BermudAir eyes ‘imminent’ solution to Skyport payment issue
BermudAir is working on an “imminent” resolution to a payment dispute with Skyport, the operator of LF Wade International Airport.
Adam Scott, the airline’s founder and chief executive, told The Royal Gazette that the carrier has been “actively working with the counterparties” on the issue.
It came as the airline celebrated two years of service since its launch in September 2023, offering residents additional travel options to and from North America.
Skyport launched legal action against the carrier in July over allegations that it had fallen behind on its payments to the airport operator.
The Bermudian-based airline was “substantially behind” on covering its airport charges, a Skyport spokeswoman said at the time.
“After unsuccessfully attempting to work with BermudAir for over a year, Skyport has been forced to initiate a legal process to recover the significant owing balance and ensure payment going forward,” she added.
BermudAir confirmed in July that it was dealing with “a number of commercial issues” with Skyport that it hoped to resolve “in the coming weeks”.
Yesterday, an upbeat Mr Scott said: “We are very confident of an imminent resolution on the matter and we are very committed to that resolution.”
He said the commitment comes at a time when the airline focuses on “ambitious” plans to expand and add more Bermudians to its growing staff.
Mr Scott said BermudAir was thankful for the “commitment and support” from its stakeholders, adding that, over its past two years, the airline has taken stock of the ups and downs since its launch.
He said: “Frankly, we have learnt a lot as we have grown to get to the two-year mark.
“There has been a lot of amazing successes and there have been some ‘wow — did we really just do that?’ moments.”
Adam Scott, the chief executive and founder of BermudAir, says the carrier is buoyed by interest from Bermudians seeking jobs at the company.
He said 50 per cent of the airline’s staff is Bermudian.
He added: “A lot of Bermudians would come up to us and ask if we’re hiring.
“We are getting that interest, and it’s really special because it is a special industry and people are very passionate about it.
“For us, we are committed to having local staff because when you get to the airport, you want to be welcomed by Bermudians.
“I think at the end of the day, overwhelmingly, people have embraced us.
“And overwhelmingly, the staff is proud of what they do and they are really excited about our second anniversary.
“It's the passion of the team and that’s something I am immensely proud of.”
He said that, over the past year, the airline launched services to multiple new markets and while some have not been successful — such as service to Fort Lauderdale, Florida, and Hartford, Connecticut — others have “worked really well”.
Mr Scott said: “The thing about BermudAir and how our team look at it is that we’re always looking at where we need to fly to, to provide year-round service.”
As regards the For Lauderdale and Hartford routes, he said there was a lack of demand for the two destinations.
He explained: “Although we really liked both routes and we would have otherwise liked to continue, just like other airlines, when a route doesn’t work because the demands just isn’t there.
“And it can be a for a variety of reasons, then we have to make those tough decisions sometimes.”
While the carrier has planted a committed foothold in its Boston, Toronto and New York markets, he said it is also looking “to scale the business”.
He explained: “So part of that is, we look at markets on several data points, we look at where passengers travel to or come from.
“We look at markets based on historical travel patterns and also we look at how can we grow a road map.”
He said the carrier also examined the travel market from a medical and leisure perspective, aiming to make travel more accessible to and from the island.
He added: “Before we launched, it could have been a six to eight-hour journey to get to Bermuda from some places.
“By offering that direct service, we have enabled people in those markets to have a direct connect to Bermuda.”
He said to date, the airline’s top travel market fell under its “BermudAir Holidays” concept — a vacation packaging service.
It offers year-round curated flight, hotel packages and tailored vacation experiences for individuals, couples and families.
Mr Scott said: “Our number-one market under this concept inbound to Bermuda is Richmond, Virginia.
“People from there are buying packages to the island like it’s hot cakes.
“We are actively bringing those golfers, for example, to the island and for the first time we are creating that market.”
Mr Scott said the airline was also proud of its staff, with an ambitious plan to provide 50 new jobs to strengthen its staff of 120.
He said half its staff were Bermudian, with new jobs to centre on customer service.
He explained: “We are actively recruiting and hiring for jobs at the airport and of course there are always roles in our headquarters.
“But the biggest growth spot for us will be at the airport. So our first step is to hire the frontline staff that will address check-ins.
“It’s become very clear to us, as we have gone from two aircraft to four aircraft, that we are a significant presence at the airport.
“Right now, we use a third party. But going forward, we want to have an in-house team at the airport.”
Mr Scott said the airline heeded customer complaints, including delayed flights.
He added: “I am frankly proud of what our team has been able to achieve — but when a customer has a bad experience, or when there is a legitimate complaint from someone, that’s unacceptable to me and to the team because it is important that we can promote strength from within.”
Mr Scott said the airline experienced issues after its start-up but has since “significantly enhanced” its customer service team.
He said there were 200 recorded customer complaints since BermudAir’s launch and while the figure was “too many”, he highlighted that it was fewer than the number of passengers it transports daily.
He added: “The vast majority of those complaints are ongoing discussions and in many situations, passengers have not provided relevant details for follow-ups.
“But I am very pleased at where we are today when compared with where we were 18 months ago.”
He said in July and August the airline had just one cancelled flight, which was weather-related.
“I take it on the chin when we have issue, but I genuinely believe that, as a team, I know for a fact that our team goes above and beyond to resolve issues.”
Mr Scott said BermudAir continues to work towards long-term sustainable profitability.
He added: “I am very pleased of where we’ve come from, and where we’re going to.
“We are wholly independent and we don’t have financial support. But we work to get over the challenges we’re faced with.”