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Tuesday, August 31, 2010

Jat’s entire fleet in the air

Fourteen aircraft in operation
It seems that at least one of the 2010 promises made by Jat CEO, Srdjan Radovanović, will come true. Jat’s entire fleet of fourteen aircraft will be in operation by mid November. At the beginning of 2010 half of Jat’s fleet was grounded due to the airline’s inability to purchase spare parts. However, things have changed. A total of twelve are now operating in the Jat fleet, with another Boeing B737 to join in two weeks. “We no longer have any aircraft lying around in the hanger. Out of the two aircraft which are currently undergoing maintenance, one will join the fleet in fifteen days and the other in November”, Radovanović said. Two Boeing B737-700s are expected to be leased by the end of the year. Jat operates four ATR72s and ten Boeing B737-300s. It returned one of its leased B737-400s earlier in the year.

Meanwhile, the daily “Blic” reported that Jat had brought in the largest number of transit passengers to Belgrade this summer. A total of 25% of Jat’s passengers, or one in four, uses the airline in order to transit through Belgrade to onward destinations. A total of 10% out of the 352.992 passenger that used Belgrade Airport in July were transit passengers.

Monday, August 30, 2010

Turkish plans B&H shake up

More investment and new flights planned for B&H
Following the resignation of Nudžeim Rečica as the CEO of B&H Airlines, its Turkish owner plans to make some changes to the way the company is being managed. Turkish Airlines Chairman, Hamdi Topcu, has said his company is planning on making further contributions to the Balkans, particularly in Bosnia and Herzegovina. Speaking at a dinner organised by Turkish Airlines in Sarajevo last week, Topcu said that following the launch of Turkish’s flights between Istanbul and Podgorica, they now fly to every country in the Balkans. “We provide our friends living in the Balkans the opportunity to reach every corner of the world via Istanbul, which is an important transit point. We will continue to invest in the Balkans and Bosnia and Herzegovina in particular”, he said. Topcu emphasised that Turkish Airlines is transferring all its knowledge and expertise to B&H Airlines in order to transform the Bosnian carrier into a leading airline in the region. He said their success has been confirmed by B&H’s increasing number of passengers. The airline carried 78.600 passengers in the first seven months of this year, a 107% jump over the same period last year. Topcu also noted that the airline’s market share rose to 25% this year, up from 14% prior to the Turkish takeover.

Turkish is also hoping to make managerial changes to the airline. Amir Jašić has been named the airline’s acting CEO. B&H’s fleet will shrink this September when its Boeing B737-400 is returned to Turkish Airlines as agreed. B&H will continue operating with its new Airbus A319 jet and two ATR72s. The airline is also expected to launch services to Amsterdam this winter in order to provide its passengers with a quick transfer to the United States. A service to Skopje or Podgorica is set to replace the recently terminated flights to Zagreb.

Sunday, August 29, 2010

It’s always sunny in Portorož

Jat to make Portorož all year round service
Jat Airways is expected to sign an agreement with the Piran-Portorož tourist board by the end of next week and make its seasonal summer flights from Belgrade to Portorož a year round service. The flights to the Slovenian coastal town will continue if the Portorož tourist board receives an acceptable price from Jat. Since the service is being subsidised by the tourist board, Jat is expected to suggest a price for the 2010/11 winter season. Jat resumed services to Portorož in April 2010 after almost two decades. The service has been somewhat successful for the airline, with two weekly flights operated by the ATR72. The Piran-Portorož tourist board has subsidised the flights with 104.000 Euros so far and wants to continue subsidising the service for the same price throughout the winter.

Flights to Portorož have already been extended as the service was initially supposed to run until July. Flights have now been extended until October 30. Portorož is Jat’s second destination in Slovenia and an agreement between Jat and the tourist board is expected to take place during next week.

Saturday, August 28, 2010

Croatian airports surge

Zadar continues to impress
In July, Croatian airports continued to recover from the economic crisis as most of the country’s major hubs reported an increase in the number of handled passengers. Zagreb, Split, Dubrovnik, Pula and Zadar all reported significant increases. However, on the other hand, Rijeka continues to suffer with a big passenger decrease with Osijek on its heels.

The country’s main hub, Zagreb, managed to handle 234.071 in July 2010, up from 225.102 in July 2009, an increase of 3.9%. Croatia’s largest airport by size, Dubrovnik, saw its passenger numbers increase by 17.3% with 223.800 passengers using the airport. Split recorded impressive numbers with an increase of over 24%, while Pula continued its recovery with a 13.5% passenger increase. Zadar continues to benefit from Ryanair as the airport saw an impressive 44% passenger surge.

