Madagascar Airlines (MD, Antananarivo) has moved to calm the market that it has managed to reassure lessor ACIA Aero about the operational safety of its aircraft amid the political changes taking place in Madagascar and that the Malagasy authorities are committed to maintaining "robust territorial connectivity". It pointed to signs of stability returning with the lifting of the curfew, airports remaining open, and long-haul flights resuming.

"ACIA Aero has confirmed its confidence in Madagascar Airlines. The letter received from ACIA Aero, dated October 15, was a precautionary measure taken in response to the national political context. It was not related in any way to the announcement of Mr. Thierry de Bailleul’s decision to step back from his duties as CEO," the airline said in a statement shared with ch-aviation.

It added: "The senior management of ACIA Aero has since held a direct discussion with the chairman of the board of Madagascar Airlines. During this exchange, ACIA confirmed that it has no intention of repossessing its aircraft. Their request was solely aimed at obtaining assurance regarding the operational safety environment, which is a standard and understandable concern under the circumstances."

Another lessor, Abelo Capital Aviation, expressed concern to the airline about de Bailleul's withdrawal from duties but told ch-aviation that it had engaged with the airline and was not asking for its aircraft to be moved.

ACIA Aero reiterated that it does not comment on any matters relating to its leases. According to the leaked letter seen by ch-aviation, ACIA Aero on October 15 formally requested that its two ATR72-500s, 5R-EJH (msn 900) and 5R-EJK (msn 904), be ferried out of Madagascar immediately to a safe jurisdiction in light of the countrywide protests that culminated in a military coup d'etat at the weekend.

The protests prompted some international airlines cancelling their services to Antananarivo, notably Air France, Emirates, and Air Mauritius, and the postponement/cancellation of some flights by Air Austral and Kenya Airways. Madagascar Airlines itself adjusted its schedule to accommodate the temporary nighttime curfew.

By October 17, Air France and Emirates flights remained suspended, according to ADS-B data, but services have resumed at Ethiopian Airlines, Turkish Airlines, Air Mauritius, and Air Austral.

Position of the CEO

In its statement, Madagascar Airlines points out that de Bailleul "publicly announced his decision to step back from his duties in a press release issued on October 15". What it does not mention is that de Bailleul, in a letter on October 15 to board chairman Mamy Rakotondraibe, specifically stated that his voluntary decision to withdraw from his duties as CEO did not affect his consulting contract, which is still in force with Madagascar Airlines.

"Technically, it cannot be a resignation; it would be a contract termination," a source told ch-aviation.

As reported by ch-aviation, de Bailleul decided to step away from the airline temporarily following a social media campaign by pilots calling for his resignation creating a climate of mistrust. He urged the board to ensure operational continuity amid the airline’s financial difficulties.

In an earlier statement, de Bailleul expressed "deep concern over the potential consequences of prolonged managerial instability on cash flow, investor confidence, and the long-term sustainability of the airline." De Bailleul said his decision to step aside was driven by the intention to preserve operational stability and avoid any interference with the political transition.