Belgrade - Dubrovnik - Split - Pula

Split awaits Belgrade flights

After nearly 2 decades, the capital of Serbia will be connected with direct air links to the Croatian coast. Following talks between Jat Airways’ acting CEO, Vladimir Ognjenović, and the CEO of Croatia Airlines, Srećko Šimunović, flights between Belgrade and Pula, Dubrovnik and Split are set to be launched this summer. A scheduled all year round service between the two largest EX-YU cities, Zagreb and Belgrade, will commence at the start of the 2011/2012 winter season in late October. While it hasn’t been revealed which airline will serve each route it is certain that Croatia Airlines will operate the flights from Dubrovnik to Belgrade and Jat Airways from Belgrade to Pula. The two airlines will reveal all, including their schedules for the abovementioned flights, at the upcoming Tourism Fair in Belgrade which lasts from February 24 until February 27.

After the meeting Vladimir Ogenjnović said, “We have defined our strategic goals during the meeting, which concern the future of both airlines. In the next couple of weeks, our teams will specify all of the details". Srećko Šimunović noted that, “This meeting has immense significance as cooperation between two neighbours has been initiated. The political climate has allowed us to cooperate, while joint interest has united us”.

The final ever flight between Dubrovnik and Belgrade (once known as the Adriatic Arrow service) was operated on August 6, 1991. That same day services between Belgrade, Split and Zagreb were also suspended, never to be reinstated again. Flights to Pula operated during the 2008 summer season.

Croatian airports in 2010

A year to remember ... Zadar Airport

Overall Croatian airports staged a respectable recovery in 2010. Most of the country’s hubs managed to see an increase in the number of handled passengers, despite a lacklustre start to the year. Airports on the Croatian coast, such as Dubrovnik and Split, had an exceptionally good year while the likes of Rijeka struggled both economically and passenger wise. Despite new low cost flights from Zagreb, Croatia Airlines’ slash in frequencies saw Zagreb post only a small increase.

In 2010, a total of 5.180.866 passengers were handled at airports across Croatia, an increase of 5.7% compared to 2009. According to analysts, 2011 is expected to be another year of growth.

The following are results Croatia’s main airports posted in 2010:

Airport	Passengers 2010	Passengers 2009	Change (%)
Zagreb	2.067.646	2.056.388	▲ 0.5
Dubrovnik	1.257.770	1.109.934	▲ 13.3
Pula	313.793	302.448	▲ 3.7
Split	1.187.921	1.080.121	▲ 9.4
Zadar	254.802	195.163	▲ 30.5
Osijek	20.824	20.503	▲ 1.5
Rijeka	61.478	110.208	▼ 44.2

All fugures have been provided by the Croatian Bureau of Statistics.

Flights to Tunisia suspended

Evacuees unite with their families as all flights to Tunisia are suspended

Services to Tunisia have been suspended until further notice from the only EX-YU airport which offered regular flights to the North African country – Belgrade. Jat Airways operated its last service to the country last week when it chartered two special flights from Belgrade to rescue stranded tourists following the violent overthrow of President Zine El Abidine Ben Ali, who has ruled Tunisia for the past 23 years. The special service saw Jat aircraft land in both the capital Tunis and the city of Monastir. Some 200 Serbian tourists and a dozen Macedonian holiday makers were flown back to Belgrade, while Serbian construction workers and embassy employees were also returned home following an outbreak of violence in the normally peaceful and stable country. Tunisair, which operates flights from Tunis to Belgrade, has also suspended the service until further notice while all tour operators in the EX-YU region have shelved sales of Tunisian holiday packages.

Tunisia is an extremely popular holiday destination for Serbs and lately Macedonians, Croats, Bosnians and Slovenians. During the 2010 summer season flights to Tunisia were operated not only from Serbia but from Croatia, Bosnia and Herzegovina and Slovenia as well. During the winter, regular weekly flights operate out of Belgrade to Tunis and Monastir.

Within the next 48 hours Jat will charter a special flight to either Hurghada or Sharm El-Sheikh in Egypt to evacuate 120 Serbian tourists as violent political demonstrations hit the second most populous African nation, the Serbian diplomatic mission in Egypt told state media yesterday. There are no regular flights between any EX-YU country and Egypt although Jat operates all year round charter flights and numerous Egyptian airlines operate flights to Croatia, Bosnia and Herzegovina, Slovenia and Serbia during the summer.

Meanwhile, normality has returned to Podgorica Airport, which was closed due to heavy snowfall earlier in the week. Some 1.500 passengers were stranded at Montenegro’s hub as only Jat’s flight to Belgrade left the airport and Montenegro Airlines’ incoming flights from Priština, Skopje and Niš were able to land. Over the past week, Sarajevo Airport has been closed several times due to thick fog while Skopje was also forced to close its doors earlier in the month due to poor weather conditions.

