United Airlines will end service between Houston and Lagos,
Nigeria, the carrier's only route to Africa, after June 30.
The carrier sent a note to employees this week saying the
route "has been underperforming financially for several years." United
continued to invest in it in deference to Houston-based corporate customers. The
downturn in the oil industry, however, has depleted Nigeria's foreign exchange
reserves, and airlines have found it difficult to repatriate funds from the
nation, according to the International Air Transport Association.
"Since last fall, we have not been able to repatriate
revenue sold locally in Nigerian currency, and therefore we had to essentially
suspend these sales, which makes the route unsustainable," according to
United spokesman Jonathan Guerin. "About half of the revenue generated by
the route comes from [a] Nigeria point-of-sale."
United is redeploying the Boeing 787 for its expanding route
between San Francisco and Tel Aviv. Customers can reach Lagos via Star Alliance
partner Lufthansa.
Delta Air Lines, meanwhile, will become the only major U.S.
carrier to offer nonstop service to Africa.