Pakistan International Airlines: Information from Answers.com

Company Perspectives:
Pakistan International Airlines, as a symbol of national pride, should be a choice airline operating profitably on modern commercial concepts, capable of competing with the best in its entire international and domestic markets, consistently exceeding customer expectations. It should be a choice employer deploying modern technology in all spheres of its activities.
Key Dates:
1946: Orient Airways is formed.
1955: Pakistan International Airlines is formed and merges with Orient.
1959: "Golden Years" of the company begin with appointment of Nur Khan as managing director.
1964: PIA begins service to China.
1970: Flight Kitchen is set up.
1973: The company orders its first wide-body jets.
1981: Pakistan approves a $60 million bailout package.
1991: The company tallies a rare annual loss due to factors arising out of the Gulf War.
1994: A restructuring program is introduced.
2000: The government approves a Rs 20 billion bailout for PIA.

Type: Public Company
Address: PIA Head Office, Quaid-E-Azam International Airport, Karachi 75200, Pakistan
Telephone: 92 (21) 4579 4763
Fax: 92 (21) 457 0147
Web: http://www.piac.com.pk/
Employees: 19,000
Sales: PkR 47.11 billion ($966 million) (2001)
Stock Exchanges: Karachi
Ticker Symbol: PIAC; PIAB
Incorporated: 1955
NAIC: 336411 Aircraft Manufacturing; 336412 Aircraft Engine and Engine Parts Manufacturing; 481111 Scheduled Passenger Air Transportation; 481112 Scheduled Freight Air Transportation; 481211 Nonscheduled Chartered Passenger Air Transportation; 481212 Nonscheduled Chartered Freight Air Transportation; 48819 Other Support Activities for Air Transportation

Pakistan International Airlines Corporation (PIA) is the flag carrier of Pakistan, whose government owns 85 percent of its shares. PIA's route network stretches to Asia, the Middle East, Africa, Europe, and North America. It connects 35 cities within Pakistan. Six million people flew the airline in 2000, when passenger traffic accounted for 85 percent of revenues. Engineering and charter services accounted for nine percent. PIA also conducts some contract work for aerospace manufacturers.

Pakistan's first airline pre-dated the creation of the country itself on August 14, 1947. Merza Ahmad and Merza Abol Hassan Ispahani, two brothers from a wealthy textile family in Bengal, had formed Orient Airways on October 23, 1946. Using the same type of war surplus Douglas C-47s that had launched so many other airlines, Orient established a Calcutta-Akyab-Rangoon route on June 30, 1947. The company's headquarters was moved from Calcutta to Chittagong due to the war that accompanied the Partition of India that summer. In October 1947, Orient began connecting the eastern half of the country (now Bangladesh) with the west, 1100 miles across India.

Pakistan's Ministry of Defense created Pakistan International Airlines (PIA) as a government department in 1951. The government combined Orient with PIA on October 1, 1953, but continued flying under its own name. PIA took over one of Orient's routes, Karachi-Dacca, on June 7, 1954 using a new Lockheed Super Constellation. In February 1955, PIA began flying to London via Cairo using another of its three Constellations. Older planes such as the DC-3 and the Convair continued to form the basis for the domestic fleet, though turboprop powered Vickers-Armstrong Viscounts were being phased in by the end of the decade.

PIA became a state corporation on March 11, 1955. After this, Orient's planes were repainted in PIA's green livery; Orient's shareholders received a 40 percent interest in PIA. A route between Karachi and Delhi, the capital of India, was launched on March 15. Pakistan International Airlines Corporation was incorporated on April 18, 1956 under the Pakistan International Airlines Corporation Act; it listed on the Karachi Stock Exchange on November 5, 1957.

In spite of technical assistance from Pan American Airways, PIA suffered a couple of crashes in the late 1950s. Zafarul Ahsan, the civil servant who had guided the airline's early development, was blamed for these and replaced by Air Commodore (later Air Marshall) Malik Nur Khan in 1959.

In 1960, PIA became Asia's first jet operator, flying a weekly service to London using a Boeing 707 leased from Pan Am. This route was extended to New York the next year but was suspended in 1963 due to a lack of traffic. At the same time, PIA was offering low-priced "Airbus" service in its domestic markets. For a couple of years between 1963 and 1966, PIA operated a scheduled helicopter network.

A number of unique international air links were established in the mid-1960s. PIA began flying to Kabul, Afghanistan and in 1964 became the first non-communist airline to fly to the People's Republic of China. It also flew to Moscow and, briefly, Teheran. By the end of the decade, its international network included Paris, Istanbul, Dubai, Bangkok, Manila, and Tokyo.

PIA also suffered some atrocious setbacks. A Boeing 720 jet crashed at Cairo in 1965, killing 123 people. Nur Khan was replaced as managing director by Asghar Khan. In the same year, armed conflict erupted in the Punjab. In 1966, PIA lost one of its three Sikorsky S-61 helicopters in a fatal accident. Violent uprisings in East Pakistan led to the formation of the independent state of Bangladesh and scuttled the flights that had connected Pakistan's two widely separated wings. This effectively cut PIA's traffic in half, notes aviation historian R.E.G. Davies.

Routes were redrawn and the fleet was trimmed in response to PIA's loss of territory. However, the reduction in traffic was only temporary. Pakistani immigration to Great Britain and demand for labor in the Gulf States pushed loads past projections. PIA was also doing a brisk cargo business.

R.E.G. Davies notes a couple of interesting side ventures during this period. PIA had its own nursery for stocking its cabins with fresh flowers. It also operated its own poultry farm to meet its own catering needs as well as those of other airlines passing through Karachi.

PIA ordered its first wide-body jets in April 1973. However, this order for three Douglas DC-10s was marred by a bribery scandal. Air Marshal Nur Khan returned as PIA chairman in 1974 and was joined by Enver Jamall, a veteran of the Tata airline in India, as managing director.

After losing money in 1971-72, PIA showed a profit of $3 million in 1974. Its ancillary services to other airlines brought in $4 million a year, while its annual budget was about $200 million. Operating profits reached $5.5 million in 1975-76 on revenues of $206.6 million.

In 1976, PIA began operating Boeing 747 jumbo jets, leased from TAP of Portugal, for the first time. The increase in capacity allowed PIA to carry 20,000 pilgrims to Jeddah every year. In 1977, service resumed to Bangladesh, formerly East Pakistan.

In a pattern more typical of western airlines' involvement with those of developing countries, PIA acquired a 20 percent interest in Air Malta in April 1977 and supplied it with technical staff. PIA also helped Air China set up its flight kitchens.

Jamall was named PIA chairman in 1978; M.M. Salim, one of the company's earliest managers, returned as managing director two years later. Expansion of the fleet continued.

Jamall and Salim were replaced by Major General Rahim Khan and Air Marshall Wigar Azim as chairman and managing director, respectively, in 1981. The company had suffered a couple of serious aircraft mishaps. With the prospect of financial losses looming near, the new management cut four thousand jobs, reducing the total to 20,000, while unions were banned by martial law. A $60 million bailout package gave the government an equity shareholding. Revenues rose 17 percent to PkR7,702 million ($570 million) in 1982-83, with after-tax profits doubling to Rs411 million.

The PIA fleet now included 23 jets and nine Fokker turboprops. PIA ordered several new short-range Boeing 737 jets in the mid-1980s to carry its feeder traffic. Other propeller-driven planes rounded out its domestic fleet. However, in contrast to PIA's earlier growth periods, much of the fleet seemed outdated by 1995, noted Air Transport World.

PIA initiated a unique Islamabad-London flight via Moscow in the mid-1980s. By 1990, three Pakistan cities were linked to England, and Manchester was added as an English destination.

The prospect of a partial privatization of 15 percent of the airline was being raised by 1990. PIA was making profits, but was hampered by certain government mandates, such as artificially low domestic fares, high jet fuel taxes, and a ban on serving or selling alcoholic drinks. A couple of years later, the government would increase duty on aircraft and parts as well as airport fees.

The collapse of the Soviet Union in late 1991 created new opportunities for PIA with several newly independent Muslim states. PIA's western fleet and technical expertise made it unique in the region. In 1993, the domestic air market in Pakistan was opened to competition from private airlines for the first time in 40 years. A dozen tiny carriers soon sprang up.

PIA posted its first loss during fiscal 1991 due to the spike in insurance premiums and fuel prices caused by the Gulf War. It lost an estimated $40 million on domestic service alone. However, the next year saw record profits of $41 million on revenues of $880 million. Air Marshall Farooq Umar, managing director, introduced a restructuring program after net profits slipped to $4.5 million in 1993-94. Umar had been the first CEO of Shaheen Air, a former cargo airline that was now competing with PIA for passengers, even international ones, after being allowed to fly to the Persian Gulf in the mid-1990s.

By this time, ancillary projects provided an important part of PIA's revenues, though the chicken farm had been sold. The company conducted maintenance and training for other airlines. One unit even manufactured parts for aerospace companies such as Boeing, GE, and SNECMA. The company invested heavily in automation and computer systems, selling some software to third parties. PIA also had interests in hotels in Karachi and abroad.

In the late 1990s, former prime minister Benazir Bhutto was accused of illegally giving out jobs at PIA during her second term in office, between 1993 and 1996. Sher Afghan Malik, managing director in 2001, had to deal with a ticket sales scandal that he estimated may have been costing the airline up to PkR2.8 billion ($45 million) a year. There were also complaints of inefficiency and poor customer service, reported the Financial Times. PIA had lost international stature and was considered by some to be primarily an "ethnic carrier" devoted to ferrying expatriates home, rather than a competitive choice for tourists or business travelers.

Hamid Nawaz, a retired lieutenant general who was PIA's chairman, urged management to help turn the airline around. By July 2001, PIA had a PkR20 billion financial package from the government and the trade unions were once again effectively suspended. Malik had earlier expressed hope that making changes to the computer reservations system would help restore profits.

PIA lost PkR11 billion in 2000. Management expected the company to break even by the end of 2001. Although national pride was an important part of PIA's mission, there was a limit on the price the government was willing to pay for the prestige of having an international air carrier. As in the past, there was the implicit threat that unless the airline could operate on its own, it would simply cease to exist.

