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Airlines Affected By Political Change

Fri May 04, 2001 10:57 am

The fall of the Soviet Union obviously had an impact on Aeroflot, it lost it's monopoly over Soviet air routes. JAT, Ariana Afghani and Iraqi Airlines have both suffered severely because of sanctions. I can think of TAP Air Portugal, as another company that suffered as a result of political change, with the 1974 revolution in Portugal.
I found an interesting article from 1994 on the EU website. Here's an excerpt:

It must be stressed that since its nationalization in 1975 TAP has been consistently loss making and has had negative operating results. TAP makes losses on the majority of its network. In 1992 TAP made a profit on only 11 of its routes, while 30 routes showed a loss that exceeded 50 % of their revenues. TAP's financial difficulties began in 1974 when the company lost the transport monopoly on the routes to the former Portuguese colonies in Africa, which were characterized by intense traffic and high load factors and yields.

Here's the link

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RE: Airlines Affected By Political Change

Fri May 04, 2001 11:22 am

As far as what happened to JAT, I see it as one of the saddest things that has ever happened in the industry. When I think of 1990 and compare MALEV, CSA, LOT to JAT at the time it is clear that JAT was light years ahead from these airlines. I can't help but imagine and dream about what JAT would be today had things gone positivley in the reagion in the early 1990's. Now, beacause of all the stuff that happened over there the situation has been reversed, MALEV, CSA, LOT are light years ahead of JAT. It brings me to tears...

JAT in it's hey day

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Photo © Frank Schaefer

and now...

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Photo © Salinger Igor


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RE: Airlines Affected By Political Change

Fri May 04, 2001 11:45 am

South African is also an excellent example- after the fall of apartheid in 1994, the airline adopted a new color scheme and re-named its aircraft, giving them more 'politically correct' ethnic names.
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RE: Airlines Affected By Political Change

Fri May 04, 2001 12:07 pm

American Airlines; Bush is a big supporter and so is the Bush DOJ. Infact AA doanted $100,000 USD and a 737-800 to fly him, his wife and his staff DFW-IAD when he was elected president. Now that the previos Clinton DOJ is gone AA's ego and power will only get bigger. As an airline they are fine in my book but as far as a corporation goes. Thye are a buch of Arrogent Bastards. But then again who can blame them. For now they have leverage. But remeber; ever empire has a fall somewhere. Just look what happened to TWA, PA, EAL and BN. Once the greates empires of the skies now reduced to a memory, stroyr telling ex emloyees and rusted planes in getting a tan in Marana.

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