The only two Croatian airports reporting negative growth were Rijeka and Osijek. Rijeka continues to slide not only passenger wise but financially as well. The airport managed to handle 15.517 passengers and record a 37% decrease compared to July of 2009. Osijek also reported a passenger slump of 5%, although it should be noted that the number of flights operating in and out of Osijek has also decreased by 28%.

Below you can view July 2010 results for Croatian airports:





















































AirportPassengers JUL 2010Passengers JUL 2009Change (%)
Zagreb234.071 225.102 3.9
Dubrovnik223.800 190.722 17.3
Pula81.877 72.095 13.5
Split246.084 198.172 24.1
Zadar55.466 38.491 44.1
Osijek4.4774.713 5.0
Rijeka15.51724.874 37.6


Friday, August 27, 2010

Jat and Montenegro join forces

Montenegro Airlines in Niš
Jat Airways’ CEO, Srdjan Radovanović, announced that the Serbian national carrier has struck a deal with Montenegro Airlines, which will see the two co-operate on key routes between Serbia and Montenegro. In a vague press conference on Wednesday, Radovanović said that the two airlines would no longer overlap each other on routes between Belgrade, Niš, Tivat and Podgorica. This way the airlines would cut costs on fuel and fees and as a result ticket prices between Serbia and Montenegro would be significantly reduced. It is unclear whether the new agreement will lead to the cancelation of some Montenegro bound flights.

Montenegro Airlines has suffered a big passenger decrease on flights to and from Serbia. On the other hand, Jat has managed to claw back passengers on the route and report a big passenger increase. Last year, Jat suffered badly on the route when the airline’s previous management signed a damaging agreement with Montenegro Airlines, which saw Jat practically hand passengers over to its rival. In a recent industry evaluation, Serbian tour operators ranked Jat ahead of Montenegro Airlines on flights to Podgorica and Tivat. While Montenegro was firmly ahead in the evaluation when it came to aircraft, comfort and scheduling, Jat moved ahead with connecting flights and additional services.

Most of Jat’s and Montenegro Airlines’ flights between Serbia and Montenegro depart within a ten minute interval from each other. The two airlines have held a monopoly on the route and have had matching prices, around 110 Euros (return ticket with taxes). Radovanović says that the new agreement is the first step in the formation of a regional alliance and called upon all interested to join.

The new look Montenegro schedule will step into force on October 31, for the 2010/11 winter season. Both airlines are yet to release their winter schedules.

Thursday, August 26, 2010

B&H terminates Zagreb

B&H dumps Zagreb
Extremely poor loads have forced Bosnia and Herzegovina’s national carrier, B&H Airlines, to terminate services from Sarajevo to Zagreb starting September 1. The service, which commenced only several months ago, failed to interest many passengers and most flights until September 1 have already been cancelled. The six weekly service is operated by the regional ATR72 aircraft. The news will be more than welcomed by Croatia Airlines, which has been in direct competition with B&H. During the 2010/11 winter season, Croatia Airlines will continue to operate fourteen weekly flights between Zagreb and Sarajevo.

Meanwhile, the cancelation of the Zagreb route leaves B&H with more unutilised aircraft. It is believed that B&H will replace the Zagreb service with another regional destination, either Podgorica or Skopje, both of which were terminated last year due to low interest.

B&H will soon be getting a new CEO as Nudžeim Rečica, the now former CEO, has had his resignation formally approved by the Government of Bosnia and Herzegovina. Mr. Rečica will now become the Ambassador to the State of Qatar.

Wednesday, August 25, 2010

Niš records passenger increase

Windjet – the saviour of Niš
Niš Constantine the Great Airport in Serbia has handled 16.000 passengers in the first seven months of the year, an increase of 25%. The airport has already handled the same number of passengers as it did for the whole of 2009. The big increase is mostly due to new airlines operating out of the airport, in particular the low cost Italian airline Windjet. Besides Windjet, the airport is also used by Montenegro Airline and Atlasjet. The authorities at Niš Airport are hoping to persuade Montenegro Airlines to commence flights from Niš to other cities, on top of the current service to Podgorica.

Although the airport is recording financial losses, the Government of Serbia recently created an airport investment fund. While Belgrade Nikola Tesla Airport will receive 118 million Euros from the fund, Niš is second in line. The airport also has exemplary relations with its rival Belgrade, which has donated equipment to its Niš counterpart and is training Niš Airport’s staff. The airport has received more funds as the European Union recently donated 150.000 Euros. Niš also recorded a big increase in the number of handled cargo, with a total of 820 tonnes handled, more than in the past three years combined.