The U.S.-led campaign against the Taliban in neighboring Afghanistan resulted in most foreign airlines canceling their scheduled flights to Pakistan. Twenty-nine of them closed their offices in Pakistan in September 2001. The air campaign against Taliban forces also affected PIA negatively, due to the closing of seven of Pakistan's airports and declaration of its airspace as a war zone. PIA lost PkR2.09 billion on sales of PkR47.11 billion in the year ended December 2001.

Pakistan's intensifying dispute with India again curtailed PIA's extensive connections with that country in 2001. After India banned PIA from its airspace in January 2002, Cathay Pacific stepped in to carry PIA traffic to Bangkok, Hong Kong, and Singapore. PIA had earlier lent Cathay Pacific assistance during a pilots' strike. The political and military volatility in the Middle East and Central Asia continued to affect the operations of PIA and would perhaps do so for some time to come.

Principal Subsidiaries

Midway House (Pvt) Ltd.; PIA Hotels Ltd.; PIA Shaver Poultry Breeding Farms (Pvt) Ltd.; Skyrooms (Pvt) Ltd.

Principal Divisions

Automation; Cargo Sales & Services; Flight Kitchen; Flight Operations; Ground Handling; Precision Engineering Complex; Telephone Sales; The Training Centre.

Principal Competitors

Emirates Group; Gulf Air; Saudi Arabian Airlines; Shaheen Air International.

Pakistan International Airlines

IATA PK	ICAO PIA	Callsign PAKISTAN
Founded	1946 (as Orient Airways)
Hubs	Jinnah International Airport (Primary Hub) Allama Iqbal International Airport (Secondary Hub) Benazir Bhutto International Airport (Secondary Hub)
Focus cities	Peshawar Multan Faisalabad Quetta Dubai Sialkot
Frequent flyer program	PIA Awards Plus +
Subsidiaries	Roosevelt Hotel Scribe Hotel Skyrooms (Private) Limited PIA Investments Limited
Fleet size	40
Destinations	64 + Cargo
Parent company	Ministry of Defence (Government of Pakistan)^[1]
Company slogan	Great People To Fly With
Headquarters	Karachi, Pakistan
Key people	Ahmad Mukhtar (Chairman) Cpt. Aijaz Haroon (MD)
Website: http://www.piac.com.pk

History

'Pakistan International Airlines', or 'PIA' for short, can trace its beginnings to the days when Pakistan was not an independent state. In 1946 Muhammed Ali Jinnah realised the need for an airline network for the forming country and called upon the help of an industrialist Mirza Ahmad Ispahani to develop a flag carrier for the nation. Meanwhile, an airline called 'Orient Airways', registered in Calcutta, was formed on 23 October 1946. In February 1947, the airline brought three DC-3 airplanes from a company in Texas, and in May of that year the airline was granted a licence to fly. Services were started in June from Kolkata to Sittwe and Yangon. This was the first post-war airline flight by a South Asian registered airline company.^{[citation needed]} Two months after this service began, Pakistan was formed. Orient Airways began relief flights to the new nation and, soon after, it moved its operations to Karachi, where it began flights to Dhaka on June 7, 1954. In addition, the first two domestic routes in Pakistan were established, from Karachi to Lahore to Peshawar, and from Karachi to Quetta to Lahore.

A Convair CV-240 photographed in the fifties at Karachi airport

The Government of Pakistan, realizing the operation was failing economically, proposed that Orient Airways merge into a new national airline. On 11 March 1955, Orient Airways merged with the government's proposed airline, becoming 'Pakistan International Airlines Corporation'. During the same year the airline opened its first international service, from Karachi to London Heathrow Airport via Cairo International Airport and Leonardo da Vinci Airport in Fiumicino, Italy, using the Lockheed L-1049C Super Constellation. The DC-3s continued operating the domestic services in Pakistan. In May 1956, PIA ordered two Super Lockheed Constellations and five Vickers Viscount 815. In 1959, Malik Nur Khan was named Managing Director.

In March 1960, PIA became the first Asian airline to use jet aircraft when Boeing 707 services were introduced^{[citation needed]}. The aircraft were wet leased from Pan American and in 1961 services were begun to John F. Kennedy International Airport in New York. In 1962, orders were placed for Boeing 720s, Fokker F27s and Sikorsky helicopters. One of PIA's Boeing 720s broke a world record that year, when it flew from London to Karachi non-stop in 6 hours, 43 minutes and 55 seconds during its delivery flight from Seattle, piloted by PIA's senior Captain Abdullah Baig, a record unbroken to this day. During 1962, services to East Pakistan (now Bangladesh) were proving to be difficult, therefore PIA placed their Sikorsky S-61 helicopters on these routes until 1966 when conditions improved. In 1964 PIA became the first airline from a non-communist country to fly to the People's Republic of China. As the Indo-Pakistani War of 1965 broke out, PIA helped the Pakistani forces with logistics and transport. In 1966, the Viscounts were phased out, substituted by four Tridents. However, as growth surpassed the need for these aircraft, they were later sold to Civil Aviation Administration of China.

The 1970s saw the resumption of transatlantic flights and new destinations. It once again aided the Pakistan Army by transporting soldiers to East Pakistan in the Indo-Pakistani War of 1971^[3] and lost a couple of its aircraft to Indian Air Force fighters.^[4]. In 1972 it applied to operate to Libya and an agreement was signed with Yugoslav airline JAT. In 1973, McDonnell Douglas DC-10s arrived and were used by the airline before they were replaced by Boeing 747-200Bs. In 1974 air freight services started, as well as a cargo service to New York under the name, 'Pakistan International Cargo'. In 1975, PIA introduced new uniforms for air hostesses. These uniforms were chosen through an open competition, the winning entry was a design by Sir Hardy Amies who was designer to Her Majesty Queen Elizabeth II.

In 1976, leased Boeing 747-200Bs came into service. In 1978, the airline bought their first Boeing 747-200BM aircraft. Also in 1978 the airline provided help to Somali Airlines, Air Malta and Yemenia and established a hotel management service in the United Arab Emirates. PIA leased two of its own Boeing 720s to Air Malta during the 70s.

The Fokker F27 was once the backbone of PIA's northern area flights in the 1990s ^[5]

The 1980s began with the opening of a cargo centre in Karachi and the delivery of a new aircraft, Airbus A300B4-203. In 1981, a duty-free sales service was inaugurated. During 1982, the first C and D checks were carried out on the fleet in Karachi. In 1984, domestic night coach fare service was introduced to offer lower prices for low-income passengers. In 1985 the PIA Planetarium tourist attraction was inaugurated in Karachi and later in Lahore. In the same year, five Boeing 737-300s joined the fleet making PIA the first Asian operator of such a type. Two former PIA Boeing 720Bs now form part of the Planetarium's exhibition at Karachi and Lahore. In late 1987 and early 1988, flights were introduced to Malé and to Toronto Pearson International Airport, respectively. In 1989, the first women pilots started their career on passenger airplanes.

During June 1991, PIA received the first of six Airbus A310-300 aircraft on from Airbus Industrie. In 1992, flights started to Tashkent and in 1993, to Zürich, Switzerland. In addition, PIA became a user of the Sabre, Galileo and Amadeus global distribution systems. During 1994, PIA added Jakarta, Fujairah, Baku and Al-Ain to its destinations. Air Safari flights were launched in the same year using Boeing 737-300 aircraft over the Karakoram mountains. In 1995, PIA received a Boeing 747 flight simulation system and a used Air France A300 aircraft was bought. In 1996 the airline leased Tupolev Tu-154 aircraft, and re-opened services to Beirut.

PIA only used the Tupolev Tu-154 for a short time to deal with the demand during the summer of 1996. In 1999, PIA leased five Boeing 747-300 aircraft from Cathay Pacific to replace its aging Boeing 747-200M fleet. The aircraft wore a new livery with a handwork Pashmina tail on white body and large Pakistan titles on the front fuselage. The livery was applied to some of the fleet during the 90s but due to copyright problems the livery was dropped. The Boeing 747-300s remained in the new look but with a plain green tail with PIA titles. The other aircraft in the fleet were repainted in the 1990s livery.

Expansion

Boeing 747-300 on finals to London Heathrow Airport, England

In July 2002, PIA purchased six Boeing 747-300 aircraft from Cathay Pacific, five of which were already on lease with PIA. The sixth arrived shortly after and PIA operated it mainly on its North American and European routes. In October 2002, after a period of ten years without any new order, the airline purchased eight Boeing 777 aircraft from The Boeing Company, including three 777-200ER (Extended Range), two 777-200LR (Longer Range) and three 777-300ER versions. PIA was the launch customer that revived the Boeing 777-200LR project that, until then, only had three orders by EVA Air. The first two Boeing 777-200LR produced were test aircraft used by Boeing, before they were delivered to PIA. One of these Boeing 777-200LR was displayed at the Paris Airshow during 2005.

During 2004, PIA took delivery of its first Boeing 777-200ER aircraft in January. On delivery of the first three Boeing 777-200ERs the airline introduced a new aircraft livery, which was later applied to the majority of the fleet. PIA also acquired six half life Airbus A310-300/ET from the Airbus management on a ten year lease agreement. On 3 November 2005 PIA signed an agreement with the aircraft manufacturer, ATR to purchase seven ATR42-500. The aircraft were purchased to replace the aging F-27 aircraft. The seven ATR aircraft were delivered between 2006 and 2007.^{[citation needed]} On 6 December 2005, PIA leased an additional new Boeing 777-200ER from the International Lease Finance Corporation (ILFC). The aircraft had the same specifications as the previous Boeing 777-200ER that PIA operated. The aircraft was delivered in January 2007 on ten year lease to the airline.

External videos
	A promotional video used by PIA on delivery of the Boeing 777

On 25 February 2006 Boeing delivered its first 777-200LR Worldliner to PIA, where it flew from Everett to Islamabad via Manchester, England. PIA started non-stop flights from Toronto to Karachi, Islamabad and Lahore from 3 March 2006 taking advantage of Boeing 777-200LR's long range capability. PIA planned non-stop flights to New York City and other US cities with sizable Pakistani population centres, but was not given permission due to security reasons. On 31 May 2006, PIA took delivery of its first ATR aircraft from Toulouse, France. On December 23, 2006, PIA took delivery of its first Boeing 777-300ER. After the arrival of a second ATR 42-500, PIA has ceased using military Lockheed C-130 Hercules for passenger services in the north of Pakistan. The military planes were being used after the Fokker F27 fleet was grounded due to a fatal crash in July 2006.

