LIAT, Caribbean Star Firm Up Merger Plans, Reveal New Name

Developments are moving swiftly in the ongoing talks between LIAT and Caribbean Star to unite the two carriers.

Following talks in Antigua on Jan. 10 and 11, Ralph Gonsalves, prime minister of St. Vincent and the Grenadines, one of the three main shareholders in LIAT (the other two are the governments of Antigua and Barbuda and Barbados), announced that the merged carrier will go by the name LIAT, the Star of the Caribbean; operations will start up February 1, one month after the new carrier Caribbean Airlines took to the skies.

Mr. Gonsalves reported that Caribbean Star’s fleet will be reduced by four Dash-8 300s, which will be sold as a cost-cutting measure that was part of the merger talks.

As a result of the merger, the new schedule will reflect changes in terms of flight frequencies and markets served by each carrier with Star operating routes in the northern Caribbean and LIAT in the southern Caribbean. Both Star and LIAT flights will use LIAT’s LI designator code.

Downsizing employee numbers is expected at both carriers, although no figures or effective dates were announced.