Tuesday, August 24, 2010

Adria to introduce new Priština flights

From Priština to Ljubljana, Munich and Frankfurt with Adria
After the recent announcement that Slovenia’s Adria Airways would introduce flights from Priština to Munich, on top of the existing Ljubljana – Priština service, the airline has now confirmed that it will commence flights on the Priština - Frankfurt route. The new service will operate five times per week using the Airbus A319. The new flights from Priština will see one of the airline’s Airbus’ based in the city, thus solving the problem of the aircraft’s utilisation during the winter season. If the German routes prove successful, Adria will most likely hand them over to Lufthansa at the beginning of the 2011 summer season and return its A319 to Ljubljana where it will be needed.

Meanwhile, Adria will reduce its current fourteen weekly flights from Ljubljana to Priština to seven times per week during the winter season. The 2010/11 winter season begins on Sunday, October 31 and lasts until the end of March 2011. In total, Adria will have nineteen weekly flights operating out of Priština to Ljubljana, Munich and Frankfurt.

All flight details for the new flights can be found on the right hand side in the new route launches section.

Monday, August 23, 2010

Aegean dumps Belgrade

Aegean terminates loss making routes
The Greek Aegean Airlines will terminate its flights from Athens to Belgrade on October 30 as part of a series of cost cutting measures, after the airline reported losses for the first time in its history and passenger numbers remained unchanged. The airline’s management has made the decision to cull less popular services, one of which is Belgrade. “The negative economic environment had a profound impact on our first half financial performance. We proceed with the necessary adjustments on our network and costs, with immediate effect, so as to protect the company during the crisis”, Dimitris Gerogiannis, Aegean’s Managing Director said. “Among the restructuring measures undertaken, the company has already proceeded during the first half of 2010 with the reduction of its fleet by three aircraft. As a result of the fleet reduction and given efforts to improve the efficiency of its network within a particularly weak economic environment, the company will exit, with immediate effect, two domestic (Athens – Ioannina and Athens - Kavala) and three international routes (Athens - Tirana, Athens – Belgrade and Athens - Vienna) which are particularly loss making”, he said.

The director of Belgrade Nikola Tesla Airport said that Aegean’s exit and AirBaltic recent temporary service withdrawal won’t have a major impact on the airport’s results. Belgrade has seen major growth over the summer, with a projected passenger increase of 18% this August.

Aegean Airlines commenced flights to Belgrade on January 1, 2010 after Olympic Air handed the service over to them. Aegean’s announcement is a major coup for Jat, which will have no competition on the route for the first time in almost ten years. Aegean and Olympic will merge operations by the end of the year.

Sunday, August 22, 2010

Airbus talks resume

New round of Jat – Airbus talks begin
After a letter of intent for the purchase new aircraft was signed nearly a month ago between Jat Airways and Airbus, new talks are set to resume tomorrow in Berlin, Srdjan Radovanović, the airline’s CEO announced to the media. “This is the next step in the negotiation process and the clarification of the aircraft order. We are looking to strike a deal which will benefit both sides. The conditions on the market have drastically changed in the past few years and the Serbian Government will deliver the final verdict on the Airbus deal”, Radovanović said.

Meanwhile, Radovanović revealed that Jat’s financial balance has been drastically improved in the past twelve months. “We are trying to position ourselves on the Bosnian and Macedonian markets. However, in order for us to succeed we need the support of the Government, in particular from the Ministry of Foreign Affairs and the Ministry of Infrastructure. Such support does exists but I am asking for more”, Radovanović said.

Saturday, August 21, 2010

Adria to launch Munich – Priština

Adria launches second destination from Priština
Slovenia’s Adria Airways will launch a second route operating outside of Slovenia, from Munich in Germany to Priština. The service will launch at the start of the 2010/11 winter season, on October 31. The flights will operate daily using one of the airline’s new Airbus A319 aircraft. Priština is already served fourteen times per week from Slovenia’s capital Ljubljana, with much success.

This will be Adria’s second route to be operated outside of Slovenia with the first being the Vienna – Frankfurt service. Adria has gained rights to operate the flights from Germany thanks to Lufthansa and its membership in the Star Alliance network. Adria has added several new destinations to its network in the past several months including Banja Luka and Marseille.

All flight details for the Munich – Priština service can be found in the new route launches section on the right hand side.

Friday, August 20, 2010

Summer debut for Morava Airport

Kraljevo Airport
The Serbian Government, local authorities and USAID are committing millions of Euros in the development of the military airport Ladejvci, near the town of Kraljevo, located in Central Serbia. The airport, built in 1965 and mostly destroyed during the 1999 NATO bombing, is expected to be open for commercial flights by the summer of 2011 under the name Morava Airport. The Serbian Army, the owner of Ladjevci, has given its approval for the airport to be used jointly for both commercial and military flights. The army’s approval was the last piece of the puzzle needed in order for development to begin.

