Category Archives: Aeroflot Russian Airlines

Aeroflot Group’s full year 2013 net profit increases 41.9% to $203.3 million

Aeroflot Russian Airlines (Moscow) today announced the consolidated IFRS financial results of the Aeroflot Group (Moscow) for the twelve months ending December 31, 2013. Key financial highlights:

• Full year 2013 net income increased 41.9% to RUB 7,334.7 mlm ($203.3 million);

• Full year 2013 revenue increased 15.0% to RUB 290,955.8 mlm ($9.135 billion);

• Full year 2013 traffic revenue increased 16.4% to RUB 257,545.7 mlm ($8.086 billion);

• Fuel costs for 2013 rose 11.2% to RUB 79,127.8 mlm ($2.484 billion);

• Operating costs excluding aircraft fuel, staff costs and depreciation and amortization for full year 2013 increased 9.9% to RUB 133,354.0 mlm ($4.187 billion);

• Full year 2013 basic and diluted earnings per share (EPS) were both RUB 7.6 (US cents 23.9), which is 15.2% higher than basic EPS in 2012 and 16.9% higher than diluted EPS in 2012.

Other 2013 highlights

Aeroflot became the official carrier of the football club Manchester United in 3Q 2013. The long-term sponsorship agreement helps position Aeroflot as a premium global brand.

In October 2013 Aeroflot announced plans to launch Russia’s first national low-cost carrier under the brand Dobrolet. The airline will operate as a 100%-owned subsidiary of Aeroflot. Since the October announcement Aeroflot has worked closely with relevant government authorities to ensure that necessary legislation and regulations are in place to allow for the LCC model to succeed in Russia. Aeroflot views the LCC market as a significant source of future growth and an opportunity to expand its business with negligible cannibalisation. The Group plans to launch Dobrolet this year.

In November 2013 Aeroflot introduced Aurora Airlines, a unified Russian Far East subsidiary based on the legacy assets of Vladivostok Avia and Sakhalin Aviatrassy (SAT). The roll-out of Aurora Airlines presents a strong opportunity to capture market share in the Far East, a region with few transport alternatives. The Group expects that Aurora will fly 2.4 million passengers a year by 2018. The creation of Aurora contributes to the consolidation and restructuring of Aeroflot’s legacy subsidiaries.

In December 2013 JSC Aeroflot was granted permission by the Central Bank of Russia to introduce a depositary receipt program. The following month Aeroflot launched a Level 1 American Depositary Receipt (ADR) program.

Copyright Photo: Antony J. Best/AirlinersGallery.com. Airbus A321-211 VP-BTL (msn 5881) in Manchester United special promotional livery arrives at London (Heathrow).

Aeroflot:

Aeroflot passenger is fined over $19,500 for drunken fight on an airplane

Aeroflot Russian Airlines (Moscow) has issued this statement concerning a drunken passenger which caused the flight to make an unscheduled landing in Novosibirsk:

On February 18, 2014 Gagarin District Court ruled in favor of Aeroflot in its suit against Andrei Krivoruchko, the passenger whose actions on board led to an emergency landing. The defendant will have to pay 704,199.70 rubles (over $19,500) in total, including compensation for the losses borne by Aeroflot.

The incident happened on April 22, 2013 during an SU 206 flight from Moscow to Shanghai. As stated by the court, intoxicated Mr Krivoruchko behaved inappropriately and expressed an obvious disrespect for other passengers and the crew. He also threatened them with violence, physically resisted the crew members and did not comply with a written warning of the aircraft commander to stop violating the rules of onboard behavior.

As a result, the captain was forced to opt for an emergency landing at Novosibirsk airport. The unruly passenger was handed over to local authorities. Aeroflot filed a lawsuit on this issue in October 2013 and won the case.

However satisfactory for Aeroflot this adjudication is, it still cannot be considered too stringent by the standards of many other countries in Europe, Asia and America, where airborne drunken brawls are criminalized and a refusal to obey calls to order, acts of violence or attacks on members of the crew are punished with imprisonment from a few months up to 20 years. In some cases, jail term can be given even for smoking on board.

