Vnukovo begins to make changes under its new General Director,but tight finances limit room for manouvere

Published: 10/25/1999

Alexander Klimov, Deputy General Director of Vnukovo Airlines, reported that VA plans to carry 1.8 m passengers in 2000. The company says however, that it will see a fall of passengers below the 1.5 m carried in 1998 to a figure close to 1.4m for 1999. To reach its 2000 target of 1.8 m passengers, VA plans to employ additional Tu-154Ms and Il-86s. The airline will not acquire new aircraft but repair some of its existing fleet a large proportion of which are currently out of operation. Management is in the process of seeking loans to fund the repairs. Newly appointed General Director, Alexander Krasnenker's actions to improve VA have recently received the support of the airline's board, and include better utilisation of personnel, decreases in administrative staff and the paying of back pay. Klimov said that the company had recently made substantial progress in reducing its debts, although did not clarify how much and in what period. The company has stated that it also plans to improve its domestic image through the improvement of reliability and punctuality of its flights.

Article ID: 1008