Unprecedented interest has been shown for the development of Kraljevo Airport. Initially, the cities of Kraljevo, Čačak and Kragujevac showed interest for the airport’s development but since then another eight have shown their support - Novi Pazar, Raška, Ivanjica, Lučani, Gornji Milanovac, Knić, Vrnjačka Banja and Trstenik. All of these cities and town will be co-financing the airport’s development which will cost 22.5 million Euros. On June 17, the Serbian Government approved the project and drafted a planned timeline of the airport’s development.

The construction of a new control tower, replacing the one bombed, will begin in the next two months. Soon after, the runway will be extended by 250 metres, bringing the runway’s total length to 2.500 metres. The airport is expected to open in August 2011. It is believed that the Government has moved swiftly to approve the airport’s development due to requests made by the Fiat automaker which owns the Zastava car manufacturer in nearby Kragujevac.

The airport in Kraljevo will be named Morava after the nearby river, while the military part of the airport will continue to be called Ladjevci.

Thursday, August 19, 2010

Mat Airways to begin Skopje flights

Skopje from September
The reincarnated MAT Macedonian Airlines, will begin operations from Skopje in September, the airline reports. Mat Airways, which has been operating summer flights for the Serbian tour operator Kon Tiki Travel from Belgrade, plans to move to its new home in Skopje. The first scheduled charter destinations to be launched are Zurich, Prague, Rome and Barcelona. Flights to Germany, as well as Priština, are also expected to commence in the near future, the “Kanal 5” network reports.

“Our plan is to expand our fleet and purchase another aircraft. We aim to be the best in the airline industry, slowly but surely reaching the top”, Zoran Milevski, the president of the board of the Metropolitan Investment Group (one of Mat’s owners) said. Mat Airways currently owns a Boeing B737-500 which carries a hybrid livery comprising of the airline’s logo and bits and pieces of the Macedonian flag. Danijela Pusara, the airline’s PR manager, said that Mat is currently not seeking to become Macedonia’s national carrier but she did not rule out the possibility for the future.

Wednesday, August 18, 2010

Jat tops world's safest airline list

Good news for passengers and potential buyers
IATA has listed Jat Airways within the top thirty safest airlines in the world as a part of its operational safety audit program, Serbian media reported yesterday. The IATA Operational Safety Audit (IOSA) program is an internationally recognised and accepted evaluation system designed to assess the operational management and control systems of an airline. IOSA's quality audit principles are designed to conduct audits in a standardised manner. IATA is an international trade body, created over 60 years ago by a group of airlines. Today, IATA represents some 230 airlines comprising 93% of scheduled international air traffic. The organisation also represents, leads and serves the airline industry in general. According to the B92 business portal, Jat has welcomed the news and says its sends a good signal to potential buyers.

Jat Airways also touched on its looming privatisation process saying that it is now clear that there will be no new and old Jat. Jat Airways will stay as is and the Government will look for a potential buyer which would invest millions into the airline. The Serbian carrier believes that through privatisation it will be able to significantly increase its number of passengers and flights and, as a result, aid its hub, Belgrade, as well as its other partners such as Jat Catering, Jat Tehnika and SU-PORT (Jat’s handling company). Turkish Airlines continues to be the most interested buyer. The Turkish national carrier is being enticed by the fact that Jat has extremely respectable slots at many European airports (many of which it doesn’t even use), in particular London Heathrow. Turkish is also attracted to Jat due to its highly trained and skilled pilots and the fanciful geographical location of Belgrade Airport. Jat believes that with a strong national carrier, Belgrade could handle 10 million passengers per year.

Tuesday, August 17, 2010

European interest for Zagreb’s terminal

Zagreb Airport
Frankfurt, Zurich and Vienna airports are all interested in becoming concessionaires (partners) with Zagreb Pleso Airport for the construction of the much talked about new terminal. The Croatian Government has decided against financing the new terminal together with the City of Zagreb in favor of a concessionary model, the “Business” portal reports.

The director of Zagreb Airport, Tonči Peović, hopes that the concessionaire would be selected by the end of the year. The necessary documentation should be ready by October 15, after which the Government is expected to announce a tender. The companies that have won the tender for the conceptual design of the new terminal have lowered their initial cost estimates from 220 million Euros to between 150 and 170, a price more suitable for potential partners, Peović said. Zagreb Airport would contribute between 20 to 30% toward the construction cost. “Several airports have expressed interest in becoming concessionaires”, Peović reveled without disclosing which ones, although rumors are circulating that the central European airport such as Frankfurt, Zurich and Vienna are all interested.

The construction of the passenger terminal is expected to begin in 2012 and the project could be completed by the end of 2014 or the beginning of 2015. Until the new terminal rises from the ground, the expansion of the current terminal is planned as a temporary solution to deal with the passenger volume. You can review that project here.

