Skopje success for Wizz Air

Wizz Air plans Skopje expansion

The low cost airline Wizz Air, which began flights from London Luton to Skopje only 10 days ago, is recording strong passenger figures and vows to expand its services from the Macedonian capital. From September 20 the airline will launch flights from Treviso in Italy to Skopje with more routes to be added during the 2011/2012 winter season. The airline has already sold some 8.250 one way tickets from Skopje to London. Furthermore, it expects to handle approximately 25.000 passengers on flights from Skopje to London and Treviso by the end of the year.

Gyorgy Abran, Wizz Air’s Chief Commercial Officer, said at a press conference in Skopje that this was only the beginning of the airline’s presence on the Macedonian market as the no frills carrier plans to introduce new routes soon. “This is a very good start and we plan to introduce more routes, but we will first wait and see how our current offer performs”, Abran told the press.

Wizz Air has big ambitions for the EX-YU region and it plans to base a second aircraft in Belgrade by the end of the year. The airline also serves Croatia on a seasonal summer basis.

To view flight details for the upcoming Treviso - Skopje service, click here.

Zagreb surpasses first million

Zagreb passes million passenger mark, Croatia Airlines to do so soon

Zagreb Airport on Monday handled its millionth passenger this year, 18 days ahead of 2010 pointing to a record breaking year. The millionth passenger was travelling on Monday’s service from Zagreb to Skopje operated by Croatia Airlines. The CEO of Zagreb Airport, Tonči Peović, said that so far this year the airport has recorded a 17% passenger increase thanks to a big increase in the number of flights from the Croatian capital. Peović expects that the airport will see up to 300.000 passengers more than last year. Zagreb Airport set its best passenger figure in 2008 when it handled 2.192.453 passengers, a figure it has been unable to surpass ever since.

Meanwhile, the CEO of Croatia Airlines, Srećko Šimunović, said that the Croatian carrier will carry its millionth passenger within 3 to 4 weeks. By Monday some 829.720 passengers flew with Croatia Airlines since January 1, 2011. The millionth passenger mark should be reached approximately 10 days ahead of 2010. However, Šimunović warns that the positive passenger trend will be offset by large scale losses the airline will once again incur this year. The CEO blames high fuel prices for the loss.

Dubrovnik - Belgrade all year round

More flights from Croatia to Serbia next summer

After 20 years flights between Dubrovnik and Belgrade were resumed last week with Jat Airways commencing 2 weekly services from the Serbian capital and Croatia Airlines introducing the same weekly frequency from Dubrovnik. Now there are plans for the route to become an all year round service while the national carriers discuss new flights from Belgrade to Pula and Split. Both Croatia Airlines and Jat Airways are reporting positive trends on their recently launched service with most flights operated so far having an average cabin occupancy rate of at least 50%.

Srećko Šimunović, the CEO of Croatia Airlines, said that the Croatian carrier is planning on making the abovementioned route an all year service, rather than the seasonal summer flight it currently is. As it stands now, the flights are set to operate until mid September. Furthermore, Croatia Airlines is planning on introducing seasonal flights from Split to Belgrade in 2012 while Jat would be given the opportunity to operate the Belgrade – Pula service next summer. Šimunović did not mention any potential Zagreb – Belgrade flights announced earlier this year to start during the 2011/2012 winter season. Meanwhile, Rijeka Airport confirmed that Jat was keen on beginning flights to the city this summer but due to a lack of aircraft was unable to do so.

Second airport for Belgrade by 2016

Batajnica Airport to welcome low cost airlines in 5 years

The authorities in Belgrade have approved plans to transform the military Batajnica airbase into a commercial airport by 2016. The airport would be used exclusively for low cost airlines, offering lower fees to airlines but at the same time only basic facilities for passengers. The idea to transform Batajnica Airport for commercial use has been on the table for several years but this latest move will now see a terminal building built and runways overhauled in 5 years. Between 2013 and 2016 the airport would be transferred from the ownership of the military to the city.

Batajnica was severely damaged during the 1999 bombing of Yugoslavia. However, since then a lot of work has been done to restore the airport. A new control tower has been built (pictured above) and new access roads have also been constructed. Batajnica Airport is located on the outskirts of Belgrade in the Batajnica suburb. It is some 25 kilometres from the city centre. It is well connected with the rest of the country being located on the Belgrade – Novi Sad highway, having a direct rail link to the city and being the starting point of the Belgrade bypass currently under construction.

Batajnica has a total of 3 runways but only 1 is in use since the other 2 have not been reconstructed since the bombing. Belgrade is currently served by only 4 low cost airlines, 1 of which has its own hub at Nikola Tesla Airport.

Do you think Belgrade needs another airport? Send a comment with your thoughts.

May growth for most Croatian airports

Split slips as Zagreb continues record run

Zagreb Airport has recorded one of its best Mays on record. Meanwhile, Rijeka finally reports growth while Dubrovnik and Split surprise with slipping passenger numbers.