Since the beginning of 2013, Aeroflot sees a positive trend of hardening position of the Russian courts against airborne rowdies, including the area of financial responsibility for detrimental actions against the airline and other passengers. Nevertheless, the need of even more drastic measures against disruptive passengers is evident. Aeroflot stands firm on this issue and confirms its resolution not to leave violating the rules of onboard behavior without serious consequences.

Aeroflot:

Aeroflot becomes the first Russian operator with Sharklets

Aeroflot Russian Airlines (Moscow) has taken delivery of its first A320 aircraft equipped with sharklets, becoming the first in Russia to benefit from these new fuel saving wing tip devices. Aeroflot’s pictured A320-214 VQ-BRV (man 5967, ex F-WWIS), powered by CFM56 engines, features a comfortable two class cabin, seating 158 passengers with 8 in business class and 150 in economy. The aircraft is named after a famous Russian chemist Alexander Butlerov.

According to Airbus, “Sharklets are newly designed wing-tip devices that improve the aircraft’s aerodynamics and cut the airline’s fuel burn and emissions by up to four per cent on longer sectors. They are made from light-weight composites and are 2.4 meters tall.”

Aeroflot was the first airline in Russia to operate the Airbus A310, with an entry into service in 1992, as well as the first to operate the A320 Family in 2003. The airline is operating the biggest Airbus fleet in the region with 90 A320 Family aircraft and 22 A330 Family aircraft.

Aeroflot:

Aeroflot reports record operating results for 2013

Aeroflot Russian Airlines (Moscow) has announced record operating results in the modern history of the company and Aeroflot Group for the twelve months ending on December 31, 2013. The airline issued this report:

Key drivers of the strong operational highlights included: a marked expansion of the route network, fleet enlargement and passenger traffic growth.

Highlights

Aeroflot standalone:

• Passenger traffic for the full year 2013 was a record 20.9 million. This represented 18.4% year-on-year growth, considerably ahead of the overall Russian industry growth rate of 14.2%. December 2013 passenger traffic was 1.6 million, a 17.0% rise over December 2012 (and well ahead of the 9.6% rise of the overall industry).

• Revenue passenger kilometers in 2013 totalled 50.5 billion, a year-on-year increase of 19.2% (versus 15.0% for the industry overall). In December revenue passenger kilometers increased 13.3%, versus 10.1% for the industry overall.

• In 2013 the company expanded its fleet, flying eight new Airbus A320s, five new Airbus A321s, three new Boeing 737-800s and four new Boeing 777-300s. Despite the larger fleet driving available seat kilometers 17.8% higher, the passenger load factor was 78.8%, or 0.9 percentage points higher than in 2012.

Aeroflot Group:

• Total passenger traffic in 2013 rose 14.3% year-on-year to 31.4 million. For December, passenger traffic was 2.3 million, a 13.3% increase over the same period a year earlier.

• Revenue passenger kilometers for 2013 increased 14.3% year-on-year to 85.3 bln. In December revenue passenger kilometers increased 6.9% versus the same period a year earlier to 6.3 billion;

• The passenger load factor for 2013 was 0.1 percentage point higher at 78.2%, despite a slight decrease (0.3 percentage points) in December versus the same period a year earlier.

Key factors that impacted the Group’s 2013 operating results:

• Aeroflot standalone continued attract more passengers by delivering a premium product at a competitive price, maintaining a strong safety record and expanding its network of routes.

• Charter subsidiary Orenburg Airlines redirected some of its capacity to European destinations from the Middle East and Asia due to political instability in those regions.

• Russian Far Eastern carrier Aurora Airlines was formed through the combination of Sakhalin Airways (SAT Airlines) and Vladivostok Avia, integrating the route networks and optimizing the fleets of the two formerly separate subsidiaries.

• Aeroflot discontinued its dedicated cargo fleet, switching to belly cargo operations.

The tables below provide key operating results for Aeroflot and Aeroflot Group.