Monday, August 16, 2010

AirBaltic puts Belgrade on hiatus

Bye bye Belgrade
Despite surprising success on the Riga – Belgrade route, launched earlier this year, AirBaltic will suspend services to Serbia’s capital until at least January 2011, the “Aviokarta.net” portal reports. The airline has sighted a fleet shortage as the reason for the route’s suspension. During the summer, AirBaltic leased aircraft from other airlines in order to deal with its fleet shortage until new Bombardier Dash 8 aircraft arrive later this year. However, Belgrade will be the only route suspended from AirBaltic’s network this winter. According to “Aviokarta.net”, the average load factor from Belgrade to Riga amounts to 88%, with most passengers using Riga as a transit point for flights to Russia and Scandinavia.

AirBaltic operates four weekly flights from and to Belgrade. The airline will operate its last service to Belgrade on September 12.

Sunday, August 15, 2010

Montenegro airports boom

Podgorica Airport
The two main airports in Montenegro, Podgorica and Tivat, are reporting soaring passenger numbers. In the first half of the year the two airports, combined, saw a passenger increase of 16%. Podgorica saw numbers surge by an impressive 36% while Tivat recorded a passenger decrease of 3%. Montenegro Airlines played a big part in the passenger increase. Its transit passengers from Skopje, Priština and Niš increased dramatically this year, thus pushing numbers upwards and bringing alternative passengers to the airports compared to the regular tourist and diaspora traffic. In June, the two airports handled 137.626 passengers, managing to scrape past the record breaking June of 2008 when the airports handled 136.196 passengers.

Despite the surging passenger numbers, the two airports reported a financial loss of 472.083 Euros. In the first half of the year, Podgorica and Tivat handled 427.371 passengers.

Saturday, August 14, 2010

Limak to build up Priština

Bright future for Priština Airport
Limak Holding, a Turkish group with operations in tourism, energy, cement, technology and aviation, on Thursday signed a Public Private Partnership, or PPP, agreement regarding the expansion and operation of Priština International Airport for 20 years. The agreement foresees an investment of 140 million Euros. It will cover a modern, 27.000 square meter terminal building, a 77.000 square meter apron and runway, a new traffic control tower, car park facilities with capacity for 1.750 vehicles and fuel tanks and the refurbishment of airport access roads.

Limak will be responsible for operating and maintaining the passenger terminal, car park, ground handling, fuelling and cargo areas, as well as the runway and apron facilities. “Our aim is to increase the number of passenger from 1.5 million to 4 million annually,” said Sezai Bacaksız, deputy chairman of Limak, at the press conference held at the Ministry of Economy in Priština.

Friday, August 13, 2010

Country without a carrier

The Macedonian based Airlift Service receives new aircraft
Macedonia continues to be one of the rare European countries which lacks a national flag carrier. No airline is interested in becoming Macedonia’s national airline and the Macedonian Government has shown no interest in setting one up either. The “Daily Macedonia” reports that the Government has concluded that setting up a national carrier would be too costly and would only produce losses.

The owner of Macedonia’s two international airports, TAV, has called on the Macedonian Government to create a national carrier in order for the two airports to profit and expand. The CEO of Airlift Service (which operates charter flights from Skopje under the name Skywings International), Ajan Džaferovski, explains that there is no need for a national airline. “I can’t name a country which has created a national carrier in the past twenty years. Most countries want to get rid of them or sell them, as is the case with Jat”. On the other hand, the Ministry of Transport says that any future national airline in Macedonia will be privately owned and won’t have any state capital.

Airlift Service operates charter flights out of Macedonia and recently received a Boeing B737-300 (registered Z3-AAN). The newly established Mat Airways received its registration code, 6F, but still operates charter flights out of Belgrade, Serbia on behalf of tour operator Kon Tiki Travel.

Thursday, August 12, 2010

Chinese interest in Trebinje

Trebinje
A Chinese corporation is interested in investing and building Bosnia and Herzegovina’s newest airport – Trebinje. Trebinje, located in the entity of Republika Srpska, would be Bosnia’s fifth international airport and second in the entity after Banja Luka. Milorad Dodik, the Prime Minister of Republika Srpska, said that a Chinese corporation, which has had experience in building large capital projects, is interested in Trebinje Airport. “We will know more in a month or two. All necessary documentation has been sent to the company”, Dodik says. The Government of Republika Srpska has spent 1.6 million Convertible Bosnian Marks (820.000 Euros) for the Trebinje Airport project documentation.

Trebinje Airport will initially have a capacity to handle 250.000 passengers on an annual basis, while the number will grow to 1 million by the time the project is completely finalized. In 2009, the Austrian based consulting firm “Airport Consulting Vienna” carried out a feasibility study regarding the economic viability of Trebinje Airport which is to be built close to Dubrovnik Airport in Croatia and Tivat Airport in Montenegro. The results of the study show that Trebinje could become a major rival to the other two well established airports. The report states that Trebinje should strive to attract low cost carriers. The report also states that while the airport might not be able to turn a profit in the first few years of operation it could become an extremely competitive airport within Bosnia and Herzegovina. Due to its natural beauty, Trebinje could attract sizeable amounts of tourists. Bosnia and Herzegovina currently has a total of 4 international airports – Sarajevo, Mostar, Tuzla and Banja Luka.

Wednesday, August 11, 2010

No new Jat

Jat Airways to live another day
In April, the Serbian Government decided that it would create a new national carrier as a successor to the debt ridden Jat Airways. The new company, set with 400.000 American Dollars, would be freed of Jat’s debt but would inherit its fleet, destinations, international agreements and employees. The new company would have made the airline more attractive to potential buyers and many believe the move was requested by Turkish Airlines (which has shown interest in purchasing the airline). On the other hand, some argued that the decision to create a new company was rash, decided through a Government conference phone call and that many would lose their job. However, the “Blic” newspaper reports that the Government has now decided, instead of creating a new airline, to invest in the current carrier and privatise it in 2011.

After the Government announced that it would create a new airline banks were apprehensive of loaning Jat money for future aircraft leases and new engines for its aircraft because they feared the money would not be paid off as it would stick to the old Jat. Furthermore, Jat has been reporting better results, has invested heavily in new advertising and has begun solving its fleet problems which has swayed the Government against creating a new company. “Blic” reports that the Government will announce a tender to find a privatisation advisor next month and would look to privatise Jat through the same model as it did the carmaker Zastava, which was successfully sold to the Italian Fiat in 2008.

The Serbian Government is keen to sell Jat before the 2012 parliamentary elections.

Tuesday, August 10, 2010

Croatia Airlines losses quadruple

Croatia Airlines pins hopes on summer season
In the first half of the year, losses at the largest EX-YU carrier in passenger terms, Croatia Airlines, quadrupled. The airline recorded a loss of 131.6 million Kuna (18.2 million Euros). This is in comparison to the first six months of 2009 when losses amounted to 34.4 million Kuna (4.7 million Euros). However, the management at Croatia Airlines remains optimistic, saying that it expects the losses to decrease by the end of the year. The management has come to this conclusion drawing upon increasing booking numbers for the third quarter and the fact that losses for the first six months are always greater compared to the second half of the year, due to the extreme seasonality of air travel in Croatia.

While most other airlines in the region have begun to bounce back after the global financial crisis, Croatia Airlines is still struggling. The Croatian carrier saw passenger numbers decrease by 9% in the first five months of the year with results for June and July yet to be published. This is in comparison to Adria Airways’ decrease of 3.9% and Jat Airways’ increase of 0.6% for the same period. The airline is still pinning its hopes on the peak of the 2010 summer season, which has, so far, been very successful for the Croatian tourism industry.

Monday, August 9, 2010

Jat to get four Airbus aircraft

Airbus talks to resume in August
Serbian media have reported that both Jat Airways and Airbus have agreed for the Serbian national carrier to receive four Airbus aircraft in exchange for the 1998 order for eight aircraft from the European plane manufacturer. The agreement was made recently at the Farnborough Air Show near London and signed by Jat CEO, Srdjan Radovannović, and the Airbus deputy for sales in Eastern Europe, Andreas Kramer. Although the aircraft type the airline will be receiving has not been specified by the agreement it is speculated that it will be the Airbus A319, agreed upon twelve years ago. Talks between Jat and Airbus, in regards to finally specifying the order, will commence this month. Jat is looking to use to its advantage the 23 million US Dollar deposit it has made over a decade ago.

In late September, Jat will receive its first out of two Boeing B737-700 aircraft on a three year lease. The second aircraft is scheduled to arrive in November. The aircraft will be initially deployed on flights to Dubai, Frankfurt, Moscow and London. According to the Jat Media Centre, all of the airline’s departments are preparing for the aircraft’s arrival.

Sunday, August 8, 2010

Finally home

B&H Airlines, Airbus A319
Earlier this morning, B&H Airlines finally welcomed its newest fleet member, an Airbus A319, which arrived in Sarajevo on a scheduled flight from Istanbul. The Turkish Airlines owned aircraft, which had previously been leased to Greece’s Olympic Air, touched down at around 06.30 as flight JA101. During the month, the Airbus will be exclusively used on flights to Istanbul, according to the Global Distribution System (GDS). The aircraft will be deployed once a week on the Sarajevo-Copenhagen-Stockholm service from August 29, Sarajevo-Gothenburg-Copenhagen from September 1, Sarajevo-Stockholm-Copenhagen from September 2, Sarajevo-Stockholm-Gothenburg from September 4 and Sarajevo-Copenhagen-Gothenburg from September 6.

As reported earlier in the week, the Airbus is the airline’s fourth aircraft. B&H's Boeing B737-400 will operate for the airline until late September, after which it will be decided whether it will remain with the airline until next year or returned to Turkish Airlines. B&H is the fourth national EX-YU airline to welcome a new aircraft to its fleet this year, following Adria Airways, Croatia Airlines and Montenegro Airlines.

Saturday, August 7, 2010

Maribor Airport to be leased

Adria Airways in the race for Maribor Airport
Slovenia’s second airport, Maribor, is up for rent. The Slovenian Ministry for Transport published a call for bids for a 30 year lease of the airport’s infrastructure. The tenant will also become the new manager of the airport which is currently not served by any airline (with exception to the odd charter flight). The deadline for the submission of the bids is September 7, 2010. Maribor Edvard Rusjan Airport is currently leased to the Aerodrom Maribor company, owned by the troubled car seat cover maker Pervent. The new lease holder will be chosen on the basis of several criteria including the amount it is willing to pay for the lease, its business and development plans for the airport and the number of new jobs that will be available thanks to the lease.

The bidders for Maribor Airport will have to secure 70.000 Euros in bank guarantees and the ministry reserves the right to reject all offers if it deems them as inappropriate. Several Slovenian and foreign investors have reportedly already expressed interest. The companies mentioned include postal operator Pošta Slovenije, flag carrier Adria Airways, as well as the current lease holder.

Mairbor is Slovenia’s second largest airport, behind Ljubljana but ahead of Portorož. Maribor airport opened to commercial traffic in 1976 and upgraded its runway in 1999. In 2007, the airport reported 1.480 flight operations, 31.936 passengers and over 19 tons of transported cargo. The airport was, for several months, served by the low cost Ryanair, between 2007 and 2008. In 2010, Adria Airways and several other airlines relocated to Maribor during Ljubljana’s runway overhaul.

Friday, August 6, 2010

Strong July for Belgrade

Belgrade Nikola Tesla Airport, terminal 2
Belgrade Nikola Tesla has managed to break previous records and handle over 300.000 passengers in July, an increase not only compared to last year but also to the most successful year so far – 2008. Belgrade handled 352.992 passengers last month compared to 308.710 in 2009 and 343.204 in 2008, the “Blic” newspaper reports. So far this year, the airport welcomed 1.464.580 passengers. The high numbers are in part due to a big increase in the number of airlines serving the airport. Spanair, which operates flights to Madrid and Barcelona, is reporting extremely high passenger figures on the Belgrade route while the low cost Wizz Air is the most successful debutant at the airport this year. Alitalia and Jat Airways are reporting big passenger increases on services to Italy and strong numbers are also being registered on flights to Oslo, Stockholm and Riga.

In December last year, the European Union abolished visa requirements for Serbian citizens entering the 27 member state union, which has contributed to the passenger rise. Furthermore, from June, citizens of the European Union only need their identification cards to enter Serbia, rather than passports.

Thursday, August 5, 2010

Coming soon...

B&H Airlines, Airbus A319
B&H Airlines’ new Airbus A319 has been spotted outside of Turkish Airlines’ technical base in Istanbul and delivery to the Bosnian carrier is expected ... soon. The CEO of B&H Airlines, Nudžeim Rečica, told the Sarajevo-x portal that the Airbus is sporting B&H’s livery and that the delivery delay is being caused by the inability of the Civil Aviation Directorate of Bosnia and Herzegovina and its Turkish counterpart on agreeing upon the aircraft’s registration. The Bosnian directorate wants the aircraft to bear a Bosnian registration instead of the Turkish one it is currently registered under. The airline will deploy the three year old aircraft on routes within Scandinavia, Istanbul and Amsterdam, which the airline anticipates to launch at the end of the year.

With the arrival of the Airbus, B&H Airlines will have a fleet of four aircraft comprising of two ATR72s and one Boeing B737-400. The B737-400 will operate for B&H until late September after which it will be decided whether it will be remain with the airline until next year or returned to Turkish Airlines.

Meanwhile, Nudžeim Rečica, is expected to leave his post as B&H’s CEO. He is likely to become Bosnia and Herzegovina’s ambassador in the Gulf state of Qatar.

Photo courtesy of Skyliner Magazine, taken by Gökhan Sarigöl.

Wednesday, August 4, 2010

Belgrade Airport expansion

Belgrade Nikola Tesla Airport, Terminal 2
The management of Belgrade Nikola Tesla Airport and the Government of Serbia plan to invest 118 million Euros into Serbia’s largest airport. The investment would go into the expansion of the terminal building, a second runway and an office block for the airport’s management. The expansion of Terminal 2 would allow the airport to handle over five million passengers per year. The multi million Euro project will be carried out within the next ten years.

Belgrade has two terminals which have the capacity to handle five million passengers per year. Terminal two was completely refurbished between 2004 and 2006. The airport is the largest out of all in the former Yugoslavia. Passenger results in July 2010 have broken previous records. According to a 1990 master plan, Belgrade Airport was intended, by January 2010, to have a third terminal, second runway, office block, hotel complex and a rail connection to the city centre.

Belgrade is not the only capital city airport which will see expansion and refurbishment in the near future. Zagreb, Sarajevo and Ljubljana all intend to expand while Skopje is already seeing construction work. Podgorica is the only EX-YU capital city airport which currently has no plans to expand although Montenegro’s largest airport was completely refurbished several years ago.

Tuesday, August 3, 2010

Croatia Airlines vs Zagreb Airport

Ryanair poses risk for Croatia Airlines in Zagreb
Tonči Peović, who became Zagreb Airport’s new director last year, is not on Croatia Airlines’ list of favourite business associates. Relations between the Croatian national carrier and its home base Zagreb deteriorated earlier in the year when Zagreb Airport requested millions in unpaid handling fees from Croatia Airlines. New announcements from the airport’s management have also been less than comforting for the airline.

Peović recently told the media that Zagreb Airport depends too much on Croatia Airlines and that such a state is unacceptable. Croatia Airlines holds a 67% share of all arrivals and departures from the airport, giving it a leading position from the country’s main airport. Peović is pressing for more low cost airlines to commence services to Zagreb. Recently, easyJet announced its plans to begin flights from Zagreb. Peović announced that the airport’s management is negotiations with Ryanair, the world’s largest low cost airline, to commence flights to Zagreb. Ryanair has been present in Croatia for several years, operating flights mainly to the Croatian coast.

It is estimated that Zagreb Airport will report a 3% passenger increase by the end of the year, compared to 2009.

Monday, August 2, 2010

Serbian eyes on Balkan skies

New Belgrade Control Centre building
The multi million Euro state of the art air control centre in Belgrade will be complete in several months and will mark a landmark change in air traffic control in the region. The new building, located next to Belgrade Nikola Tesla Airport, has 9.500 square metres and construction on the building began in March 2009. The building will be complete on October 10, 2010 – six months ahead of schedule. Upon its completion, all the latest equipment will be put into function and controllers will move in from May 2011. A total of 500 controllers will be able to work at the same time inside the building and 4.000 aircraft will be handled per day. Belgrade control takes care of Serbia’s and Montenegro’s airspace, as well as 55% of Bosnia and Herzegovina’s airspace and the airspace above international waters of the Adriatic Sea.

Eurocontrol, the agency responsible for air traffic control in Europe, has begun implementing its “Single European Sky” initiative which began back in 1999. The key objectives of this initiative are to restructure European airspace as a function of air traffic flows, to create additional capacity and to increase the overall efficiency of the European air traffic management system. The initiative plans to close down many air traffic control centres in Europe and leave only several in key areas of Europe. Belgrade has been selected to control the skies over the entire Balkan Peninsula. This controversial part of the initiative will begin implementation from 2012.

The construction cost of the new air traffic control centre in Belgrade amounts to 19 million Euros while, together with the new equipment, the entire project tops 90 million Euros. According to the project manager, Belgrade will have the most up to date air control centre in the world and the largest control centre in the Balkans.

Sunday, August 1, 2010

Another A319 delay

History repeats itself
B&H Airlines’ new Airbus A319, scheduled to arrive today, will not be doing so, although its arrival is expected soon. The Turkish Airlines A319, which is already sporting B&H’s livery, is located at the Turkish Airlines hanger at Istanbul’s Ataturk Airport and is expected to make its first revenue flight between Istanbul and the Bosnian capital. The Airbus had previously been leased to Greece’s Olympic Air.

The new arrival will be wearing a Turkish registration. According to recent reports, the Bosnian Civil Aviation Directorate is unhappy with such a decision and is requesting for the aircraft to be registered in Bosnia and Herzegovina. This could further delay the aircraft’s arrival.

Once the aircraft does touch down in Sarajevo, the B&H Airlines fleet will consist of two regional ATR72s, one Boeing B737-400 and one Airbus A319. The Boeing B737-400 will be relegated to charter services until it is returned to its original owner at the end of the year. Several weeks ago, Turkish Airlines sent a Boeing B737-800 as a replacement for the delayed Airbus jet and it too will be returned immediately upon the Airbus’ arrival.

According to Global Distribution System (GDS), the B&H Airbus is to enter service this fall.