State-owned airline suspends flights to Tamil Nadu
Sri Lankan government-owned airline Mihin Lanka has decided to stop all its operations in Tamil Nadu, cancelling all flights from Colombo to Tiruchi.
The decision comes as state-run airlines Mihin Lanka and SriLankan Airlines posted widening year-on-year losses, earlier this month.
SriLankan airlines, which have received US$100 million of tax payer capital injections to stay afloat over the last 2 years, posted losses of 20.5 billion rupees in 2012.
Mihin Lanka meanwhile lost 1.0 billion rupees in 2012, compared to 455.3 million rupees in 2011.
S K Mittal, executive director of Trans Lanka Air Travels, the Chennai-based general sales agency (GSA) for the airline, stated the decision was made after a steep fall passengers flying to and from Colombo. Mittal stated,
"We have taken a decision to ground the four flights to Colombo because of lack of patronage on this sector".
