By Howard Campbell, Gleaner Writer 
GOVERNMENT HAS no plans to pull financial support from Air Jamaica despite last Friday's revelations that the national carrier owes it $8.5 billion, says Information Minister Burchell Whiteman.
Mr. Whiteman outlined Air Jamaica's financial woes in Parliament while responding to a list of questions from Government Senator Trevor Munroe concerning Air Jamaica's future. The minister disclosed that the airline has lost more than $34 billion since it was privatised 10 years ago but he told The Sunday Gleaner negotiations are in progress to ensure a smooth landing for the flagging airline.
"Government will continue to support Air Jamaica but on a different scale. We are presently in discussion with its management to put in a new share structure," said Mr. Whiteman. He stressed that the airline is not in danger of folding despite its burdensome debt and failure to realise a profit in the last three years.
SUPPORTS THE ECONOMY
"That's a concern, no doubt about it, but we've got to remember that Air Jamaica supports this country's economy by bringing tourists to Jamaica," he said.
Government has a 25 per cent stake in Air Jamaica; the Air Jamaica Acquisition Group owned by hotel magnate, Gordon 'Butch' Stewart, owns the other 75 per cent.
In October, Sabre Airline Solutions (SAS), the American consulting company engaged by Air Jamaica's management to help it stem the airline's financial haemorrhage, said the carrier would require $16.8 billion in the next decade to attract new investment. SAS reportedly made several recommendations that it believes will help stabilise Air Jamaica. Mr. Whiteman said Government and the airline's executive had implemented some of those measures including modifying the company's management structure.
Air Jamaica's financial woes have been in the news in the past six weeks. In early October, chief executive office Chris Zacca said the airline would sever US$50 million of its annual costs to help it remain viable. This process would include the cutting of staff and reducing its overseas advertising. On November 2, the Public Accounts Commitee revealed that Air Jamaica owed $14 billion in taxes including $1.9 billion to the Airport Authority which operates the Norman Manley International Airport.
