Sunday, January 18, 2015

B&H Airlines in critical state

B&H Airlines left with a single aircraft

B&H Airlines is in a critical state and has been forced to ground one of two of its ATR 72 aircraft after the Federal government ordered the carrier to repay the state over 800.000 euros in passengers taxes on January 7, which were originally intended for the airline and its development. B&H has accused the Federal Minister for Transport and Communication, Enver Bijedić, of neglect, lobbying in favour of competitors such as Wizz Air and Turkish Airlines, and complete unprofessionalism. B&H’s accounts have been blocked and the airline says it is in urgent need of two million euros in order to maintain operations and return one of its ATRs to the fleet.

B&H Airlines’ trade union launched a scathing attack on the government and Minister Bijedić, accusing them of the dire situation the carrier has found itself in. “You are incapable of understating that the problem is not that we have two aircraft, rather, it’s that we fly to three destinations. You are incapable of understanding that due to your lack of interest as a Minister over the past four years, you personally oversaw us being squeezed out from one of our most profitable routes - Istanbul. Due to your negligence you have allowed Turkish carriers to operate 25 weekly flights to Sarajevo compared to none of ours”, a letter from B&H Airlines’ trade union reads. Furthermore, the carrier says it has already drafted business plans for 2015 worth over four million euros, which would see it operate charters to Italy and Turkey, launch flights to Podgorica and Skopje, and conclude a one-year business arrangement with Air Serbia. However, the union says all of these have been put into doubt due to the airline’s current financial state.

The trade union says that many of the airline’s staff have not been paid in months and are holding the Minister personally accountable. “It is sad for a minister to brag that he brought direct competition [Wizz Air] to an airline owned by the Federation government of which he is a representative of and even gave them subsidies for it”, the letter reads. Earlier this week, Mr. Bijedić said that B&H Airlines has an incompetent management and is overstaffed but added that the company should maintain operations as it is in the state’s interest to have a national carrier. The airline’s trade union notes that the minister’s statements mean little without concrete help which, it says, is “much needed”.

65 comments:

  1. B&H Air reminds be a lot of Jat during 2003-2013. But I completely agree with the union.

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  2. Tarom to get 15 aircraft delivered in 2015 among which 2 A330.

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    Replies
    1. Is that a previously scheduled delivery or some kind of sudden lease agreement?

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    2. Buy-back agreement with Airbus.
      Actually, Airbus is providing them with a financial agreement to replace their entire fleet.

      OTP-PEK starts in September.

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    3. Air Serbia must pay attention to what is going on with Bulgarian and Romanian long haul plans...

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    4. Airbus A319 to Sofia today, I hope it's not because the Atr is out of service.

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    5. This info is based on only one article published on Romanian web site back in March of last year. There is no confirmation of this info from independent sources, nor from Airbus, nothing on their order book either. Just recycling old fake news.

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  3. @AnonymousJanuary 18, 2015 at 11:23 AM

    any links that can very your claims, so far I can see is

    4 Airbus A318-100 - To be retired by 2016
    2 Airbus A310-300
    7 ATR 42-500
    2 ATR 72-500
    4 Boeing 737-300
    5 Boeing 737-700/800

    nowhere it says order for 15 new aircraft or 2A330.

    Just to recap 1 A330 is around $230 million, to lease 10 year old aircraft would set you back $7-8 million per year, 10 year old A330 isn't cheap either at $80-100 million a pop. 2 A330 and fleet of 10 A320s will cost an arm and a leg especially for an airline that has barley 2.2 million passengers and has been bleeding money left right and center.





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    1. http://www.incont.ro/transporturi/compania-aeriana-nationala-isi-schimba-flota-tarom-vrea-avioane-moderne-si-economice-de-la-airbus.html

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    2. Ugh, this is 10 months old. Anything new?

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    3. @Tarom officials announced plans to buy modern and economical aircraft. After discussions with the Americans from Boeing, and Airbus representatives, the most advantageous bid had come from Europe. According to sources close to the deal, all 24 aircraft will be given in buy-back scheme to take in leasing from Airbus, either new ones or some good but second hand.
      To cut costs motley fleet maintenance, management wants to TAROM aircraft hangars from the same manufacturer. In addition, we try to get rid of inefficient planes.
      The company currently has four such aircraft - A318 - very good aircraft, but only carrying 110 passengers on board. Most likely will be replaced by Airbus A319, which consume as much, but offers a capacity of 130 seats.
      Airbus A319 would replace same and the 4 Boeing 737-700 with a capacity of 116 passengers. Boeing 737-800, which can carry 189 passengers, not business class, so it will be replaced with Airbus A321.
      TAROM has four Boeing 737 fleet, for 20 years, which means implicitly more expensive maintenance, so replace them with four new generation Airbus A320, which offers a capacity of 30 places higher . The two Airbus A310 aircraft with a capacity of 210 passengers, may be given in exchange for two Airbus A330 aircraft.
      ATR aircraft used on domestic flights will be replaced with the same model new generation. TAROM says it will make a final decision after completion strategy, but with the Ministry of Transport. Either way, I must hurry, deparece Eastern European companies are expanding in Romania. Air Serbia started to fly this year from Otopeni airport and increase the number of flights LOT.
      Industry sources say that Airbus has already agreed to take over the buy-back scheme TAROM and will ship next year, new or used aircraft, but not older than five years. Belonging to national airline fleet would be half the price of the leased aircraft that are safer and more economical, say experts. From economy to fuel and maintenance, the operator could win 25 million annually.@



      It would be smart to have one manufacturer fleet, less cost on the maintenance, I guess TAROM is looking at 4 A319 and 10 A320, 2 A330 perhaps if they can swap them and all new fleet of 9 ATR 72 600.

