Kenya Airways and Air Mauritius Extend their Codeshare Agreement

Kenya Airways and Air Mauritius have signed an MOU to extend their collaboration in a bid to offer their customers more possibilities for connections at their hubs in Nairobi and Mauritius.

The two airlines already have a longstanding code-share agreement under which Kenya Airways place its code on the three weekly flights operated by Air Mauritius on the Mauritius – Nairobi route.

Air Mauritius uses Nairobi as a hub from where it offers connections to a number of destinations in Eastern and Central Africa through KQ network. Kenya Airways also uses Mauritius as a platform to connect on the Air Mauritius network.

Commenting on the partnership, Kenya Airways Group Managing Director and CEO Sebastian Mikosz said: “Kenya Airways is working towards strengthening its network and consolidating Nairobi’s position as a leading hub in East Africa. The networks of both our airlines are complementary and we are confident that this agreement will allow us find the synergies for us to grow our respective networks.”

“This agreement is in line with the country’s Vision 2030 and our network strategy to tap into the emerging opportunities in Africa. Kenya Airways is a strong player on the continent and has a solid network that can give us better access to East Africa, Central Africa and very soon to the USA. We value our partnership with Kenya Airways and are looking forward to take it to another level.” stated Somas Appavou, Air Mauritius CEO.

The agreement was signed by the CEOs from both airlines and witnessed by Mike Seetaramadoo, EVP Commercial & Resource Optimization at Air Mauritius and Vincent Coste, Kenya Airways Chief Commercial Officer.

Kenya Airways partner with Cellulant and Pesalink to offer Innovative online Payment Solutions

Kenya Airways has partnered with Pesalink, a switch which has over thirty banks, in a move that will provide a variety of mobile and bank payment options to its customers paying for bookings online.

Mr Michael Mbuthia, CIO Integrated Payment Services Ltd (IPSL), Vincent Coste, Kenya Airways Chief Commercial Officer and Mr Bryan Kariuki, Group Head of New Product Execution, Cellulant during the signing of partnership agreement to offer Innovative online Payment Solutions .

The first of its kind payment solution for corporates will be powered by Cellulant, a multinational payments company in Africa providing one-stop shop payment solutions that enable businesses and consumers to make and accept digital payments.

Commenting on the partnership, Kenya Airways Chief Commercial Officer Vincent Coste noted that the airline is keen to continually offer innovative solutions at a speed to match the constantly evolving marketplace by embracing technology to enhance customer experience and increase efficiency in how it does business.

“We continue to partner with the different Fintech companies across the world which will help Kenya Airways improve the online payment experience and increase confidence to its customers while paying for their tickets at Kenya Airways website and mobile app”, Said Vincent Coste.

Kenya Airways is the first Merchant to offer Pesalink at the checkout page, a move that will see KQ customers enjoy low transactional fee when making ticket payments using Pesalink on Kenya Airways website and mobile app for amounts up to Ksh 999,999.

Group Head of New Product Execution at Cellulant, Mr Bryan Kariuki said; “We are proud to power payments for Kenya Airways. Through our Mula payment platform, customers in Kenya can now book their tickets online using over 30 mobile money wallets and banks. This is a first in the region. We are now rolling out this capability across 33 countries in Africa, to include over 140 mobile money wallets and banks.”

Integrated Payment Services Ltd (IPSL) CIO Mr Michael Mbuthia said, “This is our first integration of its kind and we are glad to partner with Kenya Airways. Customers flying the Pride of Africa will now be able to make ticket payments using Pesalink for amounts up to Ksh 999,999”.

Kenya Airways secures its future with the conclusion of its financial restructuring plan

Kenya Airways PLC has taken another step to securing its long-term growth with the close of its financial and capital optimisation plan.

The restructuring plan saw all key stakeholders sign their commitment to be part of the airline’s future this week, thus paving way for its continued operational efficiency and financial sustainability.

