After months of legal and financial wrangling, Air Sénégal has successfully concluded a high-stakes dispute with Carlyle Group, the American aircraft lessor, bringing an end to a contentious lease agreement involving four aircraft. The breakthrough came through a negotiated settlement finalized in Dakar, which has now been ratified by the country’s top commercial court.
The resolution follows prolonged negotiations between the two parties, culminating in the signing of a conciliation protocol on May 4, 2026. This agreement was formally approved by the Dakar Commercial Court on June 25, 2026, effectively closing the chapter on a dispute that had escalated into international litigation.
What triggered the dispute?
Under the terms of the lease, Air Sénégal had been operating two Airbus A319 and two Airbus A321 aircraft provided by Carlyle Group. However, the airline’s new management team, led by CEO Tidiane Ndiaye, decided to return the planes, citing mounting operational and financial concerns. The high leasing and maintenance costs, combined with recurring technical issues, were identified as key factors in the decision to terminate the contract prematurely.
The move led to a breakdown in negotiations, prompting Carlyle Group to initiate legal action against the airline. Yet, rather than escalate the conflict, both sides opted for a mediated resolution, ultimately averting a prolonged court battle that could have further strained Air Sénégal’s finances.
A near-full settlement of outstanding claims
The newly ratified agreement ensures that nearly all outstanding payments—including overdue lease fees and maintenance reserves—have been settled in full. This settlement acknowledges Air Sénégal’s previously recognized liabilities, thereby resolving the financial obligations tied to the returned aircraft. The airline has confirmed that all payments were completed in accordance with the terms of the conciliation protocol.
With the dispute now behind them, Air Sénégal can refocus on stabilizing its operations and strengthening its fleet strategy. Meanwhile, Carlyle Group has indicated it will withdraw its legal proceedings in New York, further solidifying the closure of this international dispute.
What’s next for Air Sénégal?
While the resolution marks a significant step toward financial recovery, the airline faces ongoing challenges in maintaining fleet efficiency and cost competitiveness. The decision to return the leased aircraft reflects broader concerns about sustainability in aircraft leasing arrangements. For Air Sénégal, this settlement provides much-needed clarity, allowing the company to prioritize long-term fleet renewal and operational efficiency in a challenging market.