      That would give them a fleet of 25 aircraft, doable.

      good luck to them






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    4. http://www.zfenglish.com/companies/tarom-increases-average-load-factor-by-3-and-expects-2-2-million-passengers-by-yearend-13548997
      Sa tako malim LF cisto sumnjam da ce se to desiti
      INN-NS

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    5. Ер Србијина попуњеност је знатно нижа од тога...

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    6. @9:26
      TAROM ima 24 aviona.
      AirSERBIA ima 19 aviona.
      AirSERBIA ima manje frekvencija dnevno iz BEG-a nego TAROM iz OTP i ostalih gradova u Rumuniji iz kojih leti.
      AirSERBIA je prevezla vise putnika u 2014. od TAROMa.
      Kako moze LF ASLa da bude niza od LFa TAROMa, molim te da mi objasnis?!

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    7. Anonymous at 9:26 PM
      ahahaahhahahaahhahahahahahahahahahaahahah
      Da ASL ima LF od 20-30%
      I zato je najbolje ocenjena na AirlineRatings.com u EX YU AVI i ima najvise prevezenih putnika ;)
      INN-NS

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    8. Klinac, kakve veze ima popunjenost aviona sa kvalitetom usluge?
      Gro putnika leti izmedju aprila i septembra, van toga su manje vise prazni avioni.

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    9. E to prvi put cujem od vas da su Avioni manje vise prazni izmedju OKT - MAR
      Naravno da ima i usluga veze .
      Pa taj Gospodin sto navodi ASL ima manji LF od RO a verovatno ne zna da samo 3 Aviona od 24 imaju sa vise od 120-130 sedista
      INN-NS

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    10. Mogu imati koliko hoces mesta kada ona zvrje prazna. Ja znam da je tebi jednostavno nemoguce da bude ista lose sa JU ali cinjenica je da im je kriminalna popunjenost ujutru i uvece.

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    11. Znam da neke linije ne idu bas dobro ali nije istina da imaju manji LF od RO .
      I sedista ASL-u ne zvrje prazna.
      INN-NS

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    12. Oprosti, zaboravio sam da ti je to verovatno rekao kolega pilot u MH, OS, IR, Ek ili gde vec.

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    13. Ja poznajem nekoliko Pilota u raznim kompanijama ali ja ono od pre 2 dana nisam napisao.
      A otkud vi znate da je LF od ASL ispod RO kad nije.
      U ostalom videcemo kad ASL bude profitabilna ja se nadam .
      INN-NS

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    14. Ja sam to napisao jer znam kao cinjenicu.

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  4. Anyone have an idea what this 1 year business agreement B&H is planning with Air Serbia?

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  5. Montenegro Airlines otvara liniju prema Zagrebu

    http://mondo.me/a419781/Info/Drustvo/Montenegro-Airlines-otvara-liniju-prema-Zagrebu.html

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    Replies
    1. Too little, too late.

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    2. This is such a disaster waiting to happen. Serves them right for turning down JU which is their only natural ally.

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    3. Explain "natural" and who are other natural ASL allies.

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    4. JU charges €177 for flights from Zagreb to Montenegro...

      Not to mention three daily from Podgorica and four daily from Tivat. More options, more connections and a better product.

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    5. About 50% of Montenegro Airlines departures are to Belgrade, other half everything else combined. Pretty good definition of "natural" right there.

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    6. This is a private blog but rightly or not, I suggest containing two central lines, one for topics in connection with both Air Serbia and BEG and the other line for topics in connection with the rest of the Ex-Yu airlines and airports. It is really boring to non-stop have off-topic discussions about Air Serbia and BEG under headlines which has nothing to do with either AS or BEG!

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    7. What can we do when Serbian aviation and Air Serbia provide us with most topics. Others are free to post about anything they please.

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    8. @Anon at 3:21 PM

      There are number of comments today about TAROM and no issues there even though Romania is not part of Ex YU, so I am not offended when benign ASL/BEG comment pops up.

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    9. I actually think it's stupid this blog is limited only to Ex-Yu countries. I personally feel much closer to Romania and Bulgaria than Croatia, especially now that the regional air-traffic is getting integrated, far beyond the artificial Ex-Yu boundaries.

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  6. Very sorry for OT but
    I don't understand how airSerbia can't fill a A319 to Skopje but can do it to Sarajevo or Sofia?