A pair of Boeing 747s stored at the newly constructed Sialkot International Airport in 2008

On 5 March 2007, the European Commission banned all but eight planes of PIA's 44-plane fleet from flying to Europe citing safety concerns. PIA was blacklisted by 27 European Union states.^[6] The remaining eight, namely the fleet of Boeing 777s, has been exempted from the ban.^[7] PIA claims that this is discriminatory and the bans are not justifiable. On 26 March 2007, Tariq Saeed Kirmani resigned after severe pressure from higher authorities because of the EU ban. Zafar Khan was appointed as the new chairman of Pakistan International Airlines. A team from the European Union visited Karachi in July 2007, to check the condition of the planes and review the ban. On July 5, 2007, the EU lifted the restriction on 11 aircraft that PIA could fly into Europe, of which five were Boeing 747-300s and six Airbus A310-300s. ^[8]. On November 29, 2007, The EU completely lifted the ban on PIA.^[9]. In the same year, PIA signed a lease deal for seven new Airbus A320-200 from Kuwait based leasing company ALAFCO, the factory built aircraft were to be delivered between 2009 and 2010, however the deal however was cancelled in 2008 due to various factors.

On March 19, 2008, PIA decided to retire its Boeing 747 fleet due to rising fuel costs ^[10]. On May 7, 2008, Captain M. Aijaz Haroon was appointed the new Managing Director ^[11] and decided to re-introduce the Boeing 747s. ^[12]

During April 2009, the management decided to launch a long-term ‘Business Plan of PIA’ including purchase of new aircraft with details of the plan being finalised. According to sources, proposals for the purchase of new aircraft are under consideration and will only be confirmed after approval by the competent authority.^[13]

Privatisation

PIA is owned by the government of Pakistan. In the late 1990s, the Government of Pakistan considered selling the airline to the private sector due to the persistent losses suffered by the airline. The Government announced the privatisation plans but they were never implemented. Several steps towards outsourcing of non-core business have been initiated. Catering units (starting with Karachi Flight Kitchen), ground handling (starting with ramp services) and engineering, are to be gradually carved out of the airline and operated as independent companies. During 1997, Pakistan called in a team from International Finance (IFC), the consulting arm of the World Bank, to advise on restructuring and privatisation of Pakistan International Airlines (PIA) however no agreement was reached.^[14] The government has many times planned the privatization of the State owned. however as of yet no reasonable agreement or solution has been found. On February 18, 2009 the carrier was dropped from the privatisation list.^[15]

Financial performance

The profitability of PIA as published in the 2008 annual report by Pakistan International Airlines Corporation with figures in millions of Pakistani Rupees. The following table suggests the key financial results for the end of year period of the financial year. PIA explains that the loss was caused by two key exogenous factors that caused the continued loss in PIA's profitability: the weakening of the Pakistani rupee and the rise in crude oil prices during 2008.

Operating Performance
Year	Revenues Rs Millions	Profit/(Loss) Rs Millions
2008	89,202	(35,880)
2007	70,481	(13,339)
2006	70,587	(12,763)
2005	64,074	(4,412)
2004	57,770	2,307
2003	47,788	1,299

Destinations

Main article: Pakistan International Airlines destinations

Houston was suspended in 2006, however, recent news has announced the Pakistani carrier maybe returning ^[16].

Codeshares

PIA have code share agreements with the following carriers ^[17]:

Aerosvit Airlines (Karachi, Kiev)
China Southern Airlines (Islamabad, Beijing, Urumqi) ^
Thai Airways International (Islamabad, Karachi, Lahore, Bangkok) ^^
Turkish Airlines (Islamabad, Karachi, Istanbul) ^^

^ Sky Team member
^^ Star Alliance member

Passenger operations

PIA offers a three class configuration on its domestic routes which include Business Plus, Economy Plus and Economy. However on their international flights a two class configuration, Business Plus and Economy, has remained popular. According to the Annual Report 2007, PIA recorded a seat factor of 69%, a percentage drop from 2006.^[18] PIA Business Plus passengers are offered flat bed seats on all Boeing 777 as well as select Airbus A310 aircraft. Newspapers and magazines are available to all Business Plus and Economy Plus class passengers on PIA flights. Free newspapers are also provided to all Economy class passengers. The PIA in-flight magazine, Humsafar (Urdu for "travel companion"), is provided to all passengers on all international flights. Humsafar was introduced on PIA flights in 1980 and is printed and published in-house on a bi-monthly basis. PIA Awards Plus+ is the frequent flyer programme. The programme allows passengers to get free tickets, excess baggage vouchers, cabin upgrades, and a variety of rewards, special deals, and discounts with programme participants. Awards Plus+ offers three tiers of membership to frequent flyers - Emerald, Sapphire and Diamond. Awards Plus+ miles can be earned by flying PIA, and by using the products and services of PIA's partners. PIA Catering are the main suppliers of meals for the airline. They can produce 15,000 passenger meals each day.^[19] However since 2006, the management control of the flight kitchens has been given to Singapore Air Terminal Services (SATS). PIA Catering also provide special meals to allow for passengers' dietary and religious needs.

