FROM ISSUE #55 (10 AUG 2001 - 16 AUG 2001) | TABLE OF CONTENTS
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Plagued by corruption, shortage of aircraft and an empty cash box, Royal Nepal Airlines Corporation is to stop flying to Europe and the Middle East from September. The European flights will be stopped from 1 September, just when the tourist season?and full flights?kick off. The corporation has also decided to end its B-757 lease with China South West Airlines (CSWA), two months before the deal expires anyway. The RNAC says the Europe flights are being terminated because of mounting losses on the sector. Yet, all other airlines flying from Europe and the Middle East are either increasing flights or adding extras at this time to meet the demand of the tourist traffic. The flag carrier says it is cancelling the CSWA deal because of dwindling tourists and because it does not anticipate an upswing in arrivals in the short term.