Partner For CAL?

Mike Adam	Hon McKeeva Bush

Friday, July 23, 2004

The Leader of Government Business and the Minister of Tourism, Hon McKeeva Bush announced at a public meeting in West Bay on Tuesday that Cayman Airways has received a proposal to purchase 49.5 percent of the airline.

Contacted for comment on Wednesday, Mr Bush confirmed that an overseas investment group had inquired about buying nearly half of the airlines’ shares, and that it was now doing a feasibility study on the purchase.

“This is just a proposal at this point,” said Mr Bush, “It has not gone to Cabinet yet.”

Mr Bush indicated that if the purchase was made, it would settle the airline’s full outstanding loan obligations. Another announcement that Mr Bush made during the meeting concerned Cayman Airways obtaining a fifth jet aircraft next month.

Airline CEO Mike Adam confirmed that CAL would take possession of another 737-300 in August on lease from the Los Angeles-based International Lease Finance Corporation.

The new aircraft will have a first class section, as will any future jet aircraft CAL obtains, according to Minister Bush. 

Cayman Airways will use the new aircraft, pending approval in the US, to service Boston beginning on 29 October 2004. 

“The northeast is one of the largest tourism-producing areas of the US,” said Mr Adam. “It would be good to get our foot in the door in the northeast again.”

Mr Adam said that decisions on new CAL routes are largely determined by Department of Tourism air arrival statistics. 

If approved for the route, which could occur as soon as Thursday according to Mr Adam, Cayman Airways would fly to Boston twice a week during the high tourist season and once per week during other times. He also said the route would be serviced year-round. 

Mr Adam added that Cayman Airways was looking into Central American routes to Panama, Costa Rica, and Honduras. 

“These routes would be further down the line toward the end of the year,” he said.

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