr. Salas made this statement despite the absence of any official confirmation from the Taipei-based airline company regarding previous plans to resume CNMI operations by June, when the three-month flight suspension expires.
“We are hoping that they are going to resume their flights,” said Mr. Salas in an interview.
Mandarin Air suspended flights to the Northern Mariana Islands due to continued revenue losses since November 2000 after the termination of charter agreement with Tinian Dynasty Hotel and Casino.
Since November last year, Mandarin Air incurred $12,000 losses per roundtrip flight on its operational costs, not to mention the continued decline in passenger haul.
The suspension was immediately decided upon to take effect from March 24 to June this year to prevent an estimated $20,000 per roundtrip flight revenue loss.
During the suspension, CNMI is projected to lose an estimated 30 flights and over 4,300 passengers.
In January this year, Mandarin Air enplaned 822 passengers and deplaned 708 while February pegged an enplanement of 886 and deplanement of 872. Records disclosed an estimated 62 percent and 65 percent passenger load for the last two months.
Mandarin Air officials decided to suspend operations starting March to June, believed to be the leanest and slowest season for tourism industry.
Aircraft used by Mandarin Air will be flying out of Saipan to undergo maintenance operations in line with the Federal Aviation Administration directive on ETOPS.
FAA regulations require carriers to be on top of its maintenance operations and ETOPS upgrading will commence this month through May. (EGA)
