Tag Archives: Aurora Airlines

Aeroflot updates its strategy to 2028, Aurora to be sold

Aeroflot has issued this statement:

The Board of Directors of PJSC Aeroflot held a meeting on July 16 at which Aeroflot CEO Vitaly Saveliev presented an updated Aeroflot Group strategy for the period through 2028.

Under the updated strategy the Group will target 130 million passengers in 2028. The Group’s fleet is expected to reach 600 aircraft, of which 235 will be Russian-built.

The Strategy also calls for additional differentiation among the Group’s airlines in terms of their individual priorities and operating models.Aeroflot will focus on developing long-haul operations.

Pobeda will focus on budget travel and will aim to carry 55-65 million passengers in 2028. Further development of the Group’s low-cost carrier will help significantly reduce average ticket prices for economy-class travel and increase air transport accessibility in Russia.

Meanwhile, Rossiya will focus on the Russian domestic market, including flat fares on socially important routes, as well as on operating Russian-built aircraft.

Aeroflot CEO Vitaly Saveliev said:

“Key aspects of the updated strategy were developed at the end of 2019. Recent developments caused by the coronavirus pandemic showed us that we are on the right track. The updated strategy will make air travel more affordable and increase mobility, providing additional support for Aeroflot Group’s future growth.

“The strategy through 2028 is called 30/30, as it calls for an increase in passenger traffic by 30 million, and a decrease in the average fares for economy-class passengers in Russia by 30%. It is an ambitious goal, but I believe that we can achieve it and put Aeroflot Group among the 10 largest global aviation groups.”

Note: Aeroflot Group will sell its 51% share of Aurora to the minority owner.

Aeroflot aircraft photo gallery:

Aeroflot slide show:

https://airlinersgallery.smugmug.com/frame/slideshow?key=x4M66Z&speed=3&transition=fade&autoStart=1&captions=0&navigation=0&playButton=0&randomize=0&transitionSpeed=2

Aurora signs letter of intent to acquire 5 Dash 8-400 aircraft

During the Dubai Airshow, De Havilland Aircraft of Canada Limited (De Havilland Canada) announced that Aurora has signed a Letter of Intent (LOI) to purchase five Dash 8-400 aircraft.

Aurora, a subsidiary of Aeroflot, is based in Sakhalin, Russia. The airline currently operates eight Dash 8 aircraft, including two Dash 8-400 turboprops.

Aurora Airlines to add the Vladivostok – Beijing route

Aurora Airlines will add twice-weekly service linking Vladivostok, Russia and Beijing with Airbus A319 aircraft starting on January 20.

Aurora Airlines is a subsidiary of Aeroflot. The carrier is named after the Russian cruiser Aurora.

Its head office is in Yuzhno-Sakhalinsk, Sakhalin.

Top Copyright Photo (all others by Aurora): Aurora (Russia) Airbus A319-111 VP-BWL (msn 2243) SEN (Keith Burton). Image: 932471.

Aurora Airlines aircraft slide show:

Route Map:

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 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:

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: