Mihin Lanka shuts down its operations

Sri Lankan budget airlines, Mihin Lanka has officially shut down its operations, 9 years after it began, and has been consolidated into Sri Lankan Airlines – Lanka’s national airlines.

Sri Lankan government made the decision to shut down Mihin Lanka operations, and consolidate its assets, as well as its huge debt, into Sri Lankan Airlines by end of October.

Deputy Minister of Sri Lankan National Enterprise, Eran Wickramaratne said during a media briefing on Monday that Mihin Lanka would only be amalgamated with Sri Lankan, and that it would not be a merger.

He said the Mihin Lanka license would not be cancelled but transferred to the Sri Lankan government.

Country Manager of Sri Lankan Airlines to Maldives, Sujeewa Rodrigo reported to “Sun” that Sri Lankan Airlines not increase the number of flights, but would deploy its wide-body aircrafts depending on the demand to destinations covered by Mihin Lanka.

"Mihin Lanka flights will not be there. We [Sri Lankan Airlines] are maintaining same schedule with additional capacity wherever required. We are upgrading aircrafts. For example, if we used to operate a particular flight with A320, depending on the demand, we will deploy a wide body aircraft. We are not putting any more additional flights. But we increase capacity wherever required," said Rodrigo.

Mihin Lanka had four aircrafts in its fleet when it was shut down; two Airbus A321 aircrafts, an Airbus A320 aircraft and an Airbus A319 aircraft.

The aircrafts are to be re-dressed with the Sri Lankan Airlines logo.

Mihin Lanka had been operating at a loss ever since it was established in 2007. Its debt currently stands at USD 105.6 million.