Confusion over timing of Murmansk Airlines sales tender

Published: 11/18/1999

There appears to be some confusion surrounding the preliminary date of the sales tender for Murmansk Airlines (MA), with some media reports citing 3rd December and others, the 23rd. The decision to offer the bankrupt airline for sale at $3m, was taken in September 1999 (www.concise.org. 16th September 1999). MA has been under external management since April 1999. The tender will organised by Russian State Property Fund. The principle shareholder of MA was formerly the Russian Aviation Consortium (RAC) led by Vnukovo. It transferred its 60% holding to the Russian State Property Fund in June 1999, after a prolonged struggle with the regional administration, over RAC"s apparent failure to comply with the investment terms attached to the stake. Potential buyers of the airline, which operates four Tu-154s, include Norilsk Nickel, a large nickel smelter company based in Northern Siberia and controlled by metals group, Interros and St Petersburg-based Pulkovo Airlines.

Article ID: 1095