SAL signs lease, warehouse management deal for KAIA

A SAL Saudi Logistics Services Co.’s facility

SAL Saudi Logistics Services Co., through its ground handling division, signed today, Feb. 4, a five-year agreement with Saudia Technic Co., noting that there is no fixed contractual value as services fees will b paid on demand based on the predetermined rates in the deal.

In a statement to Tadawul, the company added that the contract provides for the leasing of space and warehouse management. This besides providing integrated ground handling and storage solutions at SAL’s air cargo facilities at King Abdulaziz International Airport (KAIA) in Jeddah.

The agreement, according to SAL, is poised to have a positive impact on financial results over the contractual term.

Saudia Technic is a subsidiary of the Saudi Arabian Airlines Corporation, which owns 49% of SAL. Board members Ahmed Alwassiah, Ibraheem Sheerah, and Fahad Moussa have indirect interests in the deal.