Air Peace Counts $15m Loss After SmartLynx Withdraws Three Wet-Leased Aircraft

Air Peace, a prominent Nigerian carrier, faces losses exceeding $15 million following the abrupt withdrawal of three wet-leased aircraft by its partner, SmartLynx Airlines. This sudden action triggered significant disruptions across Air Peace's domestic operations, leading to numerous delays, cancellations, and considerable reputational damage. The airline's Chief Commercial Officer, Nowel Ngala, confirmed the financial and operational fallout, asserting that SmartLynx's move constituted a breach of contractual terms.

The wet-lease agreement was crucial for Air Peace, as 13 of its own aircraft were simultaneously undergoing scheduled maintenance overseas. Ngala detailed that SmartLynx had received substantial upfront payments, including over $1 million in security deposits, prior to the unexpected withdrawal. Air Peace reports that more than $5 million belonging to the Nigerian airline remains with the lessor, with only one of the four initially leased aircraft still under SmartLynx's control. The operational gaps created by the withdrawals were immediate, as the aircraft had already been integrated into Air Peace's flight schedules.

This incident underscores systemic challenges faced by Nigerian airlines in navigating complex international leasing arrangements, a sentiment echoed by Ngala who recalled a previous instance where another lessor absconded with over $2 million. Despite the current setback, Air Peace confirms its internal maintenance program is nearing completion, with two of its own aircraft already returned to service and more expected soon. The airline anticipates a full restoration of its domestic route operations within the coming week, assuring passengers that its international London flights remained unaffected throughout the ordeal. Air Peace pledges to implement enhanced safeguards to prevent similar disruptions in the future.