Aeroflot To Launch New Budget carrier

Aeroflot is to launch a new budget airline, Dobrolet, which will start its operations in the Spring of 2014 – but only if Russia's legislation is changed, said Aeroflot. Dobrolet will be based in Moscow and will fly to popular destinations in the European part of Russia, using 737-800NG aircraft. It will operate eight aircraft in the first year and this will grow at an average of eight aircraft per year. "A low-cost carrier in Russia will not fly unless we harmonise our legislation with the existing norms of the global industry, such as non-refundable tickets; meals on board for a fee; baggage fees; the ability to hire pilots — residents of foreign countries, primarily to reduce the shortage of aircraft captains," said Aeroflot's CEO, Vitaly Saveliev. "We expect the appropriate legislative decisions to be taken by the end of this year. By doing so, the state will contribute greatly to the launch of the project of such huge importance for Russia." Aeroflot, which is the sole owner of the budget subsidiary, will invest around $100m in the first two years. Aeroflot Group's operating profit for the first six months of 2013 rose 70 per cent to $167m. Revenue claimed 14 per cent. Vladimir Gorbunov has been appointed director general of Dobrolet.

TAGS: Europe
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