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Mon, Jan 12, 2009

Launch Of Pay-As-You-Fly South African Airline Delayed

No Planes + No Air Operator Certificate = No Flights

A new South African airline sporting a new pay-as-you-fly twist on airfares has run into problems getting off the ground.

Airtime Airlines' plan is similar to the concept of pay-as-you-go cellphones. Passengers purchase tickets in blocks of minutes -- called iFLY Airtime -- which can be "topped-up" at any time. The value of the minutes can be maximized by purchasing a top-up when rates are lower.

Flights are therefore charged in minutes, with a set number of minutes between cities. For instance, a flight from Durban to Johannesburg is rated at 75 minutes. If you bought minutes at R5 each (five Rand, about 51 cents US), the flight ends up costing R375 (about $38 US).

"You can top-up with iFLY Airtime, then make a booking within 90 days and fly within 365 days of your top-up. If you don't book a flight with your iFLY Airtime, you will get a cellphone airtime top-up voucher for the full value of your purchase," the airline's website explains.

Ticket sales for Airtime were to commence January 4, with route flights slated to begin January 18. However, the startup has encountered a couple of hitches - Airtime's deal to lease a fleet of airliners fell through, and it doesn't have government certification to operate.

South African Civil Aviation Authority spokeswoman Phindiwe Gwebu said, "We have not received a formal application from the airline. We have therefore not issued them with their air operator certificate."

Johannesburg's The Times reports that negotiations between Blackbird Aerospace Corporation, the owner of Airtime Airlines, and Air Aquarius for the lease of three Boeing 737-200's have run aground. The deal also would have allowed Airtime to operate legally under Air Aquarius' license and operator certificate.

FMI: www.flyairtime.co.za

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