Kenya Airways reports record Sh26bn net loss

Kenya Airways has reported a record Sh25.7 billion loss after tax attributable to competition from Middle East carriers and high operating costs.

The airline also blamed travel aisories that led to a slump in tourism, as well as runway closures for renovation, for eating into earnings for 20142015.

A conflict with pilots and crew has also significantly contributed to the loss.

“We have had turbulent times and this loss is obviously significant,” said Chief Executive Officer Mbuvi Ngunze. “It is, however, important to know that we have made significant investments at a time when the industry generally was going through had times.”

The airline has secured a Sh20 billion loan to avoid sinking into bankruptcy.

More to follow.