New Zadar flights for Croatia Airlines

From Zadar to Zurich and Munich

Croatia Airlines is extending its offer of seasonal flights for the upcoming 2011 summer season. Following announcements that it will begin flights from Split to Hamburg, Rijeka to London, Zagreb and Dubrovnik to Athens and Dubrovnik to Venice and Belgrade, the airline will also inaugurate services from Zadar to Zurich and Munich. Services to both cities will operate twice per week. Flights to Zurich will commence on June 3, with the following rotation: Dubrovnik – Zurich – Zadar – Zurich – Dubrovnik. A Bombardier Dash 8 Q400 will serve the flights. The same aircraft will be deployed on the Zadar – Munich service, which commences on May 3. The new flights mark Croatia Airlines’ return to Zadar with international flights. The Croatian national carrier was criticised last year for suspending many international flights from various airports in Croatia other than Zagreb.

Meanwhile, work on Zadar Airport’s terminal expansion is ongoing and the building is expected to be ready by the start of the 2011 summer season, at the end of March. Zadar was the star performer amongst Croatian airports in 2010, thanks mostly to the presence of low cost airline Ryanair. The airport handled 272.675 passengers, up by 26.3% on 2009, marking its fourth year of consecutive growth.

Details for the new flights from Zadar can be found on the right hand side, in the new route launches section.

Yesterday, the United States Federal Aviation Authority (FAA) granted Croatia a category 1 rating, allowing airlines from Croatia to operate flights to the country. The FAA stated that Croatia has fulfilled all security requirements. This in turn allows Croatia Airlines to code share with United Airlines on flights to Washington, San Francisco, Los Angeles and Chicago from several European destinations to which Croatia Airlines operates to.

Summer charters to North America

Soon in Belgrade

Ryan International Airlines will commence summer charters from Chicago Rockford International Airport and Toronto’s Pearson Airport to Belgrade. Each service will operate once per week with a Boeing B767-300, Serbian media report. Both flights will be served via a technical stop in Shannon, Ireland. It is expected that seats will be sold to tour operators who will then resell tickets to passengers. Flights are scheduled to commence in June. On Monday, the Serbian Civil Aviation Directorate issued an operating license to Ryan International, granting it permission to begin the Belgrade flights. Services between Belgrade and Toronto will be resumed after 5 years. Skyservice operated flights between the two cities in 2006. On the other hand, there have been no flights between Belgrade and Chicago since 1992.

Ryan International Airlines is a charter airline which also serves the United States Army and several other departments of the United States Government.

Meanwhile, later today, it is expected that Croatia will be granted a category 1 rating by the US Federal Aviation Administration, in turn allowing Croatian registered airlines to commence flights to the United States. An as yet unnamed airline is expected to innagurate flights between New York and Zagreb, according to Zagreb Airport’s CEO, this year. An announcement in regards to the future service could be made later today.

Dubrovnik - Belgrade gets approval

Soon in Belgrade

The Serbian Aviation Directorate has granted Croatia Airlines rights to commence services from Dubrovnik to Belgrade this summer. Flights from Dubrovnik will operate twice per week, every Monday and Wednesday from June 20 to September 7 on a seasonal summer basis. As a result, flights between the two cities will resume after 19 years. The new flights are certain to affect Dubrovnik Airline’s plans to initiate flights between its hub and Belgrade, which were scheduled for this summer. A meeting between Jat Airways and Croatia Airlines CEOs are set to take place today. It is believed that the Serbian carrier will be granted a license to operate flights from Belgrade to Pula.

Meanwhile, Italian newcomer, Eagles Airlines, has been granted righta to operate flights from Forli to Belgrade this summer. The service is set to operate twice per week with a Fokker F100 jet. Forli is situated near Bologna.

Flight details for all the above mentioned services can soon be found in the new route launches section.

Airport helps Adria

Ljubljana writes off debt

The fight for Adria’s survival continues this week. The indebted Slovenian carrier received some good news yesterday evening when Ljubljana Jože Pučnik Airport said it would write off 2.4 million Euros, which Adria owes to its hub, the Slovenian News Agency reports. In return, Ljubljana Airport will receive a 47.6% stake in Adria Tehnika, the airline’s maintenance division. Adria will also receive some 7 million Euros from the state owned company PDP, which is a majority share holder in Adria. The new management of Adria Airways believes that the airline will come out of the current turbulent financial climate by April and will return to profitability.

On the other hand, media reports suggest that pilots might go on strike, unhappy with low wages. Wages for pilots and cabin crew were recently slashed by 20% on top of reductions made earlier in 2010. In an online poll conducted by the “Finance.sl” portal, a total of 53% believe that the Slovenian Government won’t be able to solve Adria’s financial troubles. Only 17% believe that the government will help Adria.

