Turkey's national flag carrier Turkish Airlines (THY) abandoned its goodwill agreement with Singaporean SATS to provide catering services and started negotiating with DO & CO again, regarding the airline's catering services at Istanbul's new airport, due to start operations on Oct. 29.
Negotiations with Singaporean SATS, which came to the fore as an alternative catering company after THY severed ties with DO & CO, have been terminated.
THY had signed an intention agreement with SATS Investments Pte. Ltd. (SIPL), a subsidiary of SATS Ltd., to provide catering services after moving its operations to Istanbul's new airport. Following the preliminary agreement, THY announced to the public that the duration of the agreement had been extended with a contract.
The statement made by THY revealed that negotiations with the Singaporean company were terminated and the intention agreement signed between the parties was abandoned during the board of directors meeting.
THY and Singaporean SATS had established a company called Sats Food Turkey Food Services Inc. at Maya Park Towers in Beşiktaş, Istanbul on Jan. 17. Founded with TL 50,000 ($10,400) in capital, the company chairman was Charles Hungate and the vice chairman was Kumar Marie.
While these developments were taking place, THY decided to come to the table with DO & CO again.
THY released a statement via the Public Disclosure Platform (KAP) about the provision of catering services, saying: "We have initiated negotiations with our current catering service supplier THY DO & CO Catering Services Inc., our partner organization with DO & CO AG, concerning the provision of catering services we will receive in Istanbul New Airport and other airports in Turkey, and we will share significant developments with the public."
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