KUWAIT CITY: Wataniya Airways, a private Kuwaiti carrier launched in 2009, on Wednesday halted operations due to heavy losses and deteriorating security in the region.
"The board has decided to cease all Wataniya Airways operations with the return of its last scheduled flight to Kuwait tonight, March 16th, 2011," said the board of directors in a statement.
It said the move was caused by "the current financial situation of the company and the lack of fair trade requirements in the local market, as well as the difficult political and security situation in the region."
The decision was taken during a board of directors meeting.
"As a result, the board has decided to call a meeting of the company's shareholders as soon as possible to discuss the future course of the company," it said.
The company, the first premium private carrier in Kuwait, incurred a loss of $37.8 million in 2009 and $5.4 million the previous year. It has not announced financial results for 2010.
The company was already forced to suspend operations to several destinations in the Middle East, sparing just Beirut, Cairo, Dubai and Egypt's Red Sea resort of Sharm-el-Sheikh.
Oil-rich Kuwait has a national carrier, Kuwait Airways, which is expected to be privatised, and Jazeera Airways, a privately-owned budget airline.
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