An Perth-
Air Charter Scotland (ACS) confirmed it is in discussions with the Inverness airline.
Advance negotiations with other interested investors for Highland are progressing well with an announcement over its future likely to be released around the end of the month.
It is understood that a multi-
Highland’s commercial director Basil O’ Fee said: “There is a lot of good value in Highland Airways. There are “different ways (a rescue) could be done.”
He said the cash-
George McFarlane, director of Air Charter Scotland confirmed: “We are having a look at Highland Aiways but no decision has been taken yet.”
Mr McFarlane would not comment on what parts of the airline it is interested in though it it is believed his firm may be mulling a direct investment as well as operating some of their scheduled routes or private charters under a franchise deal.
He said: “We have really just started talking to them. Things are at a very early stage. The outcome depends on what we find out after undertaking due diligence.”
Though it is believed that both aviation firms may strike an arrangement by the end of this month Mr McFarlane could not give a time frame.
He said: “How long is a piece of string. We are looking at the possibilities of what could be done. But it is far to early to say anything.”
George McFarlane, from East Kilbride established Air Charter Scotland with business partner Alexander Bissett, of Glasgow in 2006. Another director Derek Thomson lives in Newton Mearns. The firm’s head office is in East Kilbride.
The company runs a fleet of six Cessna jets out of Perth Airport, by Scone. It deals with mainly the corporate executive market and private business flights.
It also provides an aircraft maintenance and engineering service for commercial and private operators.
Highland is considered to be a friendly community airline in the remote islands it serves.
It employs over 100 personnel across the north of Scotland but a massive injection of cash is desperately required to keep it flying.
Seats are only been sold up to the end of February while restructuring talks are ongoing.
The airline is part owned by Scottish Government agency Highlands and Islands Enterprise (HIE) which initially bought £620,000 of shares to help finance a management buyout in March 2007.
Last week Highland Airways said: "The company recognises that it needs a new partner to stabilise its position and allow it to develop into the future.
"The company is making good progress in its discussions with a potential new partner who will bring strong synergies and new opportunities to the business.
"This development presents the airline with a very promising and timely means to address current difficulties.”
Highland Airways operates lifeline passenger flights to the Western Isles, Inner Hebrides and in Wales.
It provides newspaper delivery to the Hebrides and Shetland and also runs corporate staff shuttles and air charters.
On the ground it provides passenger handling activities at some airports and
engineering services to other airlines.
Highland Airways has suffered financial problems over the last year and pilots
and engineers took a pay cut in the summer. It also stopped its cadet training
scheme.
It was hammered by the recession plus high fuel costs over the past two years.
It confirmed it failed to regain an important charter between Edinburgh and England while a contract for subsidised flights in Finland was terminated in December.
Hopes of generating sufficient cash flow were destroyed by lost ticket sales caused when planes were grounded by the severe icy weather at New Year.
About 20,000 passengers use the airline annually on its Scottish services.
Western Isles Council pays £464,446 year for the daily Stornoway-
The airline is expected to win the £800,000 a-
Perth aviation firm in talks over Highland Airways 6/2/10
Air Charter Scotland is interested in part of Highland Airways