CAIRO - Saudi Arabia's low-cost carrier Sama Airlines announced that it would discontinue all flight operations as of August 23, thus declaring bankruptcy and its departure from the international air transportation market. The news came as no surprise to civil aviation experts since, according to economic rules and market principles, this is a natural ending for such low-cost carriers. Governments support such companies that sell low-cost tickets that do not even cover fuel expenses. In my view, governments must become tired of years of losses, which fail to achieve the aim of monopolising the market, and thus they try to raise prices gradually. Customers in this case refuse to travel on these carriers and resort to the guaranteed airlines that have high rates of safety and security services. What really shows that these low-cost carriers are supported by governments was the statement released by Sama CEO Bruce Ashby, admitting that the company had been awaiting a significant aviation relief package with respect to fuel subsidies, subsidies for PSO routes, a gradual lifting of domestic fare caps, and additional funds to support the past losses and growth of the company's business. He added that Sama had sought and found more than one potential new equity investor willing to inject cash into the business. Unfortunately, none of these alternatives came together in the required timeframe. Sama, and all the other airlines throughout the region, experienced a somewhat slow demand for regional travel during the winter season (October 2009 through March 2010). Although revenues were up sharply during the summer peak season, it was not enough to offset the heavy losses the company suffered during the winter. I'd like to remind readers that Sama airlines was one of the companies that months ago caused a crisis between Egyptian and Saudi Civil Aviation authorities and consequently led to the suspension of the Cairo-Medina route for several months. Today, it is clear how wise Minister Ahmed Shafiq was when he stood up to the pressure and refused the landing of such low-cost carriers at the Cairo International Airport. [email protected]