Fleet

Pakistan International Airlines fleet includes the following aircraft (as of June 2009)^[20]:

**Pakistan International Airlines Fleet**
Type	In Service	Passengers (Business/Economy Plus*/Economy)	Routes	Notes
Airbus A310-300	12	184 (12/40/132) 205 (18/43/144) 205 (18/45/142)	long, medium and short haul ———————— Faisalabad, Islamabad, Karachi, Lahore, Peshawar, Quetta ———————— Beijing, Hong Kong, Tokyo, Bangkok, Kuala Lumpur, Delhi, Dhaka, Kathmandu, Mumbai, Abu Dhabi, Al Ain, Dammam, Doha, Dubai, Jeddah, Kuwait, Muscat, Riyadh Amsterdam, Barcelona, Frankfurt, Glasgow, Istanbul, Leeds/Bradford, London, Manchester	6 on lease from Airbus
ATR 42	7	48 (0/8/40)	short haul ———————— Islamabad, Gilgit, all of Balochistan, NWFP, Punjab, Sindh ———————— Kabul, Muscat, Sharjah
Boeing 737-300	6	118 (0/24/94) 119 (0/27/92)	medium and short haul ———————— Islamabad, Karachi, Peshawar, Quetta, Skardu, Sukkur, all of Punjab ———————— Delhi, Kabul, Mumbai, Abu Dhabi, Al Ain, Bahrain, Dammam, Doha, Dubai, Kuwait, Muscat	3 more plan to be leased from July temporarily
Boeing 747-200M	1	298 (38/30/196)	medium and short haul ———————— Islamabad, Karachi, Lahore ———————— Hong Kong, Bangkok	Tender for sale ^[21]
Boeing 747-300	5	468 (45/60/328)	medium and short haul ———————— Islamabad, Karachi, Lahore ———————— Jeddah, Riyadh,
Boeing 777-200ER	4	320 (35/45/240) 329 (35/54/240)	long, medium and short haul ———————— Islamabad, Karachi, Lahore, Peshawar ———————— Dubai, Jeddah, Riyadh, Copenhagen, London, Manchester, Milan, Oslo, Paris, New York	1 on lease from ILFC
Boeing 777-200LR	2	310 (35/60/215)	long, medium, short and ultra-long haul ———————— Islamabad, Karachi, Lahore, Peshawar ———————— Dubai, Jeddah, Riyadh, Copenhagen, London, Manchester, Milan, Oslo, Paris, New York, Toronto
Boeing 777-300ER	3	393 (35/54/304)	long, medium and short haul ———————— Islamabad, Karachi, Lahore ———————— Dubai, Jeddah, Riyadh, Birmingham, London, Manchester, Milan, Paris, New York
Total	40			Updated June 2009

^{*Economy Plus Class is offered on domestic routes only.}

Fleet orders

In May 2009, PIA tendered for short term, wet lease, of three Boeing 737-300 aircraft, to be added to the fleet from July ^[22].

During June 2009, PIA entered final discussions with Airbus and Boeing at the Paris Air Show for a new order of 27 narrow body A320 or 737 family aircraft, for the airline ^[23].

Livery

Airbus A310-300 AP-BEU plate 'Peshawar' PIA first flight to Barcelona from Lahore. 2009-03-29

In December 2003 PIA introduced a new image that was applied to their first 777-200ER and on two leased A310-300s one of which was in service. The livery was white at the front and beige at the rear separated by a dark green stripe. The tail was painted white with PIA written in dark green. PAKISTAN was added to the front fuselage and the engines where painted beige. The PIA written in calligraphic urdu was added just behind the cockpit. However, due to negative critisism the design was modified before the first Boeing 777 was delivered. PIA and Boeing decided to replace the tail with a flowing Pakistan flag on a beige background. PAKISTAN titles were removed and the PIA acronym was enlarged and moved onto the fuselage. The engines and urdu PIA remained the same. The leased A310s and most of PIA fleet also adopted this livery at a later date.

The return of the flag tail saw then end of the provincial special schemes since their maintenance was too costly.

In early 2006 the airline launched four new tail designs for its fleet. The tails represented the four provinces of Pakistan: Sindh, Punjab, North-West Frontier Province and Balochistan.^[24]. The tails were to promote the different cultures of the four provinces of Pakistan by applying motifs to the tails and adding a city name to the rear of the fuselage corresponding to the province. The "Frontier" tail represented the "Phulkari" (flowering) pattern that reflected a rich and colourful tradition of embroidery generally done on shawls, shirts and linen. The "Punjab" tail was loosely related to the exquisite tile decoration of the Wazir Khan Mosque in Lahore. The "Balochistan" tail was striking and colourful reflection of robust creativity seen in the kilims, carpets and rugs woven with wool, goat or camel hair and mixed yarn. The pattern is mostly bold geometric motifs in primary colours dominated by red. The "Sindh" tail was influenced from the Hala tile work with electric blue and white floral patterns.

