Chairman and Managing Director Introduction
VULE AIRWAYS is a privately-owned airline, whose objective is to fill the vacuum in the Ugandan air transport sector created by the lack of a national airline that serves both domestic and international passenger and cargo services. VULE AIRWAYS will provide employment opportunities to the aviation fraternity, especially youth in Uganda, and as well as generate revenue for the government through the Civil Aviation Authority dues paid for the licensing and inspection of the enterprise, personnel and aircrafts, air navigation services, aerodrome operations (parking, landing, lighting, office rent, passenger service charge and security charge), and also taxes like VAT, PAYE to Uganda Revenue Authority among others.
The airline is expected to form partnerships with thriving regional and international airlines in order to provide quality air transport services, training of aviators, and development of the aerospace industry. Only through intrigue-free business co-operation within the airline industry, can a successful airline be established and thrive. On that end, VULE AIRWAYS will make use of code share agreements in order to transport its passengers to a number of destinations.
The establishment of VULE AIRWAYS is meant to change the mindset deeply rooted in the travelling public of the East African region that no Ugandan managed airline can thrive in the air transport industry, and to operate a culturally sensitive, cost competitive Ugandan flag carrier.
To accomplish and achieve this goal, Ugandan youth must be encouraged to love, be involved in aviation and thus, educated and empowered with skills that promote and support the aviation industry. In the interim while the local capacity is being built, VULE AIRWAYS shall make use of the existing aviation expertise in the region and also through both damp and dry lease Agreements. Over time, as the local indigenous aviators master the skills, VULE AIRWAYS will professionally phase out the veteran aviation experts.
VULE AIRWAYS is to be operated as a budget airline to build the domestic, regional and the international routes covering all the continents of the world. With the new arising trend of travelling abroad by air for seminars, holidays, studies, and business ventures, there is an overall recorded annual average increase of 1% of passengers regionally, thus making a 5% increase throughout the 5-year period.
The projected statement of financial performance indicates that in the first three years of operation, the new airline will make minimal loses USD (378,000) in 2017/18, USD (413,000) in 2018/19 and USD (652,000) in 2019/20 but eventually become profitable in the remaining three years of the plan implementation. Profit of USD 810,000 will be realized in 2020/21, USD 1,611,000 in 2021/22 and USD 2,079,000 2022/23. The projected statement of financial position and statement of cash flows further indicate that the company will be solvent in the short and long term.
Robert Mwesigwa Nviiri, Chairman and Managing Director