VZCZCXRO9445
RR RUEHMA
DE RUEHOS #0278/01 1081422
ZNR UUUUU ZZH
R 181422Z APR 07
FM AMCONSUL LAGOS
TO RUEHC/SECSTATE WASHDC 8782
INFO RUEHZK/ECOWAS COLLECTIVE
RUEHUJA/AMEMBASSY ABUJA 8606
RUEHWR/AMEMBASSY WARSAW 0297
RUEHCD/AMCONSUL CIUDAD JUAREZ 0277
RUEHIT/AMCONSUL ISTANBUL 0276
RULSDMK/DEPT OF TRANSPORTATION WASHDC
RUCPDOC/DEPT OF COMMERCE WASHDC

UNCLAS SECTION 01 OF 02 LAGOS 000278 
 
SIPDIS 
 
STATE PASS FAA FOR ACONLEY, 
TRANSPORTATION FOR FAA; TRANSPORTATION FOR KEVIN SAMPLE; 
ROME PLEASE PASS TO TSA REP JOHN HALINSKI; DAKAR PLEASE PASS TO FAA 
REP MOIRA KEANE 
 
SIPDIS 
 
E.O. 12958: N/A 
TAGS: EAIR EINV CVIS PREL NI
SUBJECT: AVIATION OFFICIALS SUPPORT NEW CARRIERS, ROUTES 
 
REF: LAGOS 50 
 
LAGOS 00000278  001.2 OF 002 
 
 
SENSITIVE BUT UNCLASSIFIED - HANDLE ACCORDINGLY 
 
¶1. (U) Summary: In an April 3 meeting with the Director General 
(DG), Nigerian Civil Aviation Administration (NCAA), a U.S. 
Department of Transportation (DOT) official promised Virgin 
Nigeria's application to operate Lagos-JFK routes would be approved 
by the end of May. The NCAA DG promised to reciprocate by 
encouraging Continental Airlines to commence operations to Nigeria. 
End Summary. 
 
--------------------------------------------- ------ 
U.S.- EU Open Skies Opens Opportunities For Nigeria 
--------------------------------------------- ------ 
 
¶2. (U) On April 3, Kevin Sample, Advisor to the Secretary, U.S. 
Department of Transportation and Econoff met with Nigerian Civil 
Aviation Administration (NCAA) Director General (DG) Harold Demuren. 
Sample told Demuren the U.S. - European Union (EU) open skies 
agreement reached in March would have a positive impact on Nigerian 
aviation. The agreement allows European and U.S. airlines to fly 
direct routes between the two markets. Notably, it opens 
opportunities for European airlines, removing barriers for EU 
airlines to buy stakes in carriers based in Africa or non-EU 
European countries. As a result, Sample concluded, DOT would approve 
Virgin Nigeria's (VK) application to fly routes to the U.S. Sample 
was optimistic approval would be granted before the change on May 29 
in presidential administration. 
 
¶3. (U) Note: The open skies agreement resolves issues related to 
VK's application to fly to the United States that had been pending 
at DOT. VK, founded by Virgin Atlantic Chief Executive Officer (CEO) 
Richard Branson, stated in its application that it is 51 percent 
Nigerian owned and 49 percent European owned. The governing board 
remains European. Under current aviation agreements, if a British 
airline buys a Nigerian one, for example, the new purchase loses the 
right other Nigerian airlines have to fly to the U.S. because it is 
viewed as a European airline. End Background. 
 
------------------------------------------- 
DG Pledges Support For Continental Airlines 
------------------------------------------- 
 
¶4. (SBU) Nigeria supports opening new direct routes for U.S. and 
Nigerian carriers, said Demuren. He promised the GON would 
reciprocate the approval of Virgin Nigeria's application by 
"fast-tracking" approval for Continental Airlines to operate direct 
routes to Nigeria, should the airline choose to reapply for such 
rights. He noted Continental Airlines had been inappropriately 
treated in retaliation for the failure of DOT to approve VK's 
application. (Note: Continental Airlines, which was granted approval 
by the government of Nigeria (GON) for a JFK-Lagos route in 2004, 
was eventually denied key technical permits by the GON in 
retaliation for DOT's objection to VK. End Background). Attracting 
Continental to operate in Nigeria would be a priority in the near 
future, promised Demuren. 
 
----------------------------------------- 
Arik Airlines Gears Up For Routes to U.S. 
----------------------------------------- 
 
¶5. (U) Arik Airlines is also preparing to fly routes to the U.S., 
reported Demuren. Arik's application to DOT would be forwarded from 
the airline's lawyers in Washington to DOT shortly, Demuren assured. 
The airline was exploring the possibility of wet-leasing A330 
aircraft to fly routes to the U.S. while Nigeria secured FAA 
Category 1 status. Arik recently signed an agreement with Boeing for 
the purchase of four 777s and two 787s, with an expected delivery 
date of 2011. In addition, Arik is scheduled to take possession of 
two new Boeing 737s in April. (Note: This marks the first time in 20 
years that a Nigerian carrier has purchased new aircraft. End 
Note). 
 
¶6. (U) Sample voiced support for Nigerian carriers to fly direct 
routes to the U.S., stating he would like to see at a minimum three 
strong Nigerian carriers. He suggested these might be Virgin 
Nigeria, Arik Airlines, and Bellview. This would allay fears that 
the open skies agreement between the U.S. and Nigeria was of little 
practical benefit to Nigerian carriers. Sample emphasized the GON 
should allow market forces to determine the success of Nigerian 
 
LAGOS 00000278  002.2 OF 002 
 
 
airlines and should refrain from resorting to protectionism. 
 
-------------------- 
Technical Assistance 
-------------------- 
 
¶7. (U) The U.S. could lend assistance to Nigeria on security and 
visa processing technology, suggested Sample. For example, he noted 
the U.S. government had provided World Airways, the predecessor of 
North American Airlines, equipment to evaluate machine readable 
visas (MRVs). The Transportation Security Administration (TSA) could 
also provide training of airline ground crew, said Sample. 
 
¶8. (U) Sample invited Demuren to participate on an infrastructure 
development panel during the African Growth and Opportunity Act 
(AGOA) Forum, to be held in Accra, Ghana, in July. Demuren was 
receptive to the invitation. 
 
¶9. Kevin Sample cleared this cable.