In 2008 management stopped the application of provincial tails deeming them too costly and decided to restore the flag tail design introduced on the first Boeing 777 in 2003. Since April 2009, A310s (AP-BEB and BEU) have been repainted with the flag with most of the fleet to follow suit.^{[citation needed]}

Cargo operations

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PIA also operates an extensive cargo delivery system within Pakistan. During the early 1970s, PIA operated a service called "Air Express" that delivered documents and parcels from one airport to another. Pakistan International Cargo was started in 1974 using two Boeing 707-320C, with services to the Middle East and Europe. The operations ended in the late 1990s when both aircraft were grounded. PIA Cargo transports a range of goods across Pakistan as well as to international destinations. These include meat and vegetables, textiles, paper products and laboratory equipment.

In 2003 PIA launched "'PIA Speedex'", a courier service in Karachi, Lahore, and Rawalpindi/Islamabad; expanding within a year to 12 cities. Today, the airline offers over 70 locations within Pakistan, with shipments collected and delivered from customers' homes. From 2004 to September 2007, PIA Cargo operated two Airbus A300 Freighter aircraft chartered through MNG Airlines to Haan and Luton; initially these also operated to Amsterdam, Basel and Cologne.

Marketing and sponsorships

Pakistan International Airlines (PIA) supports a first-class cricket team that plays in the ABN AMRO Patron's Trophy in Pakistan.
PIA is also sponsoring the Pakistani team for the A1 Grand Prix.
PIA also promotes the Shandur Polo Gala, that takes place every year in the Chitral and Gilgit regions of northern Pakistan during the summer period.^[25]
PIA is one of the official sponsors of the "Destination Pakistan 2007" festivals.^[26]
PIA also has its own Boy Scouts Association (PIA-BSA) working in partnership with Pakistan Boy Scouts Association. After the earthquake, PIA-BSA was working in partnership with other charity organisations to provide relief help.
PIA Planetariums located in Karachi and Lahore are owned by PIA, which enable the public to see static aircraft as well as astronomy shows.
PIA Horticulture, set up in 1996, provides flowers for display in PIA's offices and for a range of events, winning several awards and accolades at flower exhibitions across the country.
PIA also supports non-profit organisations within Pakistan such as; Al-Shifa Trust, Zindagi Trust, The Citizens Foundation and Sindh Institute of Urology and Transplantation (SIUT). ^[27]

Achievements and recognitions

PIA were the first Asian airline to receive the Boeing 737-300

First airline from an Asian country to fly the Super Constellation.
First Asian airline to operate a jet aircraft.
First Asian airline to be granted maintenance approval by the US Federal Aviation Administration (FAA) and the Air Registration Board, predecessor of the British Civil Aviation Authority (CAA).
First non-communist airline to fly to the People's Republic of China, and operate a service between Asia and Europe via Moscow.
First airline in Asia to induct the new technology Boeing 737-300 aircraft.
First airline in the world to operate scheduled helicopter services.
First airline to show in-flight movies on international routes.
The first airline in South Asia to introduce auto-ticketing facility.
The first airline in the world to fly to Tashkent, capital of the newly independent state of Uzbekistan.
First airline in the world to start Air Safari with jet aircraft.
First Asian airline to start flights to Oslo, the capital city of Norway.
First airline in the world to induct the Boeing 777-200LR, the world's longest range commercial airliner.
First airline in the world to take delivery of the Boeing 777-200LR Worldliner (Longer Range Variant).
Pakistan International Airlines Flight Services Department was awarded the ISO 9001:2000 certification award during May 2006.
First airline in Pakistan to operate a flight with an all female crew at command and in the cabin.
First airline in the world to operate the Boeing 777-200ER, 777-200LR and 777-300ER altogether - all the three variants available on the market at the time.
PIA Flight Kitchens in Karachi were awarded the HACCP Certification. ^[28]
PIA was given three awards in 2008: The "Brands of the Year" Award, "Consumers Choice Award" and "One The Best Airlines Award (Cargo)". ^[29]

Special operations

Charter services

PIA operates private charter flights using ATR 42s to Kadanwari and Sewan Sharif gas field in Sindh as well as to other parts of the country on behalf of oil and gas companies. Ad hoc charters for United Nations peacekeeping troops are also carried out to Africa and Eastern Europe using Boeing 747s.

Callsign "PAKISTAN 001" carrying the President on PIA's Boeing 707 photographed in Germany, 1961

Hajj and Umrah operations

PIA operates a two-month (pre- and post-) Hajj operation each year to and from Jeddah and sometimes Madinah in Saudi Arabia. PIA transports over 130,000 intending pilgrims each year from Karachi, Lahore, Islamabad, Peshawar, Quetta, Faisalabad, Multan, and Sukkur to the Kingdom of Saudi Arabia. In order to deal with the demand, the airline leases many different aircraft including Boeing 747-200s, Airbus A321s, Airbus A300B4s and Boeing 737-400s.

Head of state transportation

PIA is mainly meant for serving President of Pakistan and Prime Minister of Pakistan.However it also serve people of pakistan as a side business. PIA has always transported the President and Prime Minister of Pakistan on overseas visits. During the late 1990s, a PIA Boeing 737-300^[30] was used for official visits by the Bhutto and Sharif governments. The aircraft wore official government colours but was later repainted in the airline official colours at the end of the decade. When the government changed after a military coup in 1999, the Boeing B737 was transferred to PIA permanently. The President and Prime Minister then resorted to using two of PIA's Airbus A310-300 for official visits, while rare trips were done on regular commercial flights of the airline. In February 2007 the government of Qatar gifted one of their VIP fleet A310^[31] to the Pakistani government, this has ended the need for use of PIA aircraft. However, from time to time the government uses the airline's Boeing 737 or Airbus A310 for official trips.^{[citation needed]}

Incidents and accidents

Since it began services, seven Pakistan International Airlines flights have crashed. PIA has a record of 5.00 fatalities per million flights.^[32]

The memorial tablet placed at the crash site in Cairo for those who died on PIA Flight 705 on May 20 1965.

