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Saudi gives go-ahead for first private airline

RIYADH, Dec 6, 2006 (UNI)

Saudi authorities have authorised business travel specialist National Air Services (NAS) to launch the kingdom’s first private domestic airline, the company said Wednesday.

The company will operate as a low-cost carrier and is the first to be awarded a licence since a 2003 royal decree ended state-owned Saudi Arabian Airlines’ monopoly on domestic flights.

The new airline, whose name is as yet undecided, will begin operating early next year, a statement said, with five aircraft flying to 22 Saudi destinations from Riyadh. The company hopes for its fleet to reach 18 aircraft by 2010.

Founded by private Saudi investors in 1999, NAS is the biggest private business travel operator in the Middle East, with 33 aircraft, the statement said.