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ANTIGUA AND BARBUDA PM UNVEILS PLAN TO SAVE LIAT

Antigua and Barbuda prime minister Gaston Browne has shared a plan for the re-organisation of LIAT.  

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The regional air carrier is facing possible liquidation mostly due to operational losses.  

The plan dated July 13 was submitted by the government of Antigua and Barbuda for consideration by the majority shareholder Governments of LIAT 1974 limited.  

It outlines that the reorganisation of LIAT requires new capitalisation up to EC $108 million of which the government of Antigua and Barbuda is prepared to underwrite up to 50 per cent.  

It is expected that the remaining $54 million will be shared by other private and public sector entities including existing shareholder governments. 

Also noted was the proposed lowering of airport taxes throughout the region, which should result in at least a 20 per cent increase in intraregional travel.  

The plan points out the reorganisation will preserve the value of LIAT for the airline and its stakeholders, unlike a disorderly liquidation and the chaos and confusion that will come with the latter.  

The document urges reconsideration of the proposed liquidation and adoption of the reorganisation plan in the interest of preserving safe and reliable air transportation and the integration movement.  

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