Aeroflot standalone traffic figures

	Dec 2013	Dec 2012	Change	12M 2013	12M 2012	Change
Passengers carried (000s)	1,630.2	1,393.6	17.0%	20,902.4	17,656.1	18.4%
Revenue passenger km (mln)	4,689.4	4,139.4	13.3%	60,226.3	50,532.5	19.2%
Available seat km (mln)	6,390.9	5,623.5	13.6%	76,444.8	64,880.0	17.8%
Passenger load factor	73.4%	73.6%	(0.2pp)	78.8%	77.9%	0.9pp
Cargo + mail carried (tonnes)	14,806.8	16,154.6	(8.3%)	176,456.1	193,948.8	(9.0%)
Total revenue ton-kilometers – pax, luggage, cargo (mln)	489.1	458.4	6.7%	6,339.9	5,669.2	11.8%
Available cargo ton-kilometers (mln)	790.0	744.4	6.1%	9,848.7	8,881.1	10.9%
Revenue load factor	61.9%	61.6%	0.3pp	64.4%	63.8%	0.6pp
Revenue cargo ton-kilometers (mln)	67.1	85.8	(21.8%)	919.5	1,121.3	(18.0%)

Aeroflot Group traffic figures

	December 2013	December 2012	Change	12M 2013	12M 2012	Change
Passengers carried (000s)	2,316.3	2,044.0	13.3%	31,390.7	27,471.7	14.3%
Of which international	1,210.0	1,146.5	5.5%	17,391.4	15,963.3	8.9%
Of which domestic	1,106.3	897.5	23.3%	13,999.3	11,508.4	21.6%
Revenue passenger km (mln)	6,253.1	5,848.1	6.9%	85,273.3	74,617.2	14.3%
Of which international	4,051.7	3,966.1	2.2%	56,112.6	50,279.9	11.6%
Of which domestic	2,201.4	1,882.0	17.0%	29,160.7	24,337.3	19.8%
Available seat km (mln)	8,590.8	8,004.7	7.3%	109,063.8	95,598.1	14.1%
Of which international	5,600.4	5,426.4	3.2%	71,529.8	63,851.3	12.0%
Of which domestic	2,990.4	2,578.3	16.0%	37,534.0	31,746.8	18.2%
Passenger load factor	72.8%	73.1%	(0.3pp)	78.2%	78.1%	0.1pp
Of which international	72.3%	73.1%	(0.8pp)	78.4%	78.7%	(0.3pp)
Of which domestic	73.6%	73.0%	0.6pp	77.7%	76.7%	1.0pp
Cargo + mail carried (tons)	16,977.5	18,958.7	(10.5%)	204,554.1	223,771.7	(8.6%)
Of which international	9,116.7	12,034.9	(24.2%)	121,797.4	153,117.1	(20.5%)
Of which domestic	7,860.8	6,923.8	13.5%	82,756.7	70,654.6	17.1%
Total revenue ton-kilometers – pax, luggage, cargo (mln)	634.1	620.1	2.3%	8,666.1	7,925.7	9.3%
Of which international	406.3	424.5	(4.3%)	5,710.8	5,445.6	4.9%
Of which domestic	227.8	195.6	16.5%	2,955.3	2,480.1	19.2%
Available cargo ton-kilometers (mln)	1,027.8	1,001.8	2.6%	13,388.5	12,152.9	10.2%
Of which international	669.8	690.8	(3.0%)	8,872.6	8,351.7	6.2%
Of which domestic	358.0	311.0	15.1%	4,515.9	3,801.2	18.8%
Revenue load factor	61.7%	61.9%	(0.2pp)	64.7%	65.2%	(0.5pp)
Of which international	60.7%	61.5%	(0.8pp)	64.4%	65.2%	(0.8pp)
Of which domestic	63.6%	62.9%	0.7pp	65.4%	65.2%	0.2pp
Revenue cargo ton-kilometers (mln)	71.3	93.8	(23.9%)	991.5	1,210.0	(18.1%)
Of which international	41.6	67.6	(38.4%)	660.7	920.3	(28.2%)
Of which domestic	29.7	26.2	13.3%	330.8	289.7	14.2%

Copyright Photo: OSDU/AirlinersGallery.com. Celebrating “90 Years in the Sky”, Superjet 100-95B RA-89009 (msn 95017) in a special anniversary livery, arrives at the Moscow (Sheremetyevo) hub.

