AZAL continues to suffer big losses

Baku/20.12.13/Turan : Nine months 2013 revenues of Azerbaijani airlines passenger traffic increased by 12.8 % with an overall rate of passenger traffic compared with the same period last year to 104.3 %. However , their losses during this period is estimated at 23.5 million manat.

The State Statistics Committee told Turan, that the revenues of three airlines (Azerbaijan Airlines, Turan Air and Silk Way Business Aviation) passenger traffic totaled 191,689.7 thousand manats. Only in the summer season ( July-September) the airlines gained 77.8 million manat. The costs of the airlines amounted to 215,110.9 thsd manat, increasing by 3.4%.

In January - September 2013, the airlines transported 1,280.6 thousand passengers in Azerbaijan (+4.3 %). The share of AZAL accounted for 99.5% of the traffic.

Experts attribute the loss-making activities of the state airline, which has lasted for more than 10 years , with subjective factors . The fact is that virtually all ground airport services , and even onboard catering services of CJSC Azerbaijan Airlines are provided by the ??little group of companies Silk Way Holding. This holding , according to local press , belongs to the family members of President Ilham Aliyev , and uses on an opaque legal basis the infrastructure established by the state. Neither the national airline CJSC Azerbaijan Airlines, nor LLC Silk Way Holding publishes its financial reports on the corporate sites or in the media.

In 2012, carriers of passengers transported by air transport 1.6 million people ( 14.3 %) and thus suffered a loss of 33.2 million manat. - 08B