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LAM admits that fleet reduction led to flight cancellations

Image Credit: Notícias ao Minuto

The spokesperson for the national airline, Alfredo Cossa, acknowledged in a press conference that they are experiencing constant rescheduling and cancellations of flights due to insufficient passenger processing capacity.

With the removal of the CemAir CRJ 900 jets, a South African private airline capable of holding 90 passengers each, the Mozambican state airline is now operating with three aircraft: two Embraer 145s with a seating capacity of 50 passengers and another aircraft that can seat 37 passengers. However, the third aircraft does not operate regularly since it is not owned by LAM.

“We are now focusing on seeking partners to resolve the crisis we are experiencing and are in negotiations with partners,” remarked Alfredo Cossa.

The airline stated that the termination of the contract with the South African company that owned the CRJ 900 planes was unilateral and without prior notice, leading to a significant reduction in passenger flow.

On April 13, LAM canceled domestic flights on the route between Maputo and Quelimane due to an aircraft malfunction, an issue that has occurred repeatedly in recent weeks. This marks the second such incident in less than two weeks.

On January 31, LAM initiated a procedure to procure Embraer ERJ190 and Boeing 737-700 planes, as previously reported, although the results of this procurement process remain unknown.

The tender involved submitting expressions of interest for these aircraft models from national or international companies or consortia by February 7.

An airline source explained that the number of aircraft to be acquired was not set, with the decision dependent on the proposals submitted in this tender.

For several years, LAM has faced operational challenges attributed to a reduced fleet and lack of investment, with several non-fatal incidents blamed on inadequate aircraft maintenance.

The repeated issues prompted the hiring of South African firm Fly Modern Ark (FMA).

The contract with FMA, which started in April 2023, ended on September 12, 2024. FMA was enlisted to implement a revitalization strategy following years of operational problems related to a limited fleet and insufficient investment, alongside incidents linked to poor aircraft maintenance.

Upon taking over the management of the state airline, FMA acknowledged LAM’s estimated debt of approximately $300 million (269 million euros at the current exchange rate).

Last week, the Mozambican Public Prosecutor’s Office announced the launch of an investigation into the agreement between FMA and Mozambican entities to restructure the state-owned LAM.

The prosecutor’s office also stated that an ongoing investigation into alleged corruption schemes related to ticket sales at LAM has not yet identified any defendants. The investigation aims to determine the ownership of the payment terminal machines used for ticket sales, assess the losses incurred, and identify the responsible parties.

In February, the government authorized the sale of a 91% stake in LAM to state-owned companies, earmarking the proceeds for the purchase of eight aircraft.

On average, LAM currently serves 915 passengers daily on domestic and regional routes.

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