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Seychelles grounds two Boeings over XL administration

Sun Sep 14, 2008 6:00am EDT

By George Thande

VICTORIA, Sept 14 (Reuters) - Air Seychelles said on Sunday it was grounding two Boeing 767-200 planes due to the collapse of Britain's XL group that was providing maintenance.

"The repercussions for our national carrier and the country's economy are severe," the government-owned carrier's chief executive David Savy said in a memo to staff.

Air Seychelles flies in more than 60 percent of visitors to Indian Ocean island archipelago, a major tourist destination.

Britain's third largest package holiday group, XL Leisure Group, has just gone into administration, grounding flights and leaving thousands of holidaymakers stranded.

"We have all been shocked by the news that XL Airways and all its associated companies have gone into administration and suspected all activities," Savy added.

Davy said one of its Boeing planes was on a sub-lease from XL which was the approved maintenance firm. "This means we will have to stop flying this aircraft," he said.

"Unfortunately, even the records of the other B767-200, which is being painted in South Africa ready to join our fleet, are also being held by XL Engineering as they were selected to be the maintenance provider, so it can also not fly."

The government-owned carrier has two other planes for its international routes.

It flies several times a week from London, Frankfurt, Paris, Milan and Rome.

According to its Web site, the firm plans to add Johannesburg, the Maldives, Mauritius and Mumbai in November.

Savy said the airline would now have to reschedule the remaining two aircraft.

"I cannot tell you how long it will take to find one because we will have to retrieve all the aircraft's files that now lie in the offices of XL which have been closed down," he said.

(Reporting by George Thande; Editing by Andrew Cawthorne/Richard Hubbard)



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