LAM pratica preços elevados mesmo sem ter robustez competitiva na região, diz Dane Kondic


LAM lacks competitive strength in the region, admits Dane Kondic

LAM não tem robustez competitiva na região, admite Dane Kondic

The Chairman of the Management and Restructuring Committee of Mozambique Airlines (LAM), Dane Kondic, admitted that, among other problems, he found the company at a competitive disadvantage compared to its regional competitors.

Among the main reasons that put LAM in the competitive tail for customers are the poor ability to charter flights and reach more destinations because it has few planes and the company's financial deficit "which is a bottomless pit".

"We must also understand that today LAM is unfortunately flying with four aircraft. These planes are not ours, they are leased from other airlines. So if we talk about competition, our competitors have several aircraft," he said.

Allied to this factor, he noted that LAM had been taken to court by some of the aircraft lessors because, unfortunately, over the last three years, the company had not been paying its bills. "Now we're trying to get those planes back". And as a result of this effort, LAM and Knighthood Global have managed to allocate an aircraft to their own fleet for the first time since 2008. "We have concluded the deal and we have title to that aircraft." Read more...

Looking particularly at competing companies in South Africa, Kondic said that they fly to eight destinations in Mozambique, while LAM only flies to one, Johannesburg.

"I think it would be a mistake if anyone wanted to make a case about us not being in a dominant position. We don't have a dominant position. We are trying everything we can to restructure this company," he said at a press conference called in response to the fine of around 11 million meticais. Read more...

The President of the Commission recalled that LAM charges high prices for its flight services, even if bookings are made more than three weeks in advance.

"And the other airlines always have more affordable fares, even if you book just a few hours before the flight," he noted.

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