PIA employee union summons emergency meeting

KARACHI: The Pakistan International Airlines (PIA’s) employee Union summoned an emergency meeting to address the issue of privatisation of the national airlines, ARY News reported on Wednesday.

During the meeting, the CBA Union – People’s Unity is expected to make important decisions regarding the resumption of its movement against the privatisation of the PIA.

Hidayat Ullah Khan, the president of People’s Unity, stated that, “PIA is a national asset and will not be allowed to be privatised under any circumstances.”

He maintained that the union will take firm stand and will not allow anyone to sold or privatise the local and international assets of the national airline including the outsourcing of the flight kitchen in Islamabad.

Earlier in the day, after the privatisation of the Roosevelt Hotel, the privatisation commission also sought the details of the PIA-owned Scribe Hotel in Paris.

According to the details, the privatisation commission sought details of the assets, finances, and management agreements from Pakistan International Airlines (PIA).

Sources close to the development claimed that after the privatisation process of the Roosevelt Hotel in New York, United States (US), the privatisation commission also sought details of the PIA-owned Sofitel Scribe Hotel in Paris.

The privatisation process of the PIA’s assets – valued a total of Rs 176 billion – in various countries has been listed for sale, including the property in Holland, New York and Pakistan.

Sources reported that the financial obligations of debts of the national flag carrier is Rs 742 billion against its assets of Rs 14.7 billion. The most of the loan was taken to cover losses of 2003, which burdened the national airline with annual payment of Rs 122 billion.

READ: PIA cancels several flights amid financial crunch

The administration of the national airline directed the interested firms in financial advisory of Roosevelt Hotel to submit the application by October 09, along with an application fee of $1000.

Sources stated that the applications will be sought from various firms regarding the sale of other remaining assets of PIA.

The aviation experts expressed that the Pakistan’s economic condition and negative credit rating can cause hurdles in the way of PIA to get foreign investment.

“PIA owns valuable properties in Pakistan and abroad and it is crucial to conduct a thorough financial assessment in order to prevent any losses to the country,” aviation experts stated.