keesje
Posts: 8854
Joined: Thu Apr 12, 2001 2:08 am

New Large Russian Airline Next To Aeroflot

Thu May 03, 2007 12:19 am


Moscow - Russian President Vladimir Putin on Wednesday signed an order establishing a new airline that is to be the country's second-biggest after Aeroflot, the Kremlin said.

The president's order will see Russian regional airlines

- KrasAir,
- Domodedovo,
- Samara,
- Omskavia and
- Sibaviatrans

merged into AirUnion within six months, the Kremlin said in a statement.

The government will own a share of 'at least' 45 per cent of the new company, it added.


IMO not a bad idea, network expansion, quality control, economies of scale.

I guess Krasair (Boris Abramovich) will head the airline.

Bold moves can be expected soon. The Russians have ambitions & cash..

http://news.monstersandcritics.com/b...orm_Russias_second-biggest_airline

"Never mistake motion for action." Ernest Hemingway
 
A342
Posts: 4017
Joined: Sun Jul 31, 2005 11:05 pm

RE: New Large Russian Airline Next To Aeroflot

Thu May 03, 2007 12:35 am

Quoting Keesje (Thread starter):
Moscow - Russian President Vladimir Putin on Wednesday signed an order establishing a new airline that is to be the country's second-biggest after Aeroflot, the Kremlin said.

I think somebody got that wrong here. The airlines involved issued a REQUEST to Putin; he did not order the airlines to be merged.
Exceptions confirm the rule.
 
jfk787nyc
Posts: 478
Joined: Sun Apr 29, 2007 9:59 am

RE: New Large Russian Airline Next To Aeroflot

Thu May 03, 2007 12:51 am

Right, All Airlines in Russia are owned by the government percentage wise.

The only one airline that has no percentage of government ownership is TransAero.

I really do not have any idea why the government needs to have all these airlines with percentage.

Aeroflot was always the premier airline of the Former Soviet Union and now Russia. I see Rossiya having the second largest interest in the Russian Government for build up. I believe the 26% ownership of S7 that is owned by the government will be transfered over to Aeroflot. Then, Aeroflot will buy out a remaining 25% of the carrier and make it into a truly large competitive Domestic Carrier.

Putin maybe skeeming a couple of things now that AirUnion owns Malev. In Putins eyes it may be away of building Malev up to dominate Europe as a whole. I would not be surprised if Malev announces a order of 50-70 Sukhoi SuperJets. Malev would also probably get them pretty cheap.

Budapest may end up a huge hub for west to east travel all around the Former Soviet Union without actually entering Moscow.

Russia totally would like to become a Super Power as fast as possible and these are the many things they are doing to achieve there goal.
 
swissgabe
Posts: 5147
Joined: Tue Jan 11, 2000 4:57 am

RE: New Large Russian Airline Next To Aeroflot

Thu May 03, 2007 2:51 am

Quoting JFK787NYC (Reply 2):
Then, Aeroflot will buy out a remaining 25% of the carrier and make it into a truly large competitive Domestic Carrier.

Where did you get that from? Another thing, having SVO as a International Hub and DME as a Domestic Hub wouldn't make much sense go me.
Smooth as silk - Royal Orchid Service /// Suid-Afrikaanse Lugdiens - Springbok
 
Silverstreak
Posts: 257
Joined: Fri Feb 18, 2000 2:49 am

RE: New Large Russian Airline Next To Aeroflot

Thu May 03, 2007 3:59 am

When did Aeroflot buy Malev? Sorry I don't get in Airliners.net that often.
 
swissgabe
Posts: 5147
Joined: Tue Jan 11, 2000 4:57 am

RE: New Large Russian Airline Next To Aeroflot

Thu May 03, 2007 4:17 am

[quote=Silverstreak,reply=4]When did Aeroflot buy Malev?
Where did you see that Aeroflot bought Malev? You won't need to check a.net that often, but if you do so, just read whats written. AirUnion (owned by Abramovich) bought Malev.
Smooth as silk - Royal Orchid Service /// Suid-Afrikaanse Lugdiens - Springbok
 
jfk787nyc
Posts: 478
Joined: Sun Apr 29, 2007 9:59 am

RE: New Large Russian Airline Next To Aeroflot

Thu May 03, 2007 7:02 am

What I was saying About s7 and Aeroflot is if they would merge than s7 would be domestic and Aeroflot will be international. I am guessing that Aeroflot would buy a remaining stake to make it majority.

Number 2 SVO has plenty of room to bring the whole s7 operation into Aeroflot's new Terminal.

It is DME that will be having problems soon as all domestic and most new airlines that fly to Moscow are flying there instead of SVO.

DME & SVO are international airports.

SVO is fully refurbishing there whole airport.
 
afay1
Posts: 1206
Joined: Mon Oct 29, 2001 2:37 pm

RE: New Large Russian Airline Next To Aeroflot

Thu May 03, 2007 7:19 am

Unlikely to see a merger between S7 and SU, IMHO. SVO-2, no matter what they do to it, will remain a dump for the foreseeable future as long as it retains pretty much any of its current attributes. Anyway, more info on the merger here: http://www.moscowtimes.ru/stories/2007/05/03/043.html
 
jfk787nyc
Posts: 478
Joined: Sun Apr 29, 2007 9:59 am

RE: New Large Russian Airline Next To Aeroflot

Thu May 03, 2007 9:42 am

Russia approves merger of five regional airlines
Bloomberg News, The Associated PressPublished: May 2, 2007

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MOSCOW: President Vladimir Putin on Wednesday approved the merger of five regional airlines amid a government drive to consolidate and modernize Russia's ailing domestic industry.

The five members of the AirUnion alliance will be rolled into a similarly named company, AirUnion, in which the state will hold no less than 45 percent of the shares, according to a statement issued by the presidential press service.

Government officials have promoted the creation of the holding company as a step to encourage consolidation among Russia's many regional airlines, and to create a rival to the market leaders, Aeroflot and S7. Russia is home to more than 180 airlines.

The state currently holds a controlling 51 percent stake in KrasAir, which is co-owned by the Russian entrepreneur Boris Abramovich.

The government also owns 50 percent in Domodedovo Airlines and 46.5 percent in Samara airlines. Two other companies - Omskavia and Sibaviatrans - are privately owned. Together the five companies carried 4.9 million passengers in 2006, AirUnion said on its Web site.

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AirUnion will be established in six months "to improve aviation transportation and increase efficiency of Russian airlines," Putin said in the decree.

A number of crashes involving Russian airlines and airports claimed more than 400 lives in Russia last year and cast a harsh light on the decrepit state of many of the nation's carriers.

In October, First Deputy Prime Minister Sergei Ivanov, who oversees air safety, called for consolidation in a sector where many companies lack the cash to overhaul their Soviet-era fleets.

The merger also comes as the state builds an aircraft-making corporation aimed at reinvigorating Russia's splintered manufacturers, who saw their orders plummet after the Soviet breakup.

The AirUnion alliance has a fleet of about 80 aircraft and flies to more than 100 destinations.
 
afay1
Posts: 1206
Joined: Mon Oct 29, 2001 2:37 pm

RE: New Large Russian Airline Next To Aeroflot

Thu May 03, 2007 9:11 pm

It is interesting that the staff writer for the Moscow Times characterizes the merger as a "decree" signed by Putin, but Bloomberg is reporting it as merely "approving" a merger proposal....