50 SKY SHADES - World aviation news

Russian government agrees to bail out UTair Airline

Download: Printable PDF Date: 19 Dec 2015 04:16 category:
Publisher:
Russian government agrees to bail out UTair Airline - Airlines publisher
Tatjana Obrazcova
Country: Russian Federation Aircraft: Airplanes Airline: UTair
Source: ATW

The Russian government is stepping in to support UTair Airline with Russian prime minister Dmitry Medvedev signing a resolution guaranteeing RUB9.5 billion ($138.6 million) to help secure loans.

UTair faced financial difficulties in 2014 due to economic changes and a decrease in passenger demand. It reported a 2014 net loss of RUB61.66 billion ($1.09 billion). In February 2015, it was announced the carrier could apply for state guarantees. UTair has since launched a cost-cutting program, reduced its fleet and capacity, and sold some of its subsidiaries.

At the end of November, Russia’s Tyumen parliament agreed to a capital contribution of RUB4.289 billion ($64.8 million) to UTair as part of a plan to bail out the carrier. The Tyumen region’s decision followed an announcement by Russia’s Khanty-Mansi autonomous area that it approved a RUB11.5 billion capital injection to “support the regional airline routes development steadiness.”  



Loading comments for Russian government agrees to bail out UTair Airline...


Recommended

Garmin GI 275 electronic flight instrument CDI/MFD ready for helicopter installations

Garmin International announced that the GI 275 electronic flight instrument is ready for installation in select Part 27 Federal Aviation Administration (FAA)-registered helicopters via Field...

First in the world to obtain Biosafety Trust certification- Fiumicino and Ciampino

Major international recognition for Fiumicino and Ciampino airports in the fight against the spread of Covid-19 and in preventing biological risk from pathogens. The two Rome airports managed by ADR a...

FAI partners with Atalanta Golden Yachts to provide private jet charter service

FAI rent-a-jet signed a MoU with Greece-based leading luxury yacht management company, Atalanta Golden Yachts to provide luxury VIP air charter services. Effective immediately, FAI will...

First e-delivery in Asia Pacific for Airbus Helicopters

Indonesia PT Smart Cakrawala Aviation has become the first customer in Asia Pacific to take delivery of its new H130 helicopter facilitated through a specially arranged e-acceptance process, which com...