Aeroflot:

Aeroflot transfers 49% of the shares of Aurora Airlines to Sakhalin Oblast

Aeroflot Russian Airlines (Moscow) has transferred 49% of the shares of JSC Aurora Airlines to Sakhalin Oblast.

The transaction follows an agreement signed on November 6, 2013 in the presence of Prime Minister Dmitry Medvedev between Aeroflot and Sakhalin Oblast regarding joint ownership of Aurora Airlines. Under the agreement, shares of Aurora Airlines will be transferred in tranches from Sakhalin Oblast to other regions in the Far Eastern Federal District.

This transfer represents an important step in the creation of Aurora as a single carrier serving the whole of Russia’s Far East. The project will be developed through close cooperation with the administrations of regions in the Russian Far East.

Aurora Airlines was created following an order issued by the Prime Minister. Aurora is being built on the basis of two Far Eastern regional airlines, SAT Airlines and Vladivostok Avia, which since 2011 have been part of Aeroflot Group. Aurora Airlines aims to promote the social and economic development of Russia’s Far East by creating a more efficient and accessible system of passenger flights.

The creation of the Far Eastern regional airline is part of Aeroflot Group’s strategy to create a major airline group capable of competing on the global market. The strategy includes the establishment of three regional hubs, in the Southern, North-Western and Far Eastern federal districts. The Group aims to almost triple flight numbers by 2025, making Aeroflot Group one of Europe’s five biggest airlines by passenger numbers and turnover, and a top-20 global carrier.

Aeroflot’s share in the new company will be not less than 51%. Aurora Airlines launched operations in November 2013 after its first Airbus A319 (VP-BWK) (above) was painted and delivered. A Boeing 737-500 (RA-73002) is also flying in their colors.

Sakhalin Oblast according to Wikipedia is a federal subject of Russia (an oblast) comprising the island of Sakhalin and the Kuril Islands in the Far East. The oblast has an area of 33,600 square miles. Its administrative center and the largest city is Yuzhno-Sakhalinsk.

Besides people from other parts of the former Soviet Union, the oblast is home to Nivkhs and Ainu, with the latter having lost their language in Sakhalin recently.

All Images: Aurora Airlines (SAT Airlines).

Aeroflot:

Route Map: Combined SAT Airlines and Valdivostok Avia route map:

Aeroflot Group to take control of Rossiya Airlines on March 30

Aeroflot Group (Aeroflot Russian Airlines) (Moscow) will assume full commercial control of Rossiya Airlines (St. Petersburg) on March 30, 2014. According to the group, this step “continues the process of the successful integration of the subsidiaries that Aeroflot acquired from State Corporation Rostec in 2011.”

From March 30, 2014 all flights operated by Rossiya Airlines will be designated by Aeroflot’s IATA code (SU), and the code of Rossiya Airlines (FV) will cease to be used.

The assumption of commercial control marks a key step toward the full integration of Rossiya into Aeroflot Group, and is expected to generate additional revenues through the sale of flights operated by Aeroflot subsidiaries through the Group’s more than 200 interline e-ticket agreements, further strengthening Aeroflot’s financial position.

Rossiya was established in 1992 and was previously owned by the Russian government as a state airline. It is unclear at this time if Rossiya will remain a separate airline under the Aeroflot Group or it will be integrated at some point into Aeroflot Russian Airlines.

Copyright Photo: Ton Jochems/AirlinersGallery.com. Rossiya’s Boeing 767-3Q8 EI-DZH (msn 29390) arrives at the popular resort of Antalya, Turkey.

Rossiya Airlines:

Aeroflot:

Aeroflot reports net income of $545.2 million for the first 9 months of 2013

Aeroflot Russian Airlines (Aeroflot Group) (Moscow) issued its financial results for the first nine months of 2013:

Aeroflot has announced the consolidated IFRS financial results of Aeroflot Group for the nine months ending 30 September 2013.

Key financial highlights:

Net income for the nine-month period of $545.2 million, an increase of 84.1% versus 9M 2012
Revenue for the nine-month period was up 16.8% year-on-year to $7,032.7 million
Traffic revenue for the nine-month period grew 17.8% year-on-year to $6,259.0 million
Fuel costs for the nine-month period rose 11.4% year-on-year to $1,877.5 million (9M 2012: $1,685.0 million)
Non-fuel operating costs for the nine-month period increased 10.1% year-on-year to $4,305.4 million
9M 2013 basic and diluted earnings per share of $0.500 and 0.499, up 63.4% and 64.7%, respectively, from 9M 2012

Operational highlights:

Aeroflot Group passenger traffic grew 14.7% year-on-year in 9M 2013 to 24.0 million people, while revenue passenger kilometres (RPK) rose 16.2% to 65,363.0 million
Aeroflot standalone capacity rose 18.3% year-on-year in the period, while Aeroflot Group capacity was up 15.8% compared to 9M 2012

Aeroflot suspended operations of its cargo plane fleet in 2013, switching to belly cargo operations. This was the main factor driving the 8.6% decline in tons of cargo carried in 9M 2013 vs. 9M 2012

“Aeroflot Group’s strong financial results were driven by three factors. First, we offer clients a premium product at an attractive price. Second, we are managing costs effectively. Third, we are optimising the operations of our subsidiaries that are being integrated into the Group,” said Vitaly Saveliev, Aeroflot’s chief executive officer. “We are on track this year to serve the most customers in Russia’s modern history. At the same time we maintain our relentless focus on safety. This is bolstered by our aircraft fleet, which is the best in Russia and one of the youngest in Europe.”

USD mln, unless otherwise stated	3Q 2013	3Q 2012	*Change*	9M 2013	9M 2012	*Change*
Revenue	2,900.1	2,406.1	20.5%	7,032.7	6,020.7	16.8%
EBITDAR¹	931.6	552.6	68.6%	1,575.4	1,068.9	47.4%
Margin (%)	32.1%	23.0%	9.1 p.p.	22.4%	17.8%	4.6 p.p.
EBITDA²	779.3	407.1	91.4%	1,131.1	654.5	72.8%
Margin (%)	26.9%	16.9%	10.0 p.p.	16.1%	10.9%	5.2 p.p.
Operating Income	682.8	327.0	108.8%	849.8	425.1	99.9%
Margin (%)	23.5%	13.6%	9.9 p.p.	12.1%	7.1%	5.0 p.p.
Net Income	543.7	289.1	88.1%	545.2	296.2	84.1%
Margin (%)	18.7%	12.0%	6.7 p.p.	7.8%	4.9%	2.9 p.p.

(1) EBITDAR = EBITDA + operating lease expenses; (2) EBITDA = operating income + depreciation & amortization + customs duties

Operational performance:

Aeroflot Group reported strong traffic revenue in the first nine months of 2013 of $6,259.0 million, representing a 17.8% increase over the same period in 2012. Group passenger traffic rose 14.7% to 24.0 million people, while revenue passenger kilometres (RPK) was up 16.2% to 65,363.0 million. Aeroflot Group’s seat load factor was relatively flat at 79.1%.

Financial performance:

Aeroflot Group revenue in 9M 2013 increased by 16.8% year-on-year to $7,032.7 million, primarily due to strong growth of 19.3% in the passenger segment, which was balanced by a decline in cargo revenue of 10.9% after Aeroflot suspended its cargo fleet operations. Other revenue increased by 9.0% year-on-year to $773.7 million.

Fuel costs for the nine-month period increased 11.4% year-on-year to $1,877.5 million, driven by the significant growth in passenger traffic and the addition of new routes.