On 7th August 2017, the restructuring of Kenya Airways gathered momentum when shareholders approved the process at an Extraordinary General Meeting (EGM) held in Nairobi. This allowed as part of the restructuring process a reduction of its debt exposure with about Ksh 50 billion being converted to equity, thus strengthening the airline’s balance sheet.

“The Government continues to support Kenya Airways as it is a valuable national strategic asset. The bolstering of its balance sheet places the airline on a stronger footing and provides a stable base for the long-term, and by extension positively impacting economic growth for the country. I am happy that we have been able to bring other stakeholders together to achieve the financial restructuring,” said Cabinet Secretary, National Treasury, Henry Rotich.

“The support given is in no way a Government bailout. The Government expects a return on its investment, once the airline returns to profitability,” he said.

The financial and capital restructuring process was an intricate one, the first of its kind in this market, which brought together key stakeholders to the table including shareholders, financiers and lessors to agree to secure the airline’s future. It started mid-2016 and had been led by the former CEO and current Advisor to the Board Mr. Mbuvi Ngunze.

The Government played a major role by converting its loans and accrued interest into equity and through the provision of guarantees to key financial stakeholders to enable the success of the plan. The post-restructuring share ownership will see Government holding increase from 29.8% to 48.9%. Local banks, through KQ Lenders Company 2017 Ltd, also converted unsecured debt into equity, resulting in a shareholding of 38.1%. KLM as result of its in-kind contribution will have a shareholding of 7.8% and the balance, of 5.2%, between other shareholders and a new employee share ownership Plan (ESOP).

The company will continue to be listed on the Nairobi Securities Exchange, as well as on the Ugandan and Tanzanian stock exchanges.

Kenya Airways’ Chairman Michael Joseph lauded the restructuring initiative, noting that it was intended to strengthen the airline’s financial capability and make it ready for growth and return to profitability in the highly competitive global and regional aviation environment.

“This process was crucial in securing the airline’s future with a healthy liquidity profile and maintaining a strong and more competitive outlook in its operations, necessary in projecting an attractive airline to strategic partnerships,” he said.

“We are grateful for the support given by the Government, the National Assembly, KLM, local and international lenders, lessors, employees and all the other stakeholders and our advisers who have played a major role in this restructuring,” added the Chairman.

As part of the process, Kenya Airways employees will be able to own part of the organisation through the ESOP, which will be awarded on performance-related contributions to the airline’s future. At the same time, the Board structure will change, with two new Board members representing local banks, and an additional Board representative from the Government of Kenya, while KLM will reduce its representation by one.

An open offer of new shares is intended at a later date to enable shareholders to re-invest in the airline post re-structuring.

KQ partners with TUI to boost tourism

Kenya Airways and KLM have partnered with one of the largest charter airline operator in Europe – TUI to boost tourism numbers in Kenya.

The partnership targets tourists taking package trips to Kenya’s various top destinations

The partnership targets tourists taking package trips to Kenya’s various top destinations including the coastal towns of Mombasa and Diani as well as the Maasai Mara National Reserve.

Under the partnership, TUI (formerly known as Thompson) will book its Kenya-bound customers on Kenya Airways and KLM flights. Customers will be connected to their tourist destination through Kenya Airways hub, Jomo Kenyatta International Airport (JKIA), in Nairobi.

Kenya Airways Head of Global Marketing Jacque Muhati said: “Kenya Airways is excited to partner with TUI, one of the leading global tour operators. This partnership will underscore the important role that Kenya Airways plays in the growth of tourism, specifically creating vital linkages between Kenya and the international tourism source market.”

TUI returns to the Kenyan market three years after suspending its operations in the country. It previously operated its own charter plane into Mombasa.

TUI, which operates out of Netherlands’ main airport Schipol International, has cut a niche for itself in the airline industry by organising package trips that handle clients flight bookings, transfers and hotel bookings.

 

Kenya Airways voted Africa’s Leading Airline in 2017 World Travel Awards

Kenya Airways yesterday was named Africa’s Leading Airline, 2017, at the World Travel Awards gala ceremony held in Kigali, Rwanda.

Kenya Airways Commercial Director Vincent Coste, World Travel Awards Founder and President, Graham E Cooke and Kenya Airways Head of Marketing, Jacquie Muhati during the World Travel Awards – Africa in Kigali Rwanda

This is the second consecutive year the airline has won the coveted title beating other nominees including Rwanda Air, Egypt Air, Royal Air Maroc, and South African Airways.

Kenya Airways also bagged the title Africa’s leading airline – Business Class for the fifth consecutive year.

Chief Executive Officer and Managing Director Sebastian Mikosz attributed the achievement to the dedicated and talented staff at the airline that work hard to provide the best travel experience possible for its guests

“Winning these awards would not have been possible without the passion and dedication of the Kenya Airways team and the strong support from our guests. Our guests are at the heart of everything we do at the airline and these two awards confirm our undeterred commitment to them.”

“We continue to be focused on service improvements by listening to our customers and responding to their needs, with a firm commitment to providing improved connectivity, and quality service through our hub in Nairobi,” he said.

The award ceremony was held at the Radisson Blu Hotel & Conference Centre in Kigali, Rwanda.

The World Travel Awards are acknowledged across the globe as the hallmark of industry excellence. The Awards serves to recognise, reward and celebrate excellence across all sectors of the global travel and tourism industry within each key geographical region.

 

Kenya Airways CEO Appointed to ISATA board of governors

Kenya Airways Group MD and CEO, Sebastian Mikosz, has been appointed by the International Air Transport Association (IATA) Board of Governors on an ad interim basis.

Mikosz interim appointment will stay on until the close of the IATA Annual General Meeting to be held in Sydney, Australia from 3rd -5th June, 2018.
Commenting on his appointment, Mikosz said “I am honored to be appointed to the Board of IATA. This for me represents an opportunity to bring knowledge, experiences and passion for my profession to serve current, prospective and future communities, while also focusing on diversity and inclusion in the aviation industry”.
Sebastian Mikosz has over 20 years of professional experience in executive management both in the private and public sector. He has also held various non-executive roles as Supervisory Board member. He has been CEO of eSky.pl, the leading Central European Online Travel Agent, President and Chief Executive Officer of LOT Polish Airlines, one of the oldest airlines in the world – a position he held twice including an in depth turnaround of the company leading to it first positive results in many years. 

Sebastian is 44 and is a graduate of the Institute of Political Studies (IEP Paris) in France with a Master’s degree in Economics and Finance. He is bilingual in French and fluent speaker of English and Russian in addition to his native Polish.

Kenya Airways granted permission to fly to the United States

Kenya Airways (KQ) has received a final order from the United States of America Department of Transportation, granting the airline to fly both passengers and cargo.

According to a press release by KQ, The order is part of the process to commence flights to the US which is still ongoing. The recent approval grants the airline permission to fly both passengers and cargo and is part of the many approval stages that are expected to be concluded soon.

“This approval by the DOT has been achieved thanks to the hard work of great individuals within all the departments of KQ. I am confident that our team will complete the next milestones with the same success and allow us to operate non-stop flights to the US in 2018”, said Kenya Airways Commercial Director Vincent Coste.

Kenya Airways is working with both the Kenyan Ministry of Transport and the US Department authorities to ensure all requirements are met.

Kenya Airways, a member of the Sky Team Alliance, is a leading African airline flying to 53 destinations worldwide, 42 of which are in Africa and carries over three million passengers annually. It continues to modernize its fleet with its 36 aircraft being some of the youngest in Africa.

This includes its flagship B787 Dreamliner aircrafts. The on-board service is renowned and the lie-flat business class seat on the wide-body aircraft is consistently voted among the world’s top 10. Kenya Airways takes pride for being in the forefront of connecting Africa to the World and the World to Africa through its hub at the new ultra -modern Terminal 1A at the Jomo Kenyatta International Airport in Nairobi. Kenya Airways celebrated 40 years of operations in January 2017 while KQ Cargo was named African Cargo Airline of the year 2017.