Gulf Air is reportedly in talks with the Omani government regarding more than $300 million of unpaid debts owed by Oman after it pulled out of the airline coalition nearly five years ago.
Last week the carrier cancelled its service to Damascus, Athens, Milan and Kuala Lumpur. This follows ending services to Entebbe and Geneva earlier in the month.
News agency Reuters has reported that Bahrain's cash-strapped airline claims the Omani government owes the carrier as much as $311 million and quoted a statement from the ailine as saying "This continues to be a matter of discussion amongst concerned parties."
There was no immediate public comment by Oman on the matter.
A government delegation briefed parliament in January and called for a restructuring of the company for "effective operational requirements". A number of routes have been suspended.
Article Source : Arabian Aerospace
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