Jat introducing new flights

Jat conscious of low cost threat

This summer Jat is preparing to significantly increase frequencies to many of its destinations on top of introducing new services. This summer, the Serbian carrier will serve Athens daily. The service was recently increased from 3 to 4 per week as it tries to fill the void left by Aegean Airlines’ suspension of the route. The extra frequencies are being primarily introduced for the Macedonian diaspora from Australia, which will be able to use Etihad Airways and Qatar Airways flights to Athens and transit via Belgrade to their home country. The additional frequencies are set to be added to reservations systems soon. Jat will also be reintroducing services to Ohrid. The seasonal flights will be operated 5 times per week, 4 of which will be nonstop and 1 of which will operate via Skopje. The airline will fly to Macedonia’s capital city 15 times per week this summer. Furthermore, Jat’s service to Dubai will be increased from 3 to 4 times per week and the airline also plans to fly 9 times per week to London Heathrow.

In a statement issued to the Serbian press this weekend the airline says, “We have now realised the threat we face from low cost airlines”. It continues on by saying that Jat is preparing various measures to fend off the competition. In only one week the airline sold 9.000 tickets on their special discount fare sale. In 2010, Jat handled some 1.100.000 passengers, although official statistics are yet to be released. Jat says that low cost airlines have taken some 400.000 passengers from the airline.

Next week, the CEO’s of Jat and Croatia Airlines will meet and decide which routes the two airline should open between the two countries.

Limak eyes Montenegro airports

Limak expresses interest for Podgorica, Tivat and Berane

The Turkish conglomerate Limak Holding is interested in taking over both of Montenegro’s airports according to the “Novosti” newspaper. The Montenegrin Government is in talks of selling its airports to the Turks, which already have a presence in the region as part owners of Priština Airport. The company is also interested in developing Berane Airport, located in the country’s East.

However, the CEO of the government owned Montenegro Airports, which runs both Tivat and Podgorica, Milovan Djuričković, is less than thrilled with the idea, saying that there is no need to privatise the company. “There can only be three reasons for privatising a company. One is if the management is bad, which in this case it isn’t, the second is if the company is unable to finance further development, which isn’t the case and lastly if the government is strapped for cash”, Djuričković says. He goes on by explaining that airports form an integral part of a country’s infrastructure system and that it would be surprising if a country decided to sell it.

In 2010 Montenegro’s two airports had a record year, beating the 2008 record by 8%. The two airports handled a combined total of 1.193.478 passengers, an increase of 21% compared to 2009.

Chicago – Belgrade this summer

Directorate announces Chicago – Belgrade flights

Flights between Chicago and Belgrade are set to begin this summer. The Serbian Civil Aviation Directorate has confirmed, to local press, that it has received a formal request from an airline to commence flights between the two cities. Serbia is currently classified as a category 2 country by the United States Federal Aviation Administration, meaning that a Serbian registered airline cannot operate flights to the United States.

The Directorate has said that it is awaiting some additional documentation from a carrier from the United States after which it could issue a license within days. Over the past decade there have been several seasonal services from North America to the EX-YU region. There have been flights from New York and Toronto to Belgrade, as well as flights from Toronto to Zagreb and New York to Priština. Rumours suggest that the airline set to operate from Chicago to Belgrade is EuroAtlantic Airways, on a seasonal summer basis.

Flights between Belgrade and Chicago last operated on May 17, 1992 when JAT Yugoslav Airlines operated its final service in face of international sanctions. The route was first inaugurated on April 10, 1980 as a charter service and became a regular 4 weekly service on November 4 that same year.

New terminal for Priština

New Priština Airport terminal

The Turkish-French consortium Limak Holding and Aeroport de Lyon, which will be running Priština’s airport for the next 20 years, have announced plans for a brand new terminal. Construction of the new terminal is expected to begin by the end of the month, Nihat Ozdemir from Limak told local press. The price tag for the new terminal is expected to amount to 140 million Euros together with supporting infrastructure. The planned investments foresees a 27.000 square meter terminal building, a 77.000 square meter apron and runway, a new traffic control tower, car park facilities with a capacity for 1.750 vehicles and fuel tanks and the refurbishment of airport access roads. Ozdemir believes that the construction of the brand new terminal should be completed within 18 months.

Meanwhile, the low cost airline Jetairfly, from Belgium, has announced that it will commence scheduled flights from Brussels to Priština on June 10. Flights will operate twice per week, every Monday and Friday. Flight details can be found on the right hand side in the new route launches section.