In May 2011, Zagreb Airport handled 218.066, an impressive 17.9% improvement on last year. The figure is accompanied by a significant 15% increase in traffic. So far this year Zagreb has handled 833.039 passengers, representing a 17.7% jump. The airport is certain to break through the 1 million passenger mark during this June. On the other hand, Rijeka continues its comeback this year after a disastrous 2010. The seaside airport welcomed 5.337 passengers, up 6%. A similar increase was recorded by Pula which handled 24.966 passengers. Ryanair’s recent service launch from Brussels to Pula is also set to impact on June’s figures.

Dubrovnik and Split surprised with their May figures as both airports reported a decrease in the number of passengers compared to the same month last year, although these slips were not too significant. In what is to be Croatia’s record tourist season, Dubrovnik handled 142.326 passengers, down 0.4% while Split recorded a greater decrease of 2.4%. This negative trend was driven by a fall in the number of flights offered during the month compared to last year. In June, Dubrovnik should expect big increases thanks in part to Croatia Airlines which has launched several new services from the city.

Below you can review the performance of Croatia’s airports in May 2011. Overall, Croatian airports handled 536.017 passengers, an increase of 7.9% compared to May 2010. The statistics have been provided by the Croatian Bureau of Statistics.

Airport	Passengers MAY 2011	Passengers MAY 2010	Change (%)
Zagreb	218.066	184.965	▲ 17.9
Dubrovnik	142.326	142.834	▼ 0.4
Pula	24.966	23.308	▲ 7.1
Split	111.253	113.925	▼ 2.4
Zadar	29.965	22.900	▲ 30.9
Osijek	2.670	2.327	▲ 14.7
Rijeka	5.337	5.031	▲ 6.1
Mali Lošinj	464	436	▲ 6.0

Better days for Tuzla Airport

Tuzla could become a cargo airport

Tuzla Airport has struggled to attract airlines and passengers since it opened its doors for commercial use in 1998, however, a brighter future is ahead for the airport as flights to Dubai begin next week and the government announces much needed investment. From July 1, flights from Dubai to Tuzla will begin, with Air Arabia being the operating carrier for the local tour operator organising the flights. The service will operate twice per week until the end of October but could be extended if the flights prove popular. Thus, Tuzla becomes only the second EX-YU city to offer flights to Dubai. The new service will provide much needed passengers for the airport which only handled 8 in May 2011. This statistic will also improve with Sky Airlines from Turkey recently commencing charter flights from Antalya.

The Government of Bosnia and Herzegovina recently announced a 220.000 Euro investment which will be used for the purchase of machinery which will improve the handling of aircraft once they arrive at the airport. There are plans to turn Tuzla into a cargo airport with investors from the United Arab Emirates interested in the project, according to the head of the Tuzla Canton, Sead Čaušević. Turkish Airlines has also expressed its interest to turn Tuzla into a cargo hub.

Flight details for the upcoming Dubai – Tuzla service can be found here.

Iran Air ends Belgrade technical stop

No more Iran Air refuelling runs to Belgrade

After several months, Iran Air has terminated flights to Belgrade as its refuelling base for services originating from Western Europe on route to Teheran since last week. Belgrade Airport has been under pressure to stop refuelling Iran Air aircraft. The United States recently issued an advisory to all airports in Europe to stop refuelling all Iran Air jets. Nikola Tesla Airport has been refuelling several Iran Air flights since March 2011 because most companies at European airports have refused to sell fuel to the Iranian flag carrier. Similarly, the airline made refuelling stops in the Hungarian capital Budapest as well. No Iran Air passengers were allowed to enter or leave the aircraft while refuelling in Belgrade. The airport made a significant profit out of its arrangement with the Iranian flag carrier.

Yesterday, the United States imposed economic sanctions on Iran Air, saying that the national carrier supported the Iranian military. In a statement, the US treasury department also said the airline had provided "material support and services" to the Iranian Revolutionary Guard. It said the paramilitary group supported terrorism and committed human rights abuses against protesters. Revolutionary Guard officers are said to occasionally take control of Iran Air flights with special cargo. Iran Air has faced US sanctions since 1995, preventing it from buying aircraft or spare parts from Boeing or Airbus.

Thus, after 3 months, frequent Iran Air Airbus A300 visitors are no more at Belgrade Airport.

Adria aid gets all clear

Adria looks to the future as it secures state aid

Three parliamentary committees have given the government the all clear to take part in the bailout of flag carrier Adria Airways, which requires a 50 million Euro cash injection to stay in the air. Opposition MPs argued against the aid saying that Adria’s agony would only be prolonged by granting the aid and that the national carrier should look for a strategic partner which would lead to privatisation. Despite the fact that the European Union does not look kindly upon government bailouts for state owned companies, emergency support is allowed under EU rules for the rescue and restructuring of firms in difficulty. The government warned that this was a “one off” and further aid wouldn’t be granted. Adria has also announced it will take a further 40 million Euro credit from the banks. The airline is currently struggling to pay off debt of up to 100 million Euros.

The airline’s management touted their recent visit to India as major success. Thanks to a deal with Adria, Air India is expected to begin flights to the United States via Ljubljana as well as codeshare on Adria’s regional services. The airline’s CEO, Klemen Boštjančič, says that Adria is looking at signing similar deals with other airlines. He blamed high oil prices at Ljubljana Airport, amongst other things, for the airline’s ever increasing losses. Adria will also introduce an additional service to Banja Luka from July 14, increasing the number of weekly subsidised services to 5.

The airline says it is talking to 10 potential strategic partners but says that the airline must first improve its financial state before it can be sold as no one wants to take over a debt ridden company.

B&H to Pescara

Soon in Pescara

B&H Airlines will begin seasonal summer flights from Mostar Airport to Pescara in Italy. The exact date of the service launch will be known soon when the local authorities from Mostar meet with their counterparts in Italy. There they will agree on a date for the first promotional flight between the two cities and the actual date commercial flights should begin. The airline is hoping to attract Christian pilgrims from Italy visiting Medjugorje in Bosnia and Herzegovina. B&H Airlines should make good money from the service as all seats on the aircraft will be pre-booked by a tour operator. Pescara is located on Italy's eastern coast, some 180 kilometres from Rome.

The flights are expected to operate once per week with an ATR72. B&H’s ATR currently flies only to Zurich and fills in on other routes from time to time in case of a technical fault with the Airbus A319. Last year, B&H Airlines operated many charter flights, in particular to Turkey, even having an aircraft entirely dedicated for charter services. However, this year B&H is not operating virtually any charters. All of them have been taken over by the Turkish based Corendon Airlines and Tailwind Airlines operating charters to Antalya.

The new flights will come as good news for Mostar Airport which has seen a bounty of charter flights this summer season. Last month the airport handled 4.029 passengers making it Bosnia and Herzegovina’s second largest airport in terms of passenger numbers after Sarajevo and ahead of Banja Luka and Tuzla.

Swift Air grounded

No flights from USA to EX-YU this summer

The airline that was contracted by Air Plus to begin flights from Chicago to Zagreb and Belgrade last Friday has voluntarily grounded its entire fleet after the Federal Aviation Administration (FAA) expressed concerns over the airline’s staff training practices and manuals. The FAA denied Swift to depart on Friday evening with 221 passengers on the inaugural flight. According to the tour operator Air Plus, it had no idea that Swift was having problems. In 2009 Swift Air was under investigation by the FAA for safety and maintenance issues after a nose gear collapse.

Only 2 days before the flights were to be launched, the CEO of Zagreb Airport warned that the inaugural flight would be cancelled due to low interest but noted that flights would begin a week later. This was denied by all other parties involved in these flights.

Air Plus began refunding passengers their tickets yesterday. Passengers on the first inaugural flight have been offered either alternative arrangements to their destination or their money back. All flights from Chicago to Zagreb and Belgrade have been cancelled. What was to be the first direct flight from Chicago to Zagreb and the first flight from the Windy City to Belgrade since 1992 turned into a fiasco. It remains to be seen if any other airline might attempt the service next year.

Selling Jat to Aeroflot – take two

Government wants to sell Jat to Aeroflot … again

The Serbian Government will try to plug Jat Airways to the Russian national carrier Aeroflot for a second time in 3 years after it confirmed Turkish Airlines was no longer interested in acquiring the Serbian carrier. An unnamed government source told a local newspaper that the Serbian President, Boris Tadić, will promote Jat Airways to his counterpart in Russia on an upcoming visit to the country to take place sometime in the next few months. However, there is little hope the Russian airline would be interested, just like it wasn’t in 2008 when it was believed Aeroflot was going to buy shares in the Serbian carrier once it was put on sale. A planned tender for Jat’s sale, which was to take place in August, now looks unlikely. Not a single airline has replied to the government which sent out facts and figures about Jat to several airlines including Lufthansa and Turkish Airlines. According to the Secretary for Aviation, Miodrag Miljković, the tender will now take place “when sufficient interest is shown”.

The acting CEO of Jat Airways said earlier in the year that the airline must get new aircraft by January 2012. Most of Jat’s Boeing fleet, which is undergoing large scale overhauls at the moment, will be fit to fly for another year and a half before having to go for yet another overhaul in 2013, which is becoming extremely costly.

Aeroflot recently sold its Nordavia subsidiary and has also taken control over 6 other Russian airlines, including the country’s second national carrier, Rossiya, based in Saint Petersburg.

Kraljevo Airport development continues

Kraljevo’s Morava Airport to open this year

Construction of Kraljevo Airport in Central Serbia is continuing with the project recently receiving a financial boost from the Turkish Embassy in Belgrade. The Turkish Government will donate 10 million Euros for the construction of a passenger terminal at the former military airbase to be known as Morava Airport. The Serbian Government believes that the airport in Kraljevo will be able to attract airlines and passengers despite the fact that nearby Niš has been unable to do so for several years. Some 2 million live within 70 kilometres from the airport, a sizeable catchment area in the eyes of the government, keen to profit from the airport’s opening in a pre-election year. Furthermore, many Bosniaks living in the area often travel to Turkey and use Priština Airport. The idea is for them to use the airport in Kraljevo instead. The price tag of the entire project is just over 22 million Euros and the Turkish donation will cover the entire cost as the rest of the finances have been secured.

Once the project is completed it should be able to handle aircraft with a capacity to seat 100 people. Morava Airport is just one of the many airport expansion or construction projects in the region with a new terminal being built in Skopje and Priština, a new terminal expected to be built in Zagreb while the terminal buildings at Pula and Split airports are also set to be expanded, more of which you will be able to read on EX-YU aviation news soon.

Chicago flights cancelled!

Air Plus cancels inaugural flight

UPDATE 14.00 CET

Despite previous denials that Swift Air wouldn’t cancel its inaugural flight from Chicago to Belgrade via Zagreb, it indeed did so last night, leaving 221 passengers stranded at Rockford Airport. According to one EX-YU aviation news visitor who was at the scene, the operator told passengers the flight was cancelled as the Federal Aviation Administartion (FAA) did not allow the aircraft to depart. Passengers were informed of this after 21.00 local time when the flight was scheduled to leave. Air Plus, the tour operator behind the service, said all planned flights, which were to run until mid September, have been cancelled. "We are all shocked with these circumstances, and will do our best to refund all funds to passengers as soon as possible to allow them to still book their flights on other airlines", Air Plus said on its website.

The Serbian Civil Aviation Directorate said it had not been notified as to why the flight was cancelled. It was supposed to be welcomed at Belgrade Nikola Tesla Airport by the authority of the City of Belgrade, the Ministry for Infrastructure and the Ambassador of the United States in Serbia. Amongst the passengers on the cancelled Swift Air flight was the Consulate General of Serbia in Chicago as well as the local authorities from the City of Chicago.

Only 2 days ago Zagreb Airport CEO, Tonči Peović, said the inaugural would be cancelled and moved by a week which led to vehement denials by Air Plus, the tour operator organising the service. Today, after 19 years, flights from Chicago to Belgrade and Zagreb were to resume. It seems that potential passengers will now have to wait a while longer until flights to the United States resume.

This post will be updated when more news comes to light.

Belgrade – Dubrovnik 20 years later

Jat returns to Dubrovnik

After almost 20 years, Jat Airways today resumed flights from the Serbian capital to the Pearl of the Adriatic. This morning Jat’s ATR72 departed Belgrade at 07.30 on route to Dubrovnik as flight JU720 and arrived at 08.40 without much fanfare. The service will operate twice per week. In only 3 days, Croatia Airlines will also commence 2 weekly flights between the two cities making it Croatia Airlines’ first scheduled service to Serbia. It is a long way from 20 years ago when the two cities were connected several times per day but marks the start of flights between Croatia and Serbia which, with the exception of summer flights between Belgrade and Pula in 2008, did not operate for 20 years.

The final service between Belgrade and Dubrovnik was operated by JAT Yugoslav Airlines on August 6, 1991. No regular flights have operated between the two ever since. Before the breakup of Yugoslavia the final service from Serbia to Croatia was operated between Belgrade and Pula on September 13, 1991. It is interesting to note that during the late 1980s Yugoslav Airlines’ most popular domestic service was between Belgrade and Dubrovnik, outperforming even the Belgrade – Zagreb flights.

Both Jat Airways’ and Croatia Airlines’ flights to Dubrovnik will operate until September as a seasonal summer service. Although initial bookings for the flights were low, things have recently picked up.

Confusion over US flight launch

Mixed messages over Swift Air flight launch

Tomorrow, Swift Air is to begin flights from Chicago to Belgrade via Zagreb. However, only yesterday the CEO of Zagreb Airport, Tonči Peović, said that the inaugural service would be cancelled until next Friday due to low interest. The announcement by Peović was denied by the Air Plus tour operator organising the flights as well as the Serbian Civil Aviation Agency which today confirmed the service to Belgrade with the Zagreb stopover. The operator has however transferred its operations from Chicago’s O’Hare International Airport to Rockford Airport.

Originally, flights to Zagreb and Belgrade were to be separate services, operated each once per week. It will be the first time Zagreb and Belgrade will see flights to Chicago in 20 years. The Swift Air flights are set to run until the end of September. Only a month ago the company claimed to be selling large amounts of tickets.

A revised timetable for the Chicago – Zagreb flight can be found here, while the revised timetable for the Chicago – Belgrade service via Zagreb can be viewed here.

Air India to the US via Ljubljana

Air India in Ljubljana from 2012

After Zagreb and Belgrade, Ljubljana will also be getting direct flights to the United States, to be operated by the Indian national carrier Air India. Ljubljana Jože Pučnik Airport will serve as a stopover for Air India’s North America flights under a memorandum of understanding that the Indian and Slovenian national carriers, as well as Ljubljana Airport, signed in New Delhi yesterday. The two airlines will soon begin to codeshare on each other’s flights. This will pave way for Adria Airways to access Air India's network by generating traffic beyond Delhi, and likewise, provide Air India with access to the East European market. It will also provide for better commercial viability, and contribute towards yield improvements.

Ljubljana Airport says that Air India’s flights to the US via Ljubljana would begin either at the start of the 2012 summer season in March or the 2012/2013 winter season which begins in October next year, depending on when the airline takes delivery of the Boeing 787 Dreamliner whose rollout has been delayed by the aircraft manufacturer several times. There is also potential for cargo traffic between the two countries. The news comes as the Slovenian Prime Minister, Borut Pahor, met with his Indian counterpart.

Only a week ago news surfaced that Adria Airways would be taken over by Air India, although the management of the Slovenian carrier denied the reports saying only that cooperation between the two airlines would be strengthened. Air India will become a Star Alliance member this summer, joining Adria. The Indian carrier operates flights to Chicago, Newark and New York City in the United States. It recently closed its European base in Frankfurt from which it operated several US bound flights.

Jat continues double digit growth

More passengers flying with Jat this year

Jat Airways has reported double digit passenger growth since February, and its statistics for May are no different. The Serbian national carrier handled 96.466 passengers last month, an increase of 17% compared to May 2010. The airline’s Euro-Mediterranean services saw the biggest passenger increase of 19% followed by services to Montenegro which jumped 11% on the same month last year. The airline recorded an average load factor of 70%, an increase of 12 points. While there was an 18% passenger increase in scheduled traffic, the figure is being dragged down by the underperforming charter flights which recorded a 40% decrease, although it should be noted that the airline has cut the number of its charters by 39%.

In the first 5 months of the year, Jat handled 402.894 passengers, an increase of 19% compared to the same period last year. The average cabin load factor since the start of the year stood at 63%, an increase of 7 points. You can review all the results from this year in the table below.

Month	PAX	Change (%)
JAN	70.788	▲ 2.9
FEB	67.635	▲ 24
MAR	79.408	▲ 20
APR	88.597	▲ 33
MAY	96.466	▲ 17

B&H better off without Turkish Airlines

Financial auditor blames Turkish Airlines for B&H losses

Bosnia and Herzegovina’s financial auditor has concluded that the country’s national carrier, B&H Airlines, was better off before Turkish Airlines purchased 49% of shares in late 2008, noting that the airline should either declare bankruptcy or urgently receive a cash injection. Since Turkish took over B&H, losses have increased 10 times and the result of the sale has been an utter failure, the auditor included in its report. In 2008, before Turkish took control over the company, the airline had a loss of just over 1 million Euros. In 2009 that figure increased to 6.2 million and by the end of last year B&H had accumulated debt of up to 22.9 million Euros, a significant figure for such a small company. The auditor continued its scathing attack on Turkish Airlines’ (mis)management of the airline stating that in the past 2 years B&H operated aircraft that were not suitable for the airline and constantly launched new routes which led to an increase in losses. Furthermore, due to low passenger numbers, the airline suspended 5 routes in the past 2 years.

On the other hand, former B&H Airlines CEO Nudžeim Rečica says that the airline would have gone further downhill hadn’t Turkish purchased B&H’s shares. He underlines that the entire aviation industry had suffered over the past 2 years due to the effects of the global financial downturn. He also admits that there have been some problems in the implementation of Turkish Airlines’ strategy at the Bosnian national carrier. Bosnia’s Ministry for Communication and Transportation believes that things at B&H will pick up after Turkish names its own people to head the carrier.

Turkish Airlines is expected to name B&H’s new CEO soon, possibly by the end of the week. The airline currently operates services with 3 aircraft, 1 Airbus A319 and 2 ATR72s although one of the latter is expected to be phased out soon. According to the purchasing agreement, Turkish Airlines is required to provide another jet engine aircraft for B&H to use. There is some good news for the national carrier as it is reporting an increase in passenger numbers compared to the same period last year.

Adria requests another 40 million

Another bailout loan for Adria

Slovenia’s national carrier Adria Airways, which has requested 50 million Euros in state aid to help its fledgling finances, will also take out another 40 million Euro loan from the banks, the Slovenian “Dnevnik” reports. This is despite the fact that Adria already owes millions in unpaid loans to banks and has managed to accumulate debt of up to 100 million Euros. It is believed that the airline can only continue operations with the government aid and another loan from the banks. The airline is currently in talks with Nova Ljubljanska banka (NLB bank) to negotiate the terms for the large loan. NLB owns a 6% stake in the Slovenian national carrier.

Meanwhile, the Slovenian Government decided on Thursday it would consult MPs on the possibility of state aid to the indebted Slovenian flag carrier. It proposed the issue be discussed at the Economy, Transport and Finance committees within the Slovenian Parliament. The Minister for Transport, Patrick Vlačič, said the government is expected to make a decision whether to grant Adria the needed cash during next week.

Adria handled 409.265 passengers in the first 5 months of the year, which is a moderate increase compared to the same period last year. A total of 1.170.235 passengers flew with Adria in 2010.

Air Berlin to Skopje

Soon in Skopje

Germany’s second largest airline, Air Berlin, will commence operations to Skopje. The semi low cost carrier will begin flights from Dusseldorf to the Macedonian capital on June 25 with the service operating every Saturday. Flights are set to depart Dusseldorf in the evening hours with the return flight from Skopje taking off every Sunday morning. A Boeing 737-700 will be used on the service. Flights details can be found here. In the region, Air Berlin flies to Tivat, Priština and several cities on the Croatian coast.

Air Berlin becomes the latest in a string of airlines to commence flights to Skopje Alexander the Great Airport which recently secured services from Wizz Air and Niki. Meanwhile, Pegasus Airlines from Turkey has announced it will begin seasonal summer flights from Istanbul and Izmir to the Macedonian capital. The airport’s management believes that with more competition ticket prices will continue to decline and air travel will become more accessible to people in the country. Skopje’s new terminal is scheduled to open on September 8.

Chicago flights fail to sell

Swift Air to combine Belgrade and Zagreb flights due to poor loads

Swift Air, which was to commence flights from Chicago to Zagreb and Belgrade from June 17 and June 19 respectively, will now combine the service due to poor tickets sales. Instead of an individual one weekly flight to Zagreb and Belgrade, the service will now operate Chicago – Zagreb – Belgrade and return. Swift Air has sent a request to both the Serbian and Croatian civil aviation directorates for a new license to be granted based on these changes. Both have are said to be in the process of granting the new license to the American charter airline. The spokeswomen for Serbia’s Civil Aviation Directorate, Katarina Andrić-Milosavljević, said that there was no reason for a new license not to be granted since all technical and safety measures have been met by the airline.

Swift Air has told the civil aviation agencies that it has been unable to sell enough seats and is requesting for a license to be issued for a combined service based on economic reasons. This is despite earlier announcements from the airline that tickets were selling like hot cakes. As a result, Belgrade and Zagreb will be connected via the air for the first time in 20 years, although no tickets can be purchased for travel between the two cities.

Recently, a spokesperson from the Ministry of Infrastructure in Serbia said that such seasonal charter services are unlikely to succeed as they do not offer the same leniency as scheduled carriers when it comes to date changes and baggage. Furthermore, he noted that such airlines do not connect onto other regional services.

The flights from Chicago to Belgrade are still scheduled to commence on June 17. Although the departure and arrival times are certain to change, no new schedule has been officially published.

Turkish brushes off Jat interest

Turkish Airlines’ interest in Jat fades away

Despite the fact that local media has been ripe with suggestions that Turkish Airlines is keen on purchasing Jat Airways or a new national airline Serbia might create as a substitute for Jat, the CEO of Turkish Airlines, Temil Kotil, said that the airline has little interest in acquiring airlines and wants to concentrate on its own operations. “We are not as interested in acquiring airline investments as suggested by media reports”, Kotil told the “Wall Street Journal”. He outlined that the airline prefers organic growth rather than growth based on airline takeovers.

The Serbian Government has sent out facts and figures about Jat to 60 potential bidders but the exact way in which Jat will be sold depends on what the airline’s privatisation advisor, Deloit, suggests. If all goes to plan a tender for the privatisation of Jat Airways could begin in August. However, there is little hope the airline will be sold, as was the case in 2008 when it was also put up for sale. “If this tenders fails Jat will stay in government ownership but the Serbian Government will have to find a way to renew the airline’s fleet”, a government source told the “Novosti” newspaper.

Turkish interest in Jat has been speculated over the past 2 years, with various ministers, Jat CEOs and even the Serbian Prime Minister saying that the Turks are keen on purchasing Jat. One government minister went as far as saying that Turkish Airlines wanted to set up an airline called Balkan Airways which would be the national carrier of Serbia, Bosnia and Herzegovina and Macedonia. However, this most recent statement from Turkish Airlines’ CEO is just the latest in a string of similar announcement denying the airline’s interest in Jat. Turkish Airlines flies to every single EX-YU country and owns 49% of B&H Airlines.

In a recent EX-YU aviation news poll, 88% or 258 people said that Jat won’t be sold by the end of 2011. Do you think there is any hope of selling Jat? Send a comment with your thoughts.

Croatia Airlines breaks passenger record

Croatia Airlines sees passenger growth

Croatia Airlines has seen its passenger numbers significantly increase in the first five months of the year compared to the same period last year. By the end of May the Croatian national carrier carried 634.867 passengers, an 18% increase compared to the same period in 2010. Therefore, Croatia Airlines carried almost 100.000 passengers more than last year and recorded the best start to the year since operating its first service 20 years ago.

In international traffic a total of 445.625 passengers chose Croatia Airlines while domestic traffic accounted for a further 176.201 passengers. This represents an increase of 20% on international flights and 13% on domestic services. All indicators point to a record summer season with the number of bookings for Croatia Airlines flights showing an increasing trend. Already 63% of all seats have been sold for upcoming seasonal summer flights offered by the airline.

Croatia Airlines has been the largest EX-YU carrier in terms of passenger numbers for years and the positive trends recorded so far in 2011 will make the carrier unreachable in this domain once again.

AZAL to Belgrade

Air Service Agreement to be signed tomorrow

The Azerbaijani national carrier, AZAL Airlines, is a step closer to commencing services to Belgrade. Several months ago it was reported that the airline of this oil rich Caucus state was interested in commencing flights to Zurich via Belgrade from its hub in Baku in cooperation with Jat Airways. Tomorrow, the President of Azerbaijan, Heydar Aliev, as well as the country’s Prime Minister and the representative of the Azerbaijani Parliament will visit Belgrade on a 2 day official state visit. Over 20 bilateral agreements will be signed, one of which is an Air Service Agreement, opening the doors for AZAL to commence flights to the Serbian capital. The airline plans to fly from Baku to Zurich via Belgrade so as to make the service more viable. The airline would be granted fifth freedom rights, allowing passengers to book tickets on the Belgrade – Zurich – Belgrade sector as well. It is believed that Jat could play a minor role by code sharing on this service. The flights were initially proposed by the Serbian – Azeri Chamber of Commerce as the two governments look to substantially increase economic cooperation and joint projects. A bilateral tourism agreement will also be inked during the state visit, which intends to increase tourist traffic between the two countries. The flights are proposed to commence during the 2011/2012 winter season, which begins in late October and ends at the end of March.

AZAL Airlines is looking to rapidly expand over the next few years. Just a few days ago the airline received a brand new Boeing 767-300ER jet and another 3 are set to arrive by next year. The airline also has aspirations to begin flights to the United States and will become the first former Soviet state to operate the Boeing 787 Dremaliner in 2014. AZAL is also expanding its European destination network, introducing flights to Kiev and Amsterdam this summer. A new multi million Euro terminal is currently under construction at Baku’s Heydar Aliev Airport. The country is anticipating a massive increase in tourism next May when it hosts the world’s biggest television event – the Eurovision Song Contest.

Aerosvit dumps Belgrade

Kiev – Belgrade flights to end

Aerosvit Airlines, one of Ukraine's two flag carriers, will suspend services from Kiev to Belgrade from June 9. The “Aviokarta” portal reports that Aerosvit will end its 4 weekly flights citing “technical reasons”. Aerosvit introduced flights to Belgrade several years ago, hoping to profit from transit passengers heading to the former Soviet republics and the United States. However, the service never managed to attract large amounts of passengers. An aggressive marketing campaign in Belgrade last year led the airline to increase its 3 weekly flights to 4 this summer, only to be cancelled. The cancellation will be in force until the end of the 2011 summer season. Whether the service will resume during the 2011/2012 winter season remains to be seen. Aerosvit will introduce several long haul flights to Asia this summer.

Since the implementation of the Open Sky Agreement in Serbia in 2009 another high profile national carrier, British Airways, cancelled its services. Due to company restructuring Greece’s Olympic Air also terminated flights to Belgrade only to resume its Athens service this summer. Furthermore, the Czech national carrier, ČSA, is also considering dumping Belgrade as it struggles with its own financial problems. Nevertheless, excluding Aerosvit, Belgrade Nikola Tesla Airport is currently served by 17 national carriers, increasing to 18 on June 20 when Croatia Airlines commences 2 weekly flights to the city. The three airlines with the largest share of passengers operating out of the Serbian capital are all national flag carriers – Jat Airways, Montenegro Airlines and Lufthansa.

Adria asks for 50 million Euros

Adria requests for government aid

Adria Airways has asked the Slovenian Government for 50 million Euros in order for the national carrier to continue its operations. Although the European Union Competition Commission outlines that financial support to established airlines is in breach of EU competition laws on state aid, emergency support is allowed under EU rules for the rescue and restructuring of firms in difficulty. Next week, the Slovenian Government will set out conditions the airline must fulfil in order to be eligible for state aid. It did not disclose the amount it is willing to give to the national carrier. On Friday the government met to discuss potential business restructuring models for Adria, although no decision was made.

Adria Airways has cumulated up to 100 million Euros in debt so far. It has already been issued a short term loan this year, while Ljubljana Airport wrote off debt owed by its main customer to the tune of 2.4 million Euros. In return, it received a stake in the airline’s technical division. Despite recent media reports that the government plans to sell Adria, the airline’s management recently announced that privatisation is not on the cards.

Belgrade continues positive run

Belgrade breaks million passenger mark

Belgrade Nikola Tesla Airport handled 262.974 passengers in May 2011, an increase of 19.7% compared to the same month last year. The airport handled 3.844 arrivals and departures. By the end of May the airport has already welcomed over 1 million passengers - 1.033.627 to be precise. Compared to the same period last year, Serbia’s main airport has recorded a 21.1% passenger surge. This June the airport will see an increase in the number new routes offered as Spanair begins services from Mallorca, Jat Airways and Croatia Airlines to Dubrovnik, Air Memphis from Hurghada and Tunisair from Enfidha. Furthermore, Turkish Airlines will introduce an additional 2 flights to the Serbian capital, on top of its daily service.

You can review all the results from this year in the table below.

Month	PAX	Change (%)
JAN	178.732	▲ 14.2
FEB	162.813	▲ 19.2
MAR	188.826	▲ 12.8
APR	240.282	▲ 38.9
MAY	262.974	▲ 19.7

Stylish at 50

Adria applies retro livery for 50th birthday

Slovenia’s national carrier Adria Airways is celebrating 50 years of existence and has applied a special retro livery to one of its Airbus A320s (registration S5-AAT) in that honour. Adria commenced flights 50 years ago as Adria Aviopromet with a DC6 which wore the same livery as the Airbus pictured above. It was the first airline, other than JAT Yugoslav Airlines, to be based in Yugoslavia. Operating as a charter airline, Adria expanded not only out of Ljubljana but out of Zagreb and Sarajevo as well.

After the breakup of Yugoslavia it became the national carrier of Slovenia, operating a modern fleet of short haul aircraft. Today the airline has a base in the Slovenian capital as well as Priština. Adria is a Star Alliance member and has been trying to position itself as a regional leader through a strong regional network.

Adria today faces an uncertain future as the carrier struggles with mounting debt and possible privatisation, however, the airline has achieved a lot in the past 5 decades. This year, Jat Airways will celebrate 84 years of existence on June 17, Croatia Airlines 22 on July 20 with B&H Airlines and Montenegro Airlines celebrating their 17th birthday on August 12 and October 24 respectively.

B&H’s Zurich service in trouble

Low interest for B&H’s Zurich flights

Following B&H Airlines’ recent suspensions of high profile routes to Vienna and Frankfurt, Zurich is next on the chopping block, insiders say. The Sarajevo to Zurich line is failing to attract passengers and flights are often cancelled. The airline did not operate its Tuesday and Wednesday service this week. On a regular basis, the flights see at least 1 cancellation per week. B&H Airlines serves the Swiss city 7 times per week, 3 of which go via Banja Luka. All flights are operated with an ATR72. Sources from the airline say that B&H is hoping for higher booking numbers as the peak summer season approaches. Before its suspension from B&H’s timetable, Vienna also experienced similar cancellations but was given a trial period of several months to prove itself as a sustainable route. In the end it didn’t.

Turkish Airlines, which owns 49% of the airline, is soon to name a new CEO for the Bosnian carrier. Although the Turks are eager to take over the majority of shares in B&H, a recent revision of the purchasing agreement firmly cements that the company will remain in government ownership until further notice. Despite a sharp increase in passenger numbers, B&H has also experienced a sharp increase in losses this year and plans are being made to phase out 1 ATR72. Besides Zurich, B&H operates flights to Istanbul, Gothenburg, Copenhagen, Amsterdam and Stockholm. Its most popular flights continue to be Istanbul and Amsterdam.

Adria denies Air India takeover

Adria to stay in Slovenian hands

The CEO of Adria Airways, Klemen Boštjančič, has denied media reports that Air India is interested in taking over the Slovenian national carrier. Boštjančič said that although he did meet up with Air India's management recently there was no talk of a potential takeover. “We discussed cooperation on cargo routes and the possibility of introducing passenger flights between the two countries”, he said. However, insiders from the airline say that the management wants to see Adria in the hands of the German national carrier Lufthansa. On the other hand, nobody wants to take over an airline burdened with debt. Adria offers the greatest number of flights to Germany from Ljubljana and Priština out of all of its other markets. It is a Star Alliance member, like Lufthansa, and feeds the German carrier with generous amounts of transit passengers.

Klemen Boštjančič said that in order for Adria to survive it needs to open new routes, cut costs and get more business. In the first 4 months of the year Adria carried 306.993 passengers. As the airline celebrates its 50 years of existence with debt amounting to 100 million Euros it is not alone. Every single EX-YU national carrier is expected to finish 2011 with losses.

Which airline do you think should takeover Adria, if any? Send a comment.