Emirates in SriLankan talks
COLOMBO – Top-level talks between Emirates airline and the Sri Lankan government to extend the SriLankan Airline’s management agreement are expected to resume this week.
Talks are due to take place on the sidelines of the SriLankan’s annual meeting, aviation sources said.
The two sides concluded one round of discussions on May 28 in Colombo.
Emirates, which has a 43 per cent equity stake in SriLankan, has a 10-year contract ending in March 2008 to manage SriLankan.
A sticking point in negotiations could be the new budget airline, Mihin Air launched with assistance from the Sri Lanka government this year.
The budget carrier is competing with SriLankan on a number of routes, and Emirates is believed to be unhappy at this government-backed competition to the national carrier.
Ian Jarrett
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