Aeroflot to Dubrovnik

Soon in Dubrovnik

Aeroflot has made good on its promise from late last year and will commence scheduled flights from Moscow Sheremetyevo Airport and the seaside city of Dubrovnik. Flights will commence on May 27 and will operate on a daily basis with the Airbus A320. The line will additionally boost the arrivals of Russian tourists to Dubrovnik. After years of charter flights, Dubrovnik and Moscow will now, for the first time, be connected with scheduled services. Croatia has seen a massive increase in Russian tourists in 2010, thanks in part to the abolishment of visas, required by Russian passport holders entering Croatia in the past. Russians are seen as advantageous tourists because they spend more money and stay on holiday for longer than their Western counterparts.

In 2010, Dubrovnik handled 1.270.062 passengers just under the 1987 record when it handled 1.460.354 passengers. Compared to 2009, the airport saw a passenger increase of 13.1%. In 2010, Dubrovnik opened a new terminal, making it most modern airport in Croatia.

Belgrade – Pula confirmed

New flights from Pula this summer

The CEO of Pula Airport, Bruno Rugović, has confirmed that Jat Airways will resume flights between Belgrade and Pula this summer after a 2 year absence. Despite the fact that Croatia Airlines and Jat will talk routes at their upcoming meeting in Belgrade next week, the Pula flights, which will replace the services Jat operated to Portorož, in Slovenia, last summer season, are certain to commence. “In 2008 Jat’s Pula flights had a load factor of 95% and were extremely popular”, Rugović said.

The Jat flights are one of many that should secure a strong summer for the seaside airport. Croatia Airlines, Norwegian Air Shuttle, Ryanair and Germanwings have already confirmed their presence in Pula this summer. Furthermore, negotiations are underway for a direct service between Pula and Barcelona. In 2010, Pula Airport handled 313.793 passengers, up by 4% compared to 2009. Rugović is confident that in 2011 the airport will see even greater growth.

Another Croatian airport is set to announce many new flights. The embattled Rijeka Airport is poised for a comeback in 2011. More news regarding Rijeka’s new flights later in the week.

Do or die for Adria

New Adria CEO announces plans to revive the carrier

Over the weekend, Tadej Tufek fell from grace after years at Adria’s helm. Following revelations that the airline is in deep financial trouble Tufek resigned. Promptly, a new management team was announced by the Slovenian Government and Adria’s Management Board. Adria Airways’ new CEO, Klemen Boštjančič, is a former CEO of the insolvent construction company Vegrad and the former head of the Mineral Council. Yesterday, Boštjančič said that he is confident that the ailing flag carrier is not beyond saving and is promising a series of far reaching measures to get the airline back on track. Speaking to the Slovenian “Poslovni dnevnik” portal, the new CEO believes that all of Adria’s destinations must be reviewed, however he also believes that Adria should explore new markets and increase flights. It is believed that Adria is willing to set up a new base in Skopje. “The next 6 months are crucial for Adria’s survival. We need to change the airline’s current business model and secure short term liquidity, otherwise the company will go bankrupt. As soon as you don’t pay your suppliers they are in a position to seize your aircraft”, Boštjančič explained. Surprisingly, Boštjančič admitted that there is a possibility that some flights could be cancelled this week although he hopes “it won’t come to that”.

On Sunday, the “SEEbiz” portal reported that Adria had become insolvent and that banks are no longer willing to provide it any loans. However, Boštjančič said that, according to figures presented to him, Adria is still not insolvent. He believes that the airline can be saved.

Croatia Airlines and Jat set for talks

Possible flights between Croatia and Belgrade this summer

On January 26, the CEO of Croatia Airlines, Srećko Šimunović, will hold talks with the acting CEO of Jat Airways, Vladimir Ognjenović, in Belgrade. Ognjenović states that the two will hold talks in regards to possible new flights between Belgrade and the Croatian coast. “We hope that the end result of the talks will lead to a combined flight offering on behalf of our carriers between our countries”, Ognjenović said. It is believed that Jat is interested in commencing seasonal summer flights from Belgrade to Pula, Dubrovnik and Rijeka while Croatia Airlines would be granted rights to operate all year round flights from Zagreb. Jat last operated flights to Croatia in 2008 with services to Pula. The airline was not granted rights for planned summer flights to Dubrovnik in 2009 and stayed out of Croatia in 2010. Croatia Airlines has never operated scheduled flights to Belgrade.

Meanwhile, the CEO of Adria Airways, Tadej Tufek, has resigned from his post and the Slovenian carrier has been named insolvent as banks have rejected to provide any new loans to Adria. More news relating to this development will be published tomorrow.

