Attempts were made by the
Government of Uganda to privatise the company, but all potential bidders pulled out, eventually leading to the liquidation of Uganda Airlines Corporation in May 2001 (2001-05). The airline was later revived and began flying again in 2019 under the same name,
Uganda Airlines.[3]
History
Uganda Airlines was founded as a subsidiary of the
government-owned
Uganda Development Corporation (UDC) in May 1976 (1976-05) as a replacement of the services previously operated by
East African Airways.[4] It commenced operations in 1977, when Uganda Aviation Services (UAS), set up by
British United Airways in 1965 but then a UDC subsidiary, was absorbed by Uganda Airlines, taking over the UAS route network.[4][5][6] Following delivery of the first
Boeing 707-320C in the late 1970s, new routes to
Brussels,
London and
Rome were inaugurated. A second Boeing 707-320C entered the fleet in 1981. That year, new routes to
Cairo,
Cologne and
Dubai were launched, followed by
Dar es Salaam,
Kilimanjaro and
Nairobi in subsequent years.[7]
Upon the creation of
Alliance Air in late 1994—later known as SA Alliance—an entity jointly owned by the
Tanzanian and
Ugandan governments,
Air Tanzania and Uganda Airlines, as well as by
South African Airways (SAA),
Tanzania and Uganda granted the rights of long-haul operations to the new airline.[9][10][11] The agreement intended to feed Alliance Air's operations with both Air Tanzania and Uganda Airlines domestic and regional services.[9][12] However, both regional
carriers grew less than expected, and the deficit Uganda Airlines accumulated led the Ugandan Government to make a decision on whether to liquidate the airline or privatise it.[9]
Privatisation attempt and collapse
In the late 1990s, the airline was in a delicate cash position owing to mismanagement,[13] when the Government of Uganda planned to privatise the debt-ridden airline, seeking for an investor to keep the company afloat. Initially, several firms held an interest in taking over Uganda Airlines. SA Alliance/
SAA,
Air Mauritius,
British Airways,
Johannesburg-based Inter Air,
Kenya Airways, and
Sabena, all seemed to be interested bidders at the beginning,[13][14][15] but eventually declined to submit bids, except for SAA that remained the only bidder by early 1999.[16][17] SAA would have had a 49% participation in the company;[16] nevertheless, it later dropped its bid after encountering strong legislature opposition.[9][18] Having no offers, the Ugandan Government liquidated the airline in May 2001 (2001-05).[19][20]
Destinations
From its
hub in Entebbe International Airport, in its heyday the company used to operate scheduled services to destinations within
Africa, Europe and Middle East. Following is a list of destinations Uganda Airlines served all through its history:
Following is a list of companies Uganda Airlines had
codeshare agreements with at the time of closure; routes were actually operated by Uganda Airlines:[30]
Air Tanzania, Dar-es-Salaam and Johannesburg to/from Entebbe
According to
Aviation Safety Network, the airline experienced three accidents/incidents throughout its history; only one of them yielded fatalities.[32]Hull-losses are listed below.
1 April 1979: A Boeing 707-320C,
registration 5X-UAL, that was standing at Entebbe International Airport, was destroyed by forces of the
Tanzanian Army during the
Uganda–Tanzania War. No fatalities were reported.[33]
17 October 1988: Flight 775 was an international scheduled
London-Gatwick–
Rome-Fiumicino–Entebbe passenger service that crashed because of poor visibility on the final stage of its first leg, during the approach phase to Leonardo da Vinci-Fiumicino Airport. The flight was operated with a Boeing 707-320C,
tail number 5X-UBC. The aircraft broke up after hitting the roof of a building, and burst into flames. Out of 52 occupants aboard, there were 33 fatalities, while many survivors were seriously injured.[34][35][36]
^"Three nations combine to form new African carrier". Flight International. 146 (4452): 2. 21 December 1994 – 3 January 1995.
ISSN0015-3710. Archived from
the original on 5 November 2012. Air Tanzania and Uganda Airlines, both of which are minor shareholders in Alliance, will act as feeders for the new airline.
^
abcGill, Tom (1 June 1998).
"Uganda eyes foreign cash". Flightglobal.com. Airline Business. Archived from
the original on 4 November 2012. Retrieved 14 July 2012.
^"Amin cargo flights banned by Britain"(PDF). Flight International: 815. 17 March 1979. Retrieved 12 May 2011. Uganda Airlines' regular cargo flights between Stansted and Entebbe have been stopped by the British Government, although there is no embargo on return services.