Non-fuel operating costs for the nine months of 2013 also increased in line with the growth in the Group’s operations, up 10.1% to $4,305.4 million, primarily due to year-on-year increases in aircraft and traffic servicing costs (up 17.9% to $1,252.7 million). Staff costs increased 11.7% year-on-year to $1,003.9 million.

Aeroflot Group operating income for 9M 2013 nearly doubled year-on-year to $849.8 million, representing a margin of 12.1%, compared to an operating margin of 7.1% for 9M 2012.

The Group’s net income in 9M 2013 was $545.2 million, up 84.1% from the first nine months of 2012.

Other 2013 highlights:

In the beginning of 3Q, Aeroflot was unveiled as the Official Carrier of Manchester United Football Club. The multi-year sponsorship positions Aeroflot as a premium international brand by aligning it with a global symbol of excellence.

In October 2013 Aeroflot presented plans to launch Russia’s first national low-cost carrier (LCC), a new 100% subsidiary to be known as “Dobrolet”. Ticket prices are expected to be on average 40% lower than mainstream carriers, thus attracting a new customer segment to air travel. Aeroflot views the LCC market as a sizeable growth opportunity and a chance to diversify its business without the risk of cannibalization. Dobrolet is targeting the start of operations in 2014.

In November 2013 Aeroflot announced the roll-out of Aurora Airlines, a new subsidiary focused on the Russian Far East that has been created from Group subsidiaries Vladivostok Avia and Sakhalin Airlines. The launch of Aurora represents a unique opportunity to achieve significant market share in the Far East where there are few alternatives to air travel. Aurora has an annual traffic target of 2.4 million passengers by 2018. The creation of Aurora is part of the process of consolidation and restructuring of subsidiary assets.

Copyright Photo: Stefan Sjogren/AirlinersGallery.com. Airbus A320-214 VP-BNT (msn 5614) in the retro 1956 livery lands at Stockholm (Arlanda).

Aeroflot:

SAT Airlines + Vladivostok Avia = Aurora Airlines

Aurora Airlines (Yuzhno-Sakhalinsk) was created today. The new airline name is the result of the merger of SAT Airlines (Yuzhno-Sakhalinsk, Sakhalin, Russia) and Valdivostok Avia (Vladivostok Air) (Vladivostok). Aeroflot Russian Airlines (Moscow) issued this statement:

Aurora Airlines was established by the order of the Prime Minister of the Russian Federation on the basis of two Far Eastern air carriers – SAT Airlines and Vladivostok Avia (both in Aeroflot group since 2011). The main objective of a newly created airline is to contribute to Russia’s Far East social and economic development through the system of more efficient and accessible passenger traffic.

Aurora’s business plan envisages a dynamic boost of operational activities: from 2013 to 2018 the number of flights should increase from 172 to 534; the number of destinations – from 30 to 128; and the annual traffic will reach 2.4 million passengers.

Aurora’s fleet will be strengthened by modern aircraft. In addition to the existing medium-haul Boeing 737s, the fleet will receive three Airbus A319 airliners by the end of this year. By the end of 2014, the carrier’s fleet is expected to comprise seven aircraft of this type. The regional fleet will include turboprop airliners with a capacity between 50 and 78 seats. Local air transportation services will be provided on aircraft with up to 20 seats. The total size of fleet should reach up to 40 aircraft by 2018.

Konstantin Sukhorebrik was appointed Director General of Aurora.

Aeroflot’s share in the new company will be not less than 51%. The rest of the shares will be gradually transferred to the Far Eastern Federal District governments.

This project is supposed to be developed in active cooperation with the local authorities. The Agreement on joint participation in JSC Aurora signed today by Aeroflot and the Government of the Sakhalin region is one of the major important steps.

“The consolidated Far Eastern airline was a strategic idea for a long time, from now on it is a reality,” said Vitaly Saveliev, Director General of JSC “Aeroflot”. “Aurora airline will help to enhance the economic potential of the Far East, increase the mobility of its population and contribute to the growth and reinforcement of local aviation personnel. The new air carrier will be an important part of Aeroflot Group and will strengthen its synergy. We expect an effective cooperation with the federal and regional authorities in the further development of this project, essential both for the Far East and Russia.”

