1998 News Story

SAA announces new private sector aviation company

Director-General of Saudi Arabian Airlines (SAA) Dr. Khalid Ibn Abdullah Ibn Bakr announced today the establishment of a new private sector aviation company with a capital of SR 1.2 billion (U.S. $ 0.32 billion). He explained: "The new firm, National Airservices Company, aims at developing the air transport sector and meeting the requirements of businessmen, companies and officials." The Company, which will be managed by two American firms, Gulfstream Aerospace Corporation and Executive Jet, has already signed a contract for the purchase of twelve small aircraft of the type G-IV, the first of which will be delivered in April of 1999. Since it will not operate regular scheduled or commercial services, the new Company will not be in competition with SAA.