Portorož sues Jat

Portorož Airport

The Portorož Tourism Board has said it will take legal action against the Serbian carrier, Jat Airways, for failing to commence planed flights from Portorož to Belgrade and Rome. The service, which was meant to commence on December 9, has now been delayed until February 20. Jat Airways says it does not fear a lawsuit, saying that a total of only 14 tickets have been booked for all of the planed flights, thus making it financially unviable to operate the service. “We have no intention of allowing our aircraft to fly empty”, a Jat statement reads.

The Portorož Tourism Board says that Jat, at first, claimed it had technical problems resulting in the delay of the service launch and only later said there was no interest. “On January 20 at least 30 passengers are scheduled to travel on Jat’s flight from Rome to Portorož”, the Board says. The passengers are part of a group of gamblers planning to visit the Portorož Casino as well as casinos in Croatia.

Adria assessment complete

Adria’s future to be decided in March

An independent auditor has completed its assessment of Adria Airways’ financial performance. Its findings will be presented to the Ministry of Transport which will then decide whether to extend Adria Airways’ operating license. If it decides against prolonging the license, the Slovenian carrier will be grounded. The ministry has until mid March to make their decision.

Meanwhile, changes are set to be made at the top of the embattled state carrier. The CEO, Tadej Tufek, is expected to resign. It is believed the management changes were discussed at yesterday’s management board meeting. Recently, the airline received 4 million Euros in bailout funds by Slovenian banks. However, recent information has come to light that Slovenia’s largest bank (and Adria share owner) NLB, has backed out of the credit arrangement. The bank gave Adria a 6 million Euro loan in early 2010 which is yet to be payed off.

In light of the airline’s worsening financial performance, Adria is now planning, besides cutting its workforce and salaries, on cutting destinations. In 2010, Adria handled 1.170.235 passengers, an increase of 2.3% compared to 2009. Adria recently launched a promotional ticket sale, symbolically slashing prices up to 50% for its 50th birthday anniversary, to be celebrated in March.

New aircraft in 2012

More flights - less routes

The new acting CEO of Jat Airways, Vladimir Ognjenović, has given his first interview to a major Serbian newspaper. Ognjenović said that Jat will not be receiving any new aircraft until 2012. “Unfortunately there is no chance that we will be receiving new aircraft next season. In 2011 we will be operating with 13 aircraft. However, in 2012, Jat should take delivery of its first new planes. That’s why a new agreement with Airbus is paramount”, Ognjenović told the “Večernje novosti” newspaper.

Ognjenović noted that Jat has spent 29.5 million Euros out of the 51.5 million Euro loan the airline secured late last year. “Under the watchful eye of the government we have covered all debt towards our suppliers and partners such a Jat Tehnika and Jat Catering”, Ognjenović said. The catchphrase for the new management will be “cost cutting”. The past 2 managements, particularly the one led by Ognjenović and Saša Vlaisavljević were strongly criticised for their cost cutting which led to a range of problems. However, Ognjenović remains confident that the airline will, in the next 6 months, save millions by terminating unprofitable routes, increasing frequencies and making a rational fleet plan.

Jat will not be privatised in 2011 and it is unlikely that the airline will be sold in 2012. The government is yet to decide whether it will create a new Jat or leave the airline as is. The consultancy firm Deloitte will make that decision by the end of the year based on analysis and results. Yesterday, Jat launched a promotional ticket campaign as a way of luring passengers to its flights in face of mounting competition from low cost airline Wizz Air.

Jat bumps Porotorož

No flights to Portorož but Jat gains Belgrade – Sarajevo monopoly

Jat Airways has once again delayed its flights from Portorož to Rome, which were supposed to be launched today. The 2 weekly service was originally planned to be inaugurated in November 2010 but the airline has been regularly delaying the service each week. Although the flights are now set to commence on January 16, they are unlikely to operate. There has been no passenger interest for the service and little marketing. A return Jat Airways ticket from Portorož to Rome will set passengers back just under 150 Euros (all taxes included). Jat employees have called on the management to cancel the route which it says is financially unviable.

Meanwhile, Jat has received some good news. In 2011, the airline will no longer have competition on the Belgrade – Sarajevo route. B&H Airlines, which commenced 6 weekly flights to the Serbian capital last year, will be terminating the service from March 25. The news comes after B&H announced that it will also terminate flights from Banja Luka to Frankfurt in March.

Dumping Banja Luka

B&H to dump Frankfurt flights but keeps Zurich

B&H Airlines will terminate services from Banja Luka to Frankfurt on March 24, Emir Dervišević, the head of B&H planning, flight scheduling and networking confirmed for EX-YU aviation news. The 2 weekly service, which commenced only a few months ago (on November 1), will cease due to poor loads. However, the airline will keep its three weekly service to Zurich. B&H fought hard to gain rights to commence flights out of Bosnia and Herzegovina’s second largest city. Still, the airline dumped planed flights from Banja Luka to Vienna which were to commence in October 2010.

