The departure of yet another airline from Sheremetyevo sends out some very negative signals (303 words)

Published: 10/4/2001

Moscow's Sheremetyevo Airport has suffered another blow with Krasair now moving its operations to Moscow's Domodedovo Airport -controlled by the East Line Group - following Transero's earlier exit. The move by Krasair will undoubtedly underpin Domodedovo's claim to be Moscow's alternative international airport, as it further expands domestic connection options for incoming passengers and also offers a considerable feed for international airlines operating out of Domodedovo, such as Transaero. However, Domodedovo has its own problems too and the celebration of the arrival of Krasair is somewhat marred by the suspension of operations by Swissair and Sabena, which the airport poached from Sheremetyevo in August 2001. The increase of domestic connections may still entice other carriers to the newly modernised airport and the names of British Airways and Lufthansa have been frequently mentioned as being attracted by the airport's better facilities, but held back by the lack of domestic feeds. For the current management team at Sheremetyevo, facing the loss of 5% of its total traffic and the completion of the new terminal 3 now being pushed out until 2004, the situation is looking increasingly uncomfortable, not so say untenable, with many carriers now regarding Sheremetyeov as an expensive and crowded airport with poor facilities. For Aeroflot, the implications of the move should also not be underestimated, given its historic dependence on domestic carriers bringing passengers to its major hub. Krasair's move suggests that one potential feeder is now lost and could be followed by others, at a point when the airline is in the early stages of developing its hubs and regional network. So far, the regional network has met with mixed success and relationships with other major carriers such as Sibir still appear embryonic.

Article ID: 2798