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    1. Sofia is a bigger market and Sarajevo is not served by so many airlines so less competition. Skopje also has Wizz Air.

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    2. Sofia is a MUCH bigger market than Skopje and i won't be surprised seeing the A320 there once they open flights to Spain.

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    3. Pa Air Serbia leti sa Airbusom 5 puta sedmicno za Sarajevo!

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    4. A319 will probably serve SKP when ASL starts transatlantic flights. Wizz can't connect to ORD, YYZ and JFK.

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    5. but TK and OS can , you are bit late on this mate

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    6. sure can but not at wizz prices.

      TK was also late with North American expansion compared to LH, AT, BA etc but it still succeed. Being late to the game does not mean automatic failure. Besides, JU will add more choice to Skopje customers. Isn't more choice what SKP wanted?

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    7. Besides... Skopje has more than 10 buses and 2 trains per day to Belgrade and the distance is 440km mostly highway. My guess is that mostly transfer passengers use the airline.

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    8. LOL @ trains, Between Vranje and Doljevac these train runs at a bicycle lady speed, 20 kmh or so, the entire of 130 kilometers route. None sane would use them. And busses also pass through slow area with no motorway. At the end when a bus comes to Belgrade you need to use additional transport to reach the airport

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  7. At least Jat was struggling.

    If they did not have enough passengers to a certain destination, they were introducing two legged lines.

    Like
    Belgrade - Malta - Tripoli,
    Belgrade - Larnaca - Tel Aviv
    Belgrade - Copenhagen - Stockholm (if I remember correctly)
    Belgrade - Beirut - Dubai...

    They did not wait for a good fortune. They werent satisfied with 4 lines, two of them having strong competition, like B&H...

    In 2012, Jat was quite close to Croatian Airlines in the number passengers, let's not forget...

    (Of course I do not wish old JAT, I am just saying how it was)

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    Replies
    1. There was also Gothenburg, I think it also went via Copenhagen and Amsterdam-Brussels at one point.

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  8. Anybody know if rumours about Wizz Air starting flights from Podgorica and Skopje to Poland are true? Flights are to be announced any time after the 18th January?

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  9. OT: New outlook Wizz in near future

    http://i.imgur.com/gz27xE5l.jpg

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    Replies
    1. I just ate my lunch and now I want to throw it up...

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    2. Looks like Bosnian Wand and Whizz had a baby bus

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    3. Wizz Air Bosnia :)
      INN-NS

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    4. Wizz Air Serbia.....actually has a nice ring....lol

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  10. Daj boze da se ne desi isti scenario kao i sa MA pa da posle dodje W6 u SJJ.
    Nadam se da se to nece desiti.
    INN-NS

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  11. It is a picture made by a poster of airportal.hu for makin fun of the alleged new colors of Wizz.

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  12. For all of you interested, you can follow the below link to see some pictures from today's hawk training at BEG. The hawk's role is to chase away pigeons and other birds away from the airport.

    https://www.facebook.com/GreekAirNews/posts/862202003842417?notif_t=notify_me

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    1. What I find particularly interesting is the JA bird in the background. Could it be that Jat Tehnika is servicing their aircraft?

      https://fbcdn-sphotos-f-a.akamaihd.net/hphotos-ak-xap1/v/t1.0-9/10940451_10152830220837530_2968790312482029994_n.jpg?oh=bf6d729b39f8f6b39f838de6ba85500f&oe=552755C1&__gda__=1429494420_873350345628a785f82d7090b71c63da

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    2. It seems now they're also servicing Cargoair from Bulgaria.

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    3. It's not a hawk, it is an eagle.

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    4. Ah.. thanks for the correction.

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  13. This comment has been removed by the author.

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  14. OT: Does anyone know what happened with JU's BEG-SPU route for the upcoming summer season? I was just checking out the timetable and there are no flights before 15 May this year. It's 2-3 weekly on B737/A319 with no ATRs in sight. Wasn't JU going to increase their presence in SPU and resume these flights earlier this year (towards the end of March if I'm not wrong)? Maybe they're still revising their summer schedule due to possible ATR shortages? Any info?

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    Replies
    1. They suspended all changes until they finalise the schedule. It's irresponsible but it's JU. Those who book their flights might get rescheduled and so on.

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    2. I guess they are still adjusting summer season flights. Everything should be known by late February/early March I assume.
      I think SPU and DBV will go daily during the peak of high season.

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    3. tako se isto moze izgubiti putnike - slab management sta se toga tice.
      Druge kompanije rade sada na novom zimskom redu 15/16 i atvaraju rezervacije za ove nove letove.
      Dobro za Star.

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  15. Pozdrav,jedna ispravka,drugi avion BH Airlinesa nije prizemljen,već je na servisu u Njemačkoj,i treba uskoro da se vrati u Sarajevo.

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  16. BH Airlines has not forced to ground one ATR,it on the service check in Germany

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    Replies
    1. Inform the B&H Airlines union of that. They say grounded.

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