On the other hand, Adria Airways will keep its subsidised flights from Ljubljana to Banja Luka during the 2011 summer season. There has been no progress with Sky Srpska, an airline meant to be based in the city. Although plans were set for the company to commence flights last year, aircraft are yet to be leased.

Meanwhile, another airport in Bosnia and Herzegovina, Mostar, has said that its business is in a “catastrophic” state due to high fuel prices. The Vice President of the Mostar Airport union told the “Dnevni Avaz” newspaper that Split and Dubrovnik were profiting at Mostar’s expense. Mostar sees the occasional charter flight during the summer. Although it did handle 15.000 passengers in 2010, the union vice president said that this was a far cry from the 100.000 passengers the airport handled prior to the breakup of Yugoslavia in 1980s.

Another A319 for B&H

New arrival in summer

After Turkish Airlines gains complete control over the national carrier of Bosnia and Herzegovina a second Airbus A319 is set to join the fleet, sources close to the airline state. The Airbus is expected to join the carrier sometime during the peak summer season and serve on charter flights. Turkish also plans for B&H to open several other Western European destinations later in the year, although none are currently planned for the start of the 2011 summer season which begins on March 27. The new arrival won’t impact on the current fleet of 2 ATR72s and 1 Airbus A319 which will remain with the airline. Original plans, drafted 2 years ago, intended for B&H to have three A319s by the summer of 2011.

Turkish Airlines is willing to acquire 100% of B&H’s shares as soon as possible, although internal politics inside the Federation are slowing the process down. In 2010, B&H Airlines handled almost 139.000 passengers, an increase of almost 57% compared to 2009. The airline recently launched a discounted ticket sale in hope of luring passengers to its flights until the start of the summer season.

easyJet gives EX-YU the cold shoulder

easyJet has no interest to fly to Serbia, Bosnia, Macedonia or Montenegro

Despite earlier announcements that easyJet was interested in commencing flights to Belgrade this year, the airline has recently said it will do no such thing. Macedonia, Bosnia and Herzegovina and Montenegro will also miss out on easyJet flights. The low cost airline operates services to both Croatia and Slovenia and flies out of Priština. An easyJet spokesperson told the “Uvazduhu” portal that the airline had requested market statistics from the Serbian Aviation Directorate but that it will not be commencing flights to Belgrade.

Meanwhile, Bosnia and Herzegovina has not received a single request from any airline in relation to new flights since visas were abolished for Bosnian passport holders on December 15. It was anticipated that more airlines would be interested in opening flights to Sarajevo with more people able to travel. Nevertheless, this will be good news for B&H Airlines which won’t, at least for now, see large scale competition currently experienced by its counterparts in Croatia and Serbia.

Yesterday, the Serbian Aviation Directorate announced that the country has begun enforcing the full European Union open sky policy, after taking the first step towards aviation market liberalisation in 2010. The move will make it easier for airlines to begin flights to the country.

9 million for terminal upgrade

Zagreb’s terminal to be expanded

Zagreb Airport’s passenger terminal will receive a 9.4 million Euro facelift as a temporary solution to the airport’s congestion problems. The project anticipates the construction of a new domestic check-in and arrivals area, which will extend the current terminal to the airport’s control tower. The new part of the terminal will stretch over 5.872 square metres. Originally, the airport planned to spend some 5 million Euros on the project and commence construction work in December 2010, however both have been modified. The construction of Zagreb’s much needed new terminal is not expected to begin until August 2012. If all goes to plan, the first phase of the new terminal should be completed in 2014.

Tonči Peović, the CEO of Zagreb Airport, told the “Poslovni dnevnik” portal that several major European airports are interested in participating in Zagreb’s expansion project. The current terminal is too small to handle the volume of passengers using the airport and big delays at check-in desks have become frequent at peak hours.

Zagreb Airport posted a profit of approximately 4 million Euros in 2010 and handled some 2.070.000 passengers, although official statistics are yet to be released.

Solving Adria’s financial woes

Adria wants stronger ties with Lufthansa as finances crumble

Slovenian banks have endorsed the financial restructuring plan of the state owned Adria Airways, which will receive a short term bridging loan to the tune of between 3 and 4 million Euros, Radio Slovenija reported this week. The money will be used to pay foreign suppliers and help Adria through the slow winter season, according to the airline’s chairman Maks Tajnikar. “If Adria hadn’t been granted this short term loan, it would have lacked short term operating support, which in turn would have increased our debt to suppliers”, Tanjikar said. Adria owes suppliers, most of which are foreign companies, approximately 30 million Euros.

