Don’t compare apples with oranges

Dear Editor,

A small comment on your Samoa Observer issue, editorial 13/3/2018 and 14/03/2018 titled “What is stupid” and ‘Now here is the truth” to clarify a very important point that needs to be explained and understood from my personal point of view.

You have explained the analysis of the financial reports at that point of time as you have a hard copy. From distant memory as well as your analysis. P.A.H.L. and P.A.O.L. were completely different companies. They were completely different entities. Apples and Oranges.

It is very frustrating, sad and unfair to hear people blaming the past failures to Polynesian Airline Limited as a whole. It has different phases in its growth in life and as well different people responsible in the airline directives from time to time. 

P.A.H.L. was mainly Government run and controlled.   


P.A.O.L. was established to look after the day to day operation of the airline at the time whereas P.A.H.L. controls assets and handle the substantial debts that you mentioned.

P.A.O.L., been a new set up private company has its new management, new board of directors as well as new directives. The new General Manager was Mr. Gates. The new company was audited specifically by K.P.M.G. of New Zealand and the company was making profits since its operation till the time I left the company. 

 The advance allowances that you raised was a directive of this new company P.A.O.L. 

Nothing to do with P.A.H.L. whatsoever. P.A.O.L. management was able to do those decision because the company was making profits. Most of those advances, except a few, were wiped out at each year end as they were prorated accordingly. 

We earned those allowances through hard work and dedication. They were in order, approved, authorised and recorded for audit purposes.

Logically, as I don’t have a copy of the financial statements, I don’t recall K.P.M.G. had ever disclosed those allowances in their notes to the accounts for all those years, an indication the amounts were not very material to have an impact. 

In fact very contrast with another decision made by management, an investment made to I.A.T.A. during those years for numbers of shares at US$2000 or US$3000 that latter on generated share revaluation of more than US$1000000, a Samoan tala equivalent of $2500000. 

All airlines of the world benefited from those I.A.T.A. share revaluation. 

A P.A.O.L. directive I’m a part and proud of. 

Hope this short information will help.


Falaniko Malaki

Polynesian Airlines operation Ltd.

Former Financial Accountant

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