LAM Mozambique Airlines Suspends International Flights Amid Financial Struggles
In a sudden move, LAM Mozambique Airlines announced the cessation of flights to three international destinations from its base in Maputo, effective February 19. The affected routes include Harare (Zimbabwe), Lusaka (Zambia), and Lisbon (Portugal). This development has raised eyebrows within the travel industry, especially as it marks a significant reduction in the airline’s international offerings.
The flight to Lisbon, designated as TM704, was LAM’s only connection to Europe. According to flight tracking services, the last service on this route took place from February 5 to 6, prior to the cancellations. This abrupt termination has left many travelers and travel agents scrambling for alternatives.
Notably, LAM Mozambique Airlines, lacking its own long-haul aircraft, had relied on the services of Euro Atlantic Airways, a Portuguese charter and wet-lease airline. Euro Atlantic operated the Lisbon route using Boeing 777-200 ER and Boeing 767-300 aircraft on behalf of LAM. However, the partnership has now soured, leading to additional complications for the airline.
On February 27, Euro Atlantic Airways revealed that it was only informed on February 11 about the abrupt suspension of flights. The airline has since terminated its contract with LAM Mozambique Airlines, citing the latter’s failure to settle substantial financial debts. Euro Atlantic’s CEO, Stewart Higginson, stated that the company must protect its business interests and will take all necessary legal and commercial steps to ensure an orderly termination of the current contract.
Higginson expressed hope that LAM would respond promptly and fully to its outstanding financial obligations, indicating a willingness to maintain future cooperation if circumstances allow. The news has raised concerns about the stability and reliability of LAM Mozambique Airlines, particularly as the travel sector continues to navigate the post-pandemic recovery.
The decision to suspend these critical routes was attributed to significant financial losses. A spokesperson for LAM mentioned to the travel portal News Aero that since the launch of the Lisbon route in December 2023, the airline had incurred losses amounting to approximately 21 million US dollars (around 20 million euros). This staggering figure highlights the challenges faced by airlines in the current economic climate, particularly in the African travel market where competition and operational costs are constantly evolving.
As the situation unfolds, it remains to be seen how LAM Mozambique Airlines will address its financial issues and whether it will seek to reinstate these international routes in the future. For travel agents and industry professionals, staying informed about these developments is crucial to managing client expectations and providing alternative travel solutions. The African travel market continues to adapt to the changing landscape, and the ability to pivot quickly will be essential for success in the coming months.