Adria’s restructuring plan will be tough on employees which have already received a 20% pay cut. Furthermore, the plan entails selling some of the airline’s assets and restructuring previous bank loans. Banks, whose support Adria so desperately needs, have given their support to the restructuring plan, however they are demanding for Adria to be privatised by the end of the year.

Tajnikar has said that negotiations with potential foreign investors were under way, adding that Adria was counting on tighter ties with Star Alliance partner Lufthansa. Adria's debt stands at 130 million Euros, of which 80 million are outstanding bank loans, according to the daily “Dnevnik”. By the end of March this year it will be decided whether Adria’s operating certificate will be extended. In the unlikely event that it is revoked, the carrier would in effect close its doors on its 50th anniversary.

MERRY CHRISTMAS

Podgorica

To all frequent visitors and guests marking the holiday today, Merry Christmas!

Среќен Божиќ
Srećan Božić
Срећан Божић

Visit tomorrow for the latest aviation news

Belgrade

Terminal 2 expansion soon

2 expansion projects for Belgrade Airport in 2011

The CEO of Belgrade Nikola Tesla Airport, Velimir Radosavljević, has said that with nearly 3 million passengers in 2010, Belgrade’s airport can expect large scale investment in 2011, Serbian media report. From January 1, Belgrade slashed its landing fees, which should attract more low cost airlines. According to the CEO, the airport will see an increase of at least 15% in 2011 compared to last year , passenger wise, most of which will come from low cost carriers. Wizz Air will open its base in Belgrade on April 1. “We are trying to create a free and fair market for everyone. No one has any special treatment and no one is discriminated against”. Radosavljević noted.

Two major investments are planned for the airport in 2011, the expansion of Terminal 2 and the expansion of the parking platform. “The most important investment in 2011 will be the expansion of the terminal which will increase passenger comfort and services. We have to be very careful not to disturb other traffic during the expansion. This is why we have divided the project into 14 phases. There will be 8 new gates added to the terminal and the new areas will be opened once each phase of the project is complete”, Radosavljvević explains. He added that the expansion of the parking platform, which will allow more airlines to use the parking area instead of the gates, has already begun. “We have already connected our two main platform areas. We will add another one stretching over the size of 2 football pitches”.

Skopje’s new terminal ready by October

PM tours around Skopje’s new terminal

On time and on budget, Skopje Alexander the Great Airport’s brand new terminal is set to open in time for the 2011/2012 winter season, in October. Macedonia’s Prime Minister, Nikola Gruevski, visited ongoing work on the construction of the multi million Euro terminal. Besides the new terminal, Skopje’s runway is also being extended, which will allow larger aircraft to land, while a new administrative building, a cargo storage building, new access roads, new parking for 250 vehicles and 100 taxis and a new fire department building are all under construction or have already been constructed.

“We are building a terminal ten times greater than the current one”, Gruevski said. The Prime Minister noted that some facilities will be ready by June. A total of 120 million Euros will be invested into both Skopje and Ohrid airports while additional funds will be set aside for a cargo airport in Štip, in the country’s East. By extending the current runway at Skopje, Gruevski believes that the airport will be able to handle long haul flights. Skopje is expected to see a big increase in passenger numbers this year, according to the airport’s management, on top of the impressive results recorded in 2010. Reconstruction of Ohrid’s terminal and is expected to be completed by April this year. Macedonia’s two airports are run by the Turkish company TAV.

Montenegro Airlines sees strong 2010

Montenegro Airlines named “Hottest to watch in 2011”

In 2010, Montenegro Airlines carried 630.000 passengers, an increase of 20% compared to 2009. The airline recorded similar losses as in 2009, amounting to approximately 6 million Euros. Zoran Djurišić, the airline’s CEO, told a media conference in Podgorica that 2010 was one of the most difficult years in the airline’s history. He explained that the airline’s losses accumulated primarily due to an increase in fuel prices on the Montenegrin market. Djurišić outlined that the Montenegrin carrier operated more flights last year, up by 16% compared to 2009, while its average return ticket (without taxes) amounted to 93 Euros.

In 2011 Montenegro Airlines will commence flights to Milan and Brussels and increase its frequencies to London. Commenting on the recently failed privatisation drive, Djurišić said that the carrier should remain in government ownership for now.

Meanwhile, the Centre for Asia Pacific Aviation (CAPA) has published a list of 75 airlines “Hottest to watch in 2011”. Montenegro Airlines is the only EX-YU airline to be included in the list with the likes of Lufthansa, easyJet, Wizz Air, S7, Malaysia Airlines and Etihad.