PIA Flight 705 was a Boeing 720 – 040 B that crashed while descending to land on Runway 34 at Cairo International Airport on 20 May 1965 resulting in 119 fatalities.
PIA Flight 740 was a Boeing 707-340C that crashed after takeoff from Jeddah International Airport on 26 November 1979. Flight PK740 departed Jeddah at 01:29 for a flight to Karachi.
PIA Flight 268 was an Airbus A300B4-203, registration AP-BCP, which crashed on approach to Kathmandu's Tribhuvan International Airport on 28 September 1992. All 167 on board were killed.
PIA Flight 544 was the flight number of a Pakistan International Airlines (PIA) Fokker F27 that was hijacked on 25 May 1998. All passengers and crew were unhurt during the incident.
At 12:05 pm on 10 July 2006.^[33], a Fokker F27 was scheduled to operate from Multan to Lahore and then to Islamabad. It crashed into a field^[34] after bursting into flames a few minutes after takeoff^[35] from Multan International Airport. All 41 passengers and four crewmembers on board PIA Flight 688 were killed.^[36]

References

^ "Annual Report 2006 (Part-I)" (PDF). Pakistan International Airlines. 2007-04-03. http://www.piac.com.pk/PIA_About/profiles/2006/PIA_Annual_Report_2006-P1.pdf. Retrieved on 2007-08-14.
^ "Directory: World Airlines". Flight International: p. 61. 2007-04-10.
^ The Evolution of The Pakistan Army By Brig. (Ret.) Noor A. Husain
^ Aircraft Losses In Pakistan -1971 War (PAF, Army Aviation, and Civilian aircraft Casualties) - by P V S Jagan Mohan
^ PIA in the old days History of PIA, assessed 03-02-2009
^ E.U. to ban PIA
^ EU banes Pakistan airline flights - BBC News - Obtained March 5, 2007.
^ Pakstrategy: EU Lifts ban on Eleven PIA Planes
^ EU Lifts ban on PIA Brecorder Newspapers, Accessed December 1, 2007
^ PIA grounds jumbos to cut fuel bill
^ Aijaz takes over as PIA MD Dawn Newspapers Accessed 16 May 2008
^ Grounded PIA Jumbo Jets flying again - Jang Newspapers, Accessed 22-05-2008
^ Long-term ‘Business Plan of PIA’ being finalised Daily News, Released on 2009-04-29. Accessed 2009-04-30
^ PIA privatisation Flight International Magazine, printed 01-01-1997, assessed 09-03-2009
^ Pak Steel, PIA dropped from privatisation list The News, Jang Newspapers Published 18-02-2009, assessed 09-03-2009
^ [1]
^ PIA moves towards Global Alliances Pakistan International Airlines Press Release, assessed 03-04-2007
^ PIA Annual Report 2006-2007
^ About PIA - Flight Kitchens
^ PIA website: About Fleet, [2], [3]
^ http://www.piac.com.pk/PIA_Business/tender_for_B747_23062009.asp
^ http://www.piac.com.pk/PIA_Business/tenders/TenderWetLease_03JUN2009.pdf
^ http://www.flightglobal.com/articles/2009/06/17/328381/paris-air-show-pia-in-final-discussions-with-airbus-and-boeing-for-major-narrowbody.html
^ PIA launches four new tails
^ Enjoy the spectacular shandur Polo Gala 2007-07-07
^ PIA: Make Pakistan Your Next Destination, 2007
^ Corporate Social Responsibility within PIA
^ PIA’s Flight Kitchen Karachi Awarded HACCP Certification
^ PIA Annual Report 2008-2009 PIA Press Releases, Accessed 2009-05-02
^ "AP-BEH" PIA B737 in Government Colours
^ Airliners.net: Pakistan Air Force A310-304
^ "Accident Rates By Airline". AirDisaster.com. http://www.airdisaster.com/statistics/.
^ "Dawn - Multan Plane Crash". dawn.com. 2006-07-10. http://www.dawn.com/2006/07/10/planecrash.htm. Retrieved on 2006-07-10.
^ "All 45 on Pakistani plane killed in crash". yahoo.com. 2006-07-10. http://news.yahoo.com/s/ap/20060710/ap_on_re_as/pakistan_air_crash. Retrieved on 2006-07-10.
^ "Pakistan police: Crash kills 45". cnn.com. 2006-07-10. http://www.cnn.com/2006/WORLD/asiapcf/07/10/pakistan.aircrash.reut/index.html. Retrieved on 2006-07-10.
^ "'No survivors' in Pakistan crash". news.bbc.co.uk. 2006-07-10. http://news.bbc.co.uk/2/hi/south_asia/5164280.stm. Retrieved on 2006-07-10.

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