/ 13 March 2007

Mango CEO says low-cost airline has proved popular

South Africa’s new low-cost domestic airline Mango has done better than expected, the airline said on Tuesday.

”The airline has successfully introduced and implemented a true low-cost model in South Africa, resulting in the delivery of a core benefit — making air travel more affordable to all South Africans on a sustainable basis,” said Mango chief executive officer Nico Bezuidenhout.

The airline, operated as a subsidiary of South African Airways (SAA), has carried more than 300 000 passengers since it started operating four months ago and has sold more than 600 000 tickets.

The airline said its flights were 85% full and more than 90% were on time.

Bezuidenhout said he expected further growth opportunities.

”With more and more South Africans, in particular the previously ‘unflown’ market taking to the skies, I anticipate sustained growth within the aviation industry during the next 12 months.

”Mango will continue to actively pursue this market segment,” said Bezuidenhout.

In November, low-cost competitor Kulula.com accused Mango of using taxpayers money from SAA to subsidise its operations, when SAA loaned Mango R100-million as start-up funding. Mango denied this.

Mango only had two aircraft when it started, but now flies four new-generation Boeing 737-800 aircraft. – Sapa