100% Turkish

B&H sell off soon

The national carrier of Bosnia and Herzegovina will sell its remaining 51% government owned stake to Turkish Airlines. As a result, Turkish Airlines will own the full 100% of the airline. The “Dnevni Avaz” newspaper reported last week that the sale would go ahead after the new Federation government takes office, though this process has been slow and power sharing negotiations are still ongoing, three months after the general election. If the process drags on, the sale may be approved by the outgoing government in order to avoid the company’s closure, the paper quoted an unnamed source as saying. Despite rising passenger numbers B&H is still operating with multi million Euro losses.

Turkish Airlines bought 49% of the airline in 2008 and promised to spend 5 million Euros for the lease of 2 jet engine aircraft and make a further 5 million Euro investment. Since Turkish Airlines’ takeover, B&H Airlines has opened several new routes. According to plans drafted back in 2009, B&H should receive another new aircraft during the 2011 summer season, bringing its total fleet size to 4. Turkish Airlines is expected to make some major management changes and name B&H’s CEO after the takeover.

Year in review

2010 was a year of thrills and spills for the aviation industry. While most airlines managed to see an increase in the number of passengers after the disastrous 2009, no one could predict that a volcano in Iceland would bring the aviation world to a standstill. At the end of the year, mother nature paralysed air links once again as snow storms swept across Europe and the United States. In the EX-YU region, most national airlines saw a recovery in terms of passengers served, however, financial losses have continued to haunt all carriers. There was the regular strike here and there, several unfulfilled promises and several management changes. Here is a short, light hearted, recount of the year national carriers from the EX-YU had.


Adria finished 2010 with a bang ... and not in a good way. The airline’s management revealed that the Slovenian carrier is on the brink of bankruptcy and in need of finding a strategic partner in 2011 in order to survive. However, it wasn’t all that bad for Adria. It managed to see its passenger numbers increase, it opened a new base in Priština in December and relaunched flights to Belgrade after almost 2 decades. Adria’s final Airbus A320 was retired while the airline brought in new A319s. Furthermore, Adria continued its regional expansion by launching subsidised flights from Ljubljana to Banja Luka.


B&H Airlines saw its passenger numbers explode as the airline introduced new flights. The airline launched flights to Belgrade, Banja Luka and Zagreb although it retained its tradition of opening and suspending flights after several weeks. Nevertheless, the airline replaced its Boeing B737-400 with an Airbus A319 and launched the much awaited Sarajevo – Amsterdam service. The carrier of Bosnia and Herzegovina saw its CEO bid farewell to the airline as he took over business at the Bosnian Embassy in Qatar. The highlight news item of the year relating to B&H was when local media revealed that the airline was no longer serving pork and alcoholic beverages on its flights. The claims were refuted by the carrier and the story was quickly forgotten. On December 15, citizens of Bosnia and Herzegovina were freed from visa restrictions to some 27 European countries, which is expected to benefit the national carrier.


“Losses” was the catchphrase at Croatia Airlines in 2010. The airline lost passengers and lots of money. It was only fitting that the airline’s CEO stood down after 13 years at the helm, while at the same time working for Lufthansa CityLine. Croatia Airlines also saw its cabin crew stage strikes, unhappy with pay cuts. Low cost airlines increased their presence in Croatia in 2010, especially in Zagreb, much to the dislike of the national carrier. The planed 4 weekly service from Zagreb to Belgrade, scheduled to begin on May 1, was dumped. However, it wasn’t all grim news. The airline welcomed new Dash aircraft to its fleet and retained the name of the EX-YU regional leader in terms of passengers carried.


There’s never a dull year at Jat Airways. 2010 started off with a strike by its catering supplier and set the tone for the rest of 2010. The airline did not receive new aircraft as planed but managed to increase passenger numbers as competition blasted off from its home turf. Loathing its company’s management, employees finally had their day in December when it was replaced. In 2010, Jat saw several marketing campaigns and several grounded aircraft returned to its fleet. The Serbian carrier continued with its traditional financial losses but managed to secure a multi million Euro loan.


Montenegro Airlines took its turn to become 2010’s failed privatisation. The airline didn’t sell 30% of its shares but sold more tickets and as a result saw it passenger numbers significantly increase. The Montenegrin carrier received a new Embraer jet and relaunched flights to Niš.

In the following few weeks 2010 results for EX-YU airlines and airports will be published including Macedonia, which spent another year without a national carrier. 2011 is expected to be another recovery year in the aviation industry.

What are your predictions for the abovementioned airlines in 2011? Leave a comment.

HAPPY NEW YEAR!

Skopje

Happy New 2011! In hope that this year will bring the EX-YU aviation world more success.

Sretna nova godina

Srećna nova godina

Срећна нова година

Среќна нова година
Srečno novo leto

Priština

Visit tomorrow for an analysis of the year that was and from January 3 all the latest news

Belgrade