Image: Aeroflot.

Aeroflot:

SAT Airlines:

Valdivostok Avia:

Aeroflot celebrates 10 years of flying the Airbus A320 Family of aircraft

Aeroflot Russian Airlines (Moscow) is celebrating 10 years of flying the Airbus A320 Family of aircraft. The airline issued this statement:

Ten years ago Aeroflot received its first aircraft from the Airbus family — an A319 which was named after the eminent Russian composer, pianist and conductor Sergei Prokofiev.

The A320 family airplanes meet all the requirements of security, reliability and passenger comfort. Aeroflot operates A320 aircraft on European and domestic routes. In terms of operational reliability and actual hours flown per aircraft, the company is among the world leaders. Cabins of this aircraft family are made in two-class configuration and designed to carry 116 (A319), 140 and 158 (A320), and 170 (A321) passengers.

Many aircraft of the A320 family which is the backbone of Aeroflot’s park are decorated with unique liveries and logos. You can find A320s with the Dobrolet retro livery, Winter Olympics mascots (see below) and the Yekaterinburg World Expo 2020 Bid Committee logo. A jet from A320 family became the Olympic Torch Relay aircraft and brought the Olympic flame from Greece to Moscow. The Olympic Torch Relay team will travel to the northern regions of the country (from Kaliningrad to Vladivostok) and to the Caucasus on board one of Aeroflot’s A320s.

Today Aeroflot’s fleet counts 140 airplanes, most of them are of A319/320/321 family. All the Airbus aircraft are delivered to Aeroflot directly from the manufacturer. The average age of an A320 family aircraft is 5 years.

Aeroflot’s fleet is one of the youngest in Europe. By the end of 2012, Aeroflot reached the fourth place among European carriers in terms of aircraft deliveries, according to Airline Business rating.

Aeroflot is celebrating its 90th anniversary in 2013. Aeroflot is Russia’s flagship airline and the largest national air company. Proudly being a member of the SkyTeam global airline alliance, Aeroflot with its partnering members provides service to more than 1000 destinations in 178 countries. Aeroflot operates one of the most modern and youngest fleets in Europe counting 140 aircraft formed by Airbus, Boeing and Sukhoi airliners with an average airplane age between five and six years old. In 2012 Aeroflot carried 17.7 million passengers (27.5 million passengers as Aeroflot Group), continuously showing the best results in modern Russia’s history.

Top Copyright Photos: Rolf Wallner/AirlinersGallery.com. Airbus A320-214 VP-BWD (msn 2116) taxies past the camera at Zurich.

Aeroflot Russian Airlines:

Bottom Copyright Photo: OSDU/AirlinersGallery.com. Airbus A320-214 VP-BMF (msn 3711) in the Sochi 2014 – 2014 Winter Olympics scheme arrives at the Moscow (Sheremetyevo) hub.

Aeroflot’s net income drops to $1.5 million for the first six months

Aeroflot Group (Aeroflot Russian Airlines) (Moscow) issued this financial statement:

Operating profit of Aeroflot Group for the first 6 months of 2013 according to IFRS increased by 70% and amounted to $167 million.

Revenue of Aeroflot Group for the first 6 months of 2013 according to IFRS increased by 14% and totaled $4,132.6 million.

Traffic revenue increased by 16% and amounted to $3,664.7 million.

EBITDA of Aeroflot Group amounted to $351.9 million having increased by 42% compared to the corresponding period of 2012.

Net income of Aeroflot Group for the first 6 months of 2013 totaled $1.5 million. In the corresponding period of 2012 net income amounted to $7.1 million. The main impact on the net income of the Group in the first 6 months of 2013 compared to the corresponding period of 2012 was caused by non-cash revaluation of finance lease liabilities denominated in foreign currency.

Copyright Photo: Ton Jochems/AirlinersGallery.com. The six Ilyushin Il-96-300s are assigned to the main holiday destinations such as Antalya, Turkey where RA-96010 (msn 74393201007) is pictured taxiing.

Aeroflot: