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Old September 3rd, 2004, 10:38 AM   #1
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The Aviation Industry

PIA flights to improve ties with Russia, says envoy

ISLAMABAD: The resumption of PIA flights to Moscow will usher in a new era of friendship and cooperation between Pakistan and Russia, especially in the fields of trade, culture and tourism.

This was stated by Pakistan's ambassador to Russia Syed Iftikhar Murshed at a promotional seminar held at a local hotel to mark the landing of PIA's flight in Moscow, said a message received here on Tuesday.

The ambassador said Pakistan offered excellent investment opportunities, beautiful valleys, high altitude peaks and mountains, ancient civilization, deserts and beaches for Russian businessmen and tourists.

He said the PIA flights to Moscow would also help increase the volume of trade turnover between the two countries and flow of two-way tourism. Speaking on the occasion, PIA deputy managing director Kaleem Malik gave a detailed account of the airline's overseas services.

He said the airline operated the biggest fleet of the region, and had recently started operations to Almaty, Tashkent, Chicago, Milan and now to Moscow. He said the PIA would also operate flights to Los Angeles and Shanghai in near future.

The PIA, he added, had established reputation as a reliable and comfortable airline, and it would continue to improve its services. Mr Malik said PIA flights to Moscow would facilitate relations between Pakistan and Russia and bring the people of the two countries closer.

Country Manager of PIA Zaheer Hayat presented a detailed account of the airline's services, with focus on the new twice-a-week flights to Moscow via Dubai.

The presentation also highlighted the investment, trade, culture and tourism potential of Pakistan. The seminar was attended by over 200 Russian businessmen, tour operators and mediapersons. - APP

© The DAWN Group of Newspapers, 2004
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Old September 3rd, 2004, 10:39 AM   #2
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CAA extends implementation date of new embarkation fee, airport charges till October 1

KARACHI: The Civil Aviation Authority (CAA) has further extended the implementation of the enhanced embarkation fee and airport development charge by one month.

According to a CAA announcement, the decision will now come into effect from October 1 instead of September 1. The CAA announced on July 1 that the new rates would be effective from August 1.

In a letter to Jinnah International Airport's Airline Operators Committee Chairman Mujtaba Y Rizvi on Monday, the CAA said that the CAA Director General had approved to amend the implementation date of revision of embarkation fee and introduction of airport development charge from October 1 instead of September 1.

According to the CAA letter, Rizvi has been requested that all the airlines may be informed accordingly.

The Chairman, Region "A", Travel Agents Association of Pakistan (TAAP), Anwar Rasheed, reacting to the CAA announcement, told the Business Recorder: "It was unfair to announce the change just 24 hours before its implementation."

He said the travel agents had already included the increased charges on all the bookings made for travel after September 1. It would put them into a lot of difficulties in re-issuing the tickets as those who had already been charged would ask for refund adding to their difficulties further, he said.

While the national carrier, Pakistan International Airlines (pia) management is endeavouring hard, despite depressing aviation scenario, due primarily to spiralling fuel prices, to move ahead and stand in line with the world quality carriers, the regulatory body - Civil Aviation Authority (CAA) - is going just the other way round.

The CAA Board of Directors has approved revision/introduction of aeronautical charges, leading to an enhancement in the embarking fee and landing and housing charges and imposing a new "tax," ie airport development charge.

The recently announced financial results, aggressive marketing policies and induction of new generation aircraft in its fleet show that pia wants to move fast, notwithstanding the impediments that come its way.

But the CAA in one go has not only increased the embarkation fee, but also landing and housing charges have been revised upwards, making not only air travel expensive, but also scaring foreign carriers to use Jinnah International Airport (JIA).

The CAA announced on July 14 that the new rates would be effective from August 1, but following protests from the airport users, the date was advanced to September 1s. The date has now been further extended by one month.

The international embarkation fee has been increased by Rs 500 in each class and Rs 150 in all classes of domestic fee. The existing international embarkation fee is economy: Rs 400; business class: Rs 600; and first class: Rs 800.

From October 1, the new fee would be Rs 900, Rs 1,100 and Rs 1,300 respectively. Similarly, the domestic embarkation fee, which was Rs 100 for all classes would now be Rs 250.

Similarly a 50 percent increase has been announced in the domestic landing and housing charges. Landing and housing charges for international and domestic airports would be calculated on the basis of the aircraft weight.

The imposition of airport development charge at the rate of Rs 150 per on each international departing passenger only is a new "tax", which has been levied for the first time by the CAA.

"The pia has inducted new generation Boeing 777 in its fleet providing better and comfortable journey to its valued customers, but is not charging extra for the added comforts. Then why should the CAA charge for airport development," said a jittery senior airline executive.

Even when the multi-million rupee Jinnah International Airport was under construction, no airport development charge was imposed, not even when the Lahore airport was under construction and completed. Then why now, he questioned.

Airlines, travel agents and the travelling public, who are the main users, are unhappy over this unilateral increase in charges.

The only justification for the long over due revision of aeronautical tariff, provided by CAA is that to immediately take off with new Islamabad International Airport, new Gwadar International Airport, besides upgradation of Peshawar International Airport.

The airport users contend that it is the duty of the CAA to provide hassle-free services to the travelling public and "development of aviation infrastructure for the promotion of safe, efficient, economical and well co-ordinated civil aviation service in Pakistan" was no favour.

They say that the imposition of airport development charge was totally uncalled for and unjustified. Instead of burdening the travelling public, the CAA could utilise several hundred acres of expensive land lying waste along the JIA periphery and raise billions of rupees for development purposes.

The area could be used for commercial purposes. It is ideally suited for raising hotels, developing infrastructure for holding international conferences, amusement parks and shopping malls.

After all such facilities do exist at Dubai, Frankfurt and other airports and the airport development authorities make good money out of these ventures, they said.

Anwar Rasheed told the Business Recorder that the TAAP had written letters to the Finance Minister, Governor, State Bank of Pakistan, Chairman, Central Board of Revenue, and Civil Aviation Authority, inviting their attention to the unrest, which had been created among their members with regard to the collection of embarkation fee and airport development charge.

He said that the TAAP had condemned the forced collection of these charges from their customers. Their stand was that the travel agents should not be taken for granted as tax collection agency, he said, adding instead these taxes should be collected directly by the CAA as they were already collecting the following taxes:

-- airport tax, fuel surcharge and war risk, withholding tax, stamp duty and central excise duty.

He said if it was not feasible for the CAA to collect the embarkation fee and airport development charge themselves, then 10 percent compensation fee on gross tax collection be allowed to the travel agents.

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Old September 3rd, 2004, 10:42 AM   #3
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New air service between Manchester and Islamabad

LONDON : The Global Spirit Airlines will soon inaugurate the air services between Islamabad and Manchester.

The airline will operate under the UK Civil Aviation regulations and is initially planning to operate twice weekly from Manchester to Islamabad.

The Chairman of the Airlines Tasejad Jeffery said that they were just awaiting the final paperwork from the Pakistani authorities. “The service has got formal approval by the UK authorities. We have fulfilled all the regulations under the air services agreements between the UK and Pakistan” he said.

He said that this would be a wonderful boost to the economic ties between the UK and Pakistan and would further encourage the opening up of more business and investment between our countries.

“The airline will deliver a style of service that reflects the unique qualities requested by the customers, direct services, a style based on Islamic traditions and above all, safety and reliability”, he added.

http://www.pakistanlink.com/headlines/Sept04/01/06.html
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Old September 3rd, 2004, 10:47 AM   #4
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Friendly and small - Skardu Airport (in Northern Pakistan)

737 in new livery

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Old September 3rd, 2004, 10:50 AM   #5
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PIA to replace its old fleet with 7 new aircrafts

Pakistan International Airline Company (PIA) Board of Directors in its 281st meeting held on August 26th, considered details of a comparative study carried out by Board's Committee for replacement of F-27 fleet.
Board meeting evaluated the available options and in considered all of technical, operational and financial factors of three types of Turbo Prop aircraft viz Dash8, ATR42 and SAAB2000.

At last, after consideration all factors PIA Board decided to select seven new DASH8-300 aircraft fitted with Pratt and Whitney engines for induction in PIA fleet to replace its old F-27 fleet, said a press released issued here on Friday.

The meeting observed that with the induction of these new aircrafts, the national carrier will be able to provide better services to its passengers.

However, unless the government provides subsidy for this noncommercial operations, the new aircrafts will increase PIA's losses on these routes to Rs. 550 million, it said
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Old September 3rd, 2004, 10:54 AM   #6
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PIA seeks income tax exemption on employees free travel

ISLAMABAD: Pakistan International Airlines (PIA) has approached Central Board of Revenue (CBR) for availing exemption of income tax on free air travel by its employees.

Sources told Business Recorder here on Saturday that the national flag carrier has sought clarification regarding tax exemption available under Income Tax Rules 2002.

The Central Board of Revenue (CBR) has started consultation with the Commissioners of Income Tax (CITs) to ascertain whether the exemption is available for pia employees under the income tax law or not.

The CBR will issue the clarification after receiving the viewpoint of concerned commissioners.

pia has informed CBR that the Corporation is engaged in the business of transport of passengers/carriage of goods.

As and when the revenue passenger is not available and the seat is vacant, the employees are provided free passage as per service rules, which has been exempted from tax under rule 15 of the Income Tax Rules 1982 as well as is exempt under sub-rule (2) of Rule 7 of the Income Tax Rules 2002.

The relevant provision of Income Tax Rules 2002 says as: "7. Provision of passage for travel: Where the transport is provided free of cost or at a concessional rate, by an undertaking engaged in the transport of passengers of the carriage of goods to any employees of the undertaking (including the members of the household and dependants) in any conveyance owned or chartered by the undertaking for the purpose of the transport of the passenger or carriage of goods, nothing shall be added to his income".

pia added that the CBR may issue a clarification that exemption granted under Rule 7(2) of the Income Tax Rules 2002, is applicable in the case of all pia employees.

Sources said that the CBR has started a countrywide exercise to figure out the status of tax exemption available under Income Tax Rules 2002 to pia employees regarding free air travel.

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Old September 3rd, 2004, 10:55 AM   #7
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Pakistan International Airlines Takes Off with AT&T Integrated Networking Solution



NEW YORK, Sept. 1 /PRNewswire/ -- Pakistan International Airlines (PIA), the national airline of Pakistan, has awarded AT&T a multi-year contract to upgrade its global networking platform.

PIA serves four continents and 39 countries, including the United States, on its international routes, as well as 35 cities inside Pakistan. PIA is the first Asian airline to operate a pure jet aircraft fleet.

AT&T will deploy an integrated networking solution to support PIA's global reservation system calls from around the world to PIA's customer reservations center in Karachi, Pakistan. AT&T will house PIA's PBX in its New York Internet Data Center (IDC); from there customers' calls will be routed to the Karachi center via international private-line service and AT&T's global network. The AT&T solution also includes local, domestic toll-free, domestic and international long-distance, and global inbound services.

The contract includes services previously provided by Verizon.

About AT&T

For more than 125 years, AT&T (NYSE "T") has been known for unparalleled quality and reliability in communications. Backed by the research and development capabilities of AT&T Labs, the company is a global leader in local, long distance, Internet and transaction-based voice and data services.

http://www.tmcnet.com/usubmit/2004/Sep/1069695.htm
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Old September 3rd, 2004, 10:57 AM   #8
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Violence halts Pakistan's Nepal flights
Thu 2 September, 2004 08:00

KARACHI (Reuters) - Pakistan International Airlines (PIA) has suspended flights to Nepal after its office in Kathmandu was ransacked in anti-Muslim rioting that followed the killing of Nepali workers in Iraq.

"We have suspended our flights to Kathmandu because of the security problem," Basheer Ahmed, a spokesman for the state-run airline, said on Thursday. "They will remain suspended until the situation improves there."

PIA operates two weekly flights to Kathmandu, where anti-Muslim riots broke out on Wednesday following the killing of 12 Nepalis by militants in Iraq.

Crowds attacked the offices of Saudi Arabian Airlines and Qatar Airways as well as that of PIA.

Pakistan's Foreign Ministry termed the attack on the PIA office "really regrettable", while adding that Pakistan condemned the killing of the Nepali workers.

"We have called upon the Nepali government to provide full security and protection to Pakistan's diplomatic officials and private personnel and premises," the state-run APP news agency quoted Foreign Ministry spokesman Masood Khan as saying.

Nepali police shot dead two men on Wednesday after crowds attacked a mosque in Kathmandu and charged through streets chanting "Down with Islam" to protest against the killings in Iraq.

http://www.reuters.co.uk/newsPackage...2&section=news
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Old September 3rd, 2004, 10:58 AM   #9
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Airblue and Gerry's Fedex enter into accord

KARACHI (September 03 2004): Airblue has signed an agreement with Gerry's Fedex to provide E-ticketing services to the Airblue customers. Now web customers could avail this facility from 16 offices of Gerry's Fedex throughout Pakistan; out of which eight are in Karachi, five in Lahore, two in Islamabad and one in Rawalpindi.

The agreement was signed by S I Mehdi, General Manager Gerry's and S Nasir Ali, Director Commercial of Airblue in a simple ceremony held here recently.

On the occasion, S Nasir Ali said that it would be a milestone in E-ticketing and the passengers will have direct and quick access to the website. The website address is www.airblue.com and list of centres can also be seen at the same site.

S I Mehdi said it is a privilege for Fedex to provide these innovative services to the passengers throughout Pakistan.

Airblue is a pioneer in introducing E-ticketing in Pakistan. The customer's appreciation has encourage the company to expand its services with acceptance of cash payment on Gerry's Fedex centres.-PR

Copyright Business Recorder, 2004
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Old September 3rd, 2004, 11:07 AM   #10
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Global institutions keen to invest in PIA

LAHORE: As the Pakistan International Airlines (pia) has become a profit-earning and financially very sound state-owned enterprise, international financial institutions are showing increasing interest in making investment in it.

pia sources said here the national carrier is strictly fulfilling all conditions of loans it had taken from the Exim Bank, adding in view of good financial health of pia, some other financial institutions have made offers for investment in the airlines.

Appreciating these offers as positive sign and reflective of pia's good performance, the sources said more investment would enable the pia to provide even better travelling facilities to its valued customers.

About punctuality of flights within the country and on international routes, the sources said after achieving record 89 percent punctuality level in May last, efforts for further improvement in this regard are continuing.

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Old September 5th, 2004, 10:39 PM   #11
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Aero firm gains spur new hires
By David Wichner
ARIZONA DAILY STAR

Tucson-based Hamilton Aerospace Technologies is accelerating hiring as it continues to land new business.

On Monday, Hamilton announced a $3 million contract to refurbish four former America West Boeing 737 jets for a Pakistani airline.

The work for Shaheen Air International and other recent contracts have boosted hiring plans Hamilton announced earlier this year.

The company had said it would hire 75 to 100 aircraft mechanics to handle new contract work, bringing its payroll to about 200 workers by year's end.

"We're at 200 now, and we're going to need another 50 people by mid-October," said Gordon D. Hamilton, a Hamilton board member. Located at Tucson International Airport, Hamilton Aerospace provides maintenance, repair and overhaul services on large passenger jets for scheduled and charter airlines and aviation leasing companies.

The contract with Shaheen Air involves heavy maintenance checks, painting and other refurbishment work on the 737s.

Hamilton, a wholly owned subsidiary of the publicly traded Renegade Venture Corp., expects to deliver the aircraft by the end of the year.

Founded in 1993, Shaheen Air operates a fleet of six aircraft with more than 30 weekly flights to 10 domestic and international destinations, including Karachi, Islamabad and Peshawar, Pakistan; Dubai, United Arab Emirates, and Kuwait City.

Aamer Ali Sharieff, CEO of Shaheen Air, said in a statement that the airline chose Hamilton for the contract work after airline officials visited the Tucson maintenance center.

Revenue from the latest contract already was factored into Renegade's forecast of about $20 million in revenues and $2 million in net profits for this year, Hamilton said.

For the first half of 2004, Renegade posted $1.6 million in net income on revenues of $8.6 million, compared with a net loss of about $500,000 in the first half of 2003.

"We've been focusing on this slow, steady growth, trying to be careful and making a profit," Hamilton said, noting the company would likely peak at employment of about 350 at TIA.

Hamilton Aerospace was formed after Renegade bought the assets of bankrupt Hamilton Aviation Inc. in 2002.

The company is negotiating a new, multiyear lease with the Tucson Airport Authority, Hamilton said.

In July, Hamilton acquired its neighbor at TIA, aircraft parts broker World Jet Corp., for $1.55 million.

Shares in Renegade, which earlier this year moved its corporate headquarters to Tucson from Denver, rose 2 cents Monday to close at 58 cents in over-the-counter trading.

http://www.dailystar.com/dailystar/business/36670.php
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Old September 6th, 2004, 02:53 AM   #12
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CAA and Hong Kong firm sign deal for duty-free shop

KARACHI (September 06 2004): The Civil Aviation Authority (CAA) on Saturday signed an agreement with a Hong Kong-based company, the Eastern Duty-Free Services (Pvt) Ltd (EDF) to establish a duty-free shop at the Jinnah International Airport, Karachi, to facilitate arriving as well as departing passengers, including those in transit.

The agreement was signed at the CAA Headquarters, Karachi.

Jinnah International Airport CAA Director Yousuf Abbas and EDF Chairman Henerique F. Weil signed the agreement on behalf of their respective organisations.

Copyright Associated Press of Pakistan, 2004
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Old September 6th, 2004, 08:02 AM   #13
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Quote:
Originally Posted by Sultan
PIA to replace its old fleet with 7 new aircrafts

Pakistan International Airline Company (PIA) Board of Directors in its 281st meeting held on August 26th, considered details of a comparative study carried out by Board's Committee for replacement of F-27 fleet.
Board meeting evaluated the available options and in considered all of technical, operational and financial factors of three types of Turbo Prop aircraft viz Dash8, ATR42 and SAAB2000.

At last, after consideration all factors PIA Board decided to select seven new DASH8-300 aircraft fitted with Pratt and Whitney engines for induction in PIA fleet to replace its old F-27 fleet, said a press released issued here on Friday.

The meeting observed that with the induction of these new aircrafts, the national carrier will be able to provide better services to its passengers.

However, unless the government provides subsidy for this noncommercial operations, the new aircrafts will increase PIA's losses on these routes to Rs. 550 million, it said
ok this is interesting ... i had heard that PIA had actually decided to purchase 7 Saab 2000s, as part of a deal that was agreed with the firm ... PAF would take 7 Saabs and PIA would take 7. I think that although it is a thousand times better than the present F 27s, the Dash 8-300 is one of the best of the options ... its used extensively by British Airways. However the Saab 2000 is not bad either, the ATR is the worst of the options i had the misfortune of going from Dubai to Muscat in an ATR 42 of Oman Air ... it wasnt a good experience.

http://www.airliners.net/open.file?id=111550

http://www.airliners.net/open.file?i...TA4&static=yes

Dash 8-300

http://www.airliners.net/open.file?i...DMz&static=yes

Saab 2000

http://www.airliners.net/open.file?i...DY5&static=yes

ATR 42
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Old September 6th, 2004, 07:38 PM   #14
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Saab 2000 can come with an Ericsson AWAC system !
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Old September 6th, 2004, 08:34 PM   #15
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Quote:
Originally Posted by Sultan
Saab 2000 can come with an Ericsson AWAC system !
which is why the PAF bought 7 of them ... and as far as i knew it was also agreed that PIA would buy 7.
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Old September 6th, 2004, 08:41 PM   #16
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I think PIA changed its mind, and is going for DASH, and PAF would go with the SAAB.
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Old September 6th, 2004, 09:46 PM   #17
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Quote:
Originally Posted by Sultan
I think PIA changed its mind, and is going for DASH, and PAF would go with the SAAB.
Here is the article from pakistanidefence.com ... its from April of this year:

Pakistan To Receive Swedish ERIEYE AEW&C System And SAAB Aircrafts

July 14, 2004: Pakistan has taken a big leap to strengthen its fast depleting air power by securing a nod from Sweden to sell Islamabad an Airborne Early Warning and Control System (AEW&CS), informed sources said. This state-of-the-art system will also augment Pakistan Navy’s existing potential for maritime and tactical surveillance, the sources added. Close to final approval is Pakistan’s decision to acquire 14 SAAB 2000 aircraft from Sweden. Seven of these aircraft will be dedicated for the PAF’s AEW&CS while the remaining seven will be acquired by the PIA to replace its fleet of Fokker aircraft, which have already been grounded, the sources said.

Several Fokker-related incidents, including the last year’s crash that killed the then chief of air staff, air marshal Mushaf Ali Mir, and 17 other PAF officials, the PIA had decided last year to sell its fleet of 11 aircraft and replace them with compatible ones. The seven SAAB 2000 that will replace the ageing Fokkers on the PIA’s heavily subsidized socio-economic routes will help the airline save about Rs 200 million on the subsidized routes that cost the PIA about Rs 400 million every year. Because of the composite nature of the deal, the PIA would pay only $45 million for the seven SAAB aircraft as against the $98 million for the French ATR and $91 million for the American Dash-8 that will cost about $98 million. For its part the Swedish government has provided a guarantee for the smooth supply of SAAB spare parts as long as the aircraft is flown anywhere in the world, the PIA sources confirmed. Six hundred of such planes are being flown all over the world.

http://www.pakistanidefence.com/news...AWECS_DEAL.htm

If this article is correct ... then is baffles me as to why PIA would change their minds and go for the 91 million Dash 8 ... and let go of this special deal they have with the swedish government. :confused:
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Old September 6th, 2004, 09:48 PM   #18
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This is also a very interesting link ... All three firms involved brought their planes over to Pakistan for PIA to evaluate and choose ... perhaps this is when PIA changed their mind. What do you guys think .. which of the 3 is better?

http://www.pakistaniaviation.com/pho...00_may2004.htm
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Last edited by HasanB; September 6th, 2004 at 09:59 PM.
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Old September 8th, 2004, 02:42 AM   #19
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Turkey and Indonesia approach PIA for aircraft maintenance

RECORDER REPORT

KARACHI (September 08 2004): Airlines from Turkey and Indonesia have approached Pakistan International Airlines' Engineering and Maintenance Department for the maintenance of their commercial aircraft.

According to a PIA press release issued here, Air Vice-Marshal Niaz Husain (Retd), Deputy Managing Director, Operations/Accountable Manager of PIA Engineering and Maintenance, has expressed his appreciation and pride to all employees of the department on passing the surveillance audit of European Aviation Safety Agency (EASA)conducted from August 16 to 20 and maintaining the EASA Part-145 approval successfully.

The auditors from EASA, who conducted the follow up audit of PIA Engineering and Maintenance and on August 31, issued a formal report to the PIA management, stating their satisfaction and clearing the department of continuity and compliance of Part-145 requirements.

He reiterated that acquiring European quality approval and maintaining it through the subsequent surveillance audit for such a large scope of work of the national flag carrier was unprecedented in this region.

"It is the best proof of commitment to excellence, competence and adherence to quality standard procedures," he said.

He said the department had become the first approved maintenance organisation in the region to not only acquire the approval from the EASA in March 2004, but also to clear the first surveillance audit in August 2004, successfully.

The department has the largest scope of approval covering almost all the aspects and areas of expertise of aviation engineering and maintenance in commercial aircraft categories.

In recognition, the department has attracted customers from Turkey and Indonesia and many more are contacting to avail of the services and hi-tech expertise of the PIA Engineering and Maintenance Department.

Copyright Business Recorder, 2004
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Old September 8th, 2004, 08:09 AM   #20
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Fire on board PIA A300 aircraft

PIA Boeing with 276 Passengers Escapes Disaster
By Omair Rasheed - Pakistan Times Staff Correspondent


LAHORE: An aircraft of Pakistan International Airlines [PIA] with 276 persons aboard had to make an emergency landing after an engine caught fire, shortly after its' take off.

The Airbus A300 aircraft made the emergency landing at Allama Iqbal International Airport in Lahore late on Monday night, minutes after taking off for Riyadh, the capital of Saudi Arabia.

'Pakistan Times' understands that the pilots reported the engine fire. No-one was injured in the incident.

A spokesman for the airport said that the engine fire was caused by 'a technical fault.' A replacement aircraft took over the flight which was delayed by an hour, sources said.

Flight PK 734 took off from Lahore Airport at 21:20 PST [16:20 GMT] on Monday. Soon afterwards, one of its engines caught fire. This was noticed by people living in localities near the airport. Some of them reported the incident to the control tower and some to newspapers.

Full Article : http://www.pakistantimes.net/2004/09/08/top6.htm
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