Air Malta link with debt-ridden Portsmouth is 'beneficial'

Air Malta has no regrets over its commercial agreement with Ports-mouth FC, even though the debt-ridden Premier League club went into administration last Friday.

A spokesman for the airline told The Sunday Times that Air Malta's objective of increasing passengers from the London area had been achieved and the two-year agreement, which comes to an end in June, was honoured by both parties.

Facing debts of about €78 million, Portsmouth became the first Premier League club to enter administration. The 112-year-old south coast team now faces a nine-point penalty and almost certain relegation.

The club enjoyed glory as recently as May 2008 when it won the FA Cup, and within weeks the Maltese airline negotiated a commercial agreement.

The airline would not reveal the cost of the agreement, adding that it would be inappropriate to give details because of similar deals struck with other clubs.

Under the agreement, Air Malta secured a variety of co-marketing and advertising deals both during the Barclays Premier League matches of Portsmouth FC and also during the club's games in the FA, UEFA and league cups.

The marketing opportunities included LED perimeter advertising at the club's Fratton Park stadium, advertising on backdrops during interviews, advertising in the match-day programme and brand marketing.

As a result of the agreement, Malta and Air Malta achieved global TV coverage through extensive worldwide exposure of the English Premier League, a spokesman said.

The man-of-the-match award was sponsored by Air Malta and two flights to Malta were given to the player who won it.

"This agreement further highlights the initiative that Air Malta is willing to take to promote Malta abroad and to increase tourism arrivals to Malta."

Last year, on Air Malta's London routes of Heathrow and Gatwick the airline increased its passenger load by 1.3 per cent over 2008, which was a record year for the airline in terms of passenger traffic.

Considering the global economic slowdown which greatly impacted air travel, Air Malta achieved relatively good results on its London routes, the spokesman said.

The advertising generated through this partnership which mainly promoted the airline's portal helped Air Malta not only to increase sales but also boost web sales on the London routes, which have now grown to 50 per cent of the total sales on the destination.

"Air Malta believes sports marketing is a cost-effective means to achieve large audiences during prime time which could be impossible to achieve otherwise."

During the past months, Air Malta signed a similar one-year agreement with Italian Serie A Champions Inter FC as well as marketing agreements with West Ham United and Birmingham City.

"We have no regrets," Air Malta said when asked whether it had any qualms about its relationship with the beleaguered Premier League team.

"We started this agreement when Portsmouth were FA Cup winners and when they went on to hold AC Milan to a draw. It remains our objective to be twinned with a Premier League team."