Sunday, July 19, 2015

B&H Airlines’ AOC suspended

B&H Airlines loses its Air Operator Certificate

B&H Airlines’ Air Operator Certificate (AOC) has been suspended by the Bosnia and Herzegovina Directorate of Civil Aviation, prohibiting the indebted carrier from using its aircraft for commercial purposes. It marks the final chapter in the airline’s ten year history. B&H’s AOC has been suspend until at least October 2 and is unlikely to be renewed thereafter. The move ends any hope of the airline’s debt being written off by its providers, primarily the asset company HETA, which is owed over eight million euros for the financial lease of two ATR 72 aircraft. As a result, Icar Air is now the only Bosnian-registered carrier still in operation. The privately-owned airline, launched in 2000, holds a DHL contract and runs freight services between Sarajevo and the Italian coast with a small Let L-410 Turbolet aircraft.

B&H Airlines suspended all scheduled and charter flights on June 11, after HETA blocked its accounts on April 20 for a second time this year. Passengers who have booked their tickets with B&H have been urged to contact the airline’s legal department in order to be refunded. B&H Airlines was set up in 2005 on the foundations of Air Bosna, which also went bankrupt after amassing significant debt. The Federation government of Bosnia and Herzegovina is now considering setting up yet another successor. The Prime Minister of the Federation, Fadil Novalić, has suggested for the government to invest 2.7 million euros into the new airline. The carrier would take on part of B&H’s ninety-strong workforce and initially operate with a single leased aircraft.


During its ten year run, B&H Airlines was, for a short period, partly owned and managed by Turkish Airlines, which relinquished its share to the Bosnian state for free in 2012 following disagreements with the government. During its four year partnership with Turkish Airlines, B&H developed its route network and fleet with the introduction of jet-engine aircraft such as the Boeing 737-400 and the Airbus A319. However, the government has maintained that Turkish Airlines’ short-lived adventure in Bosnia destroyed the small carrier, leaving it with significant debt. Since then, B&H has been on a downward spiral with its route network diminished, its fleet grounded on several occasions and its accounts blocked.

29 comments:

  1. Finally. Good riddance!

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  2. So much taxpayers money wasted into nothing. For the millions that were spent, there is nothing to show for it.

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  3. The only time it was a serious airline was while they were controlled by Turkish Airlines. They really made a mess by chasing the Turks out.

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  4. I wonder what will happen with their two ATRs. How old are they?

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    Replies
    1. They are both 20 years old.

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    2. Those two ATRs do not belong to BH Airlines. They belong to HETA and the leasing company will lease them to some other airline...

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  5. They were like a cat with nine lives. They have avoided bankruptcy on so many question but its finally over.

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  6. Shows how much the country cares when no Bosnian media even reported this. I do feel sorry for those employed. Not all were political appointees.

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  7. PLEASE, spare the Bosnian taxpayers from this disaster. DO NOT open again another airline like that because some idiotic politicians and voters want to have the "prestige" of a national airline and a few well paid jobs.
    PLEEEEEEEASE!

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    Replies
    1. You mean like Air Serbia case?

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    2. LOL @ the guy comparing B&H to Air Serbia.

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    3. Actually, guy is comparing "taxpayers paying for another disaster", "idiotic politicians and voters who want to have "prestige" of national airline", and of course, last but by no means least "few well paid jobs (Dane and co.)". And btw. both JA and JU belong to category of small airlines, like all other ex-yu airlines as well. LOL! LOL! LOL! Cheers!

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  8. Does this mean that their JA code is now available for re-use? How can someone obtain it? Does anyone know?

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    1. 6 months have to pass since the airline stopped operations before an IATA code is available for re-use. Although they normally leave them dormant much longer than 6 months. Where there are legal issues involving unpaid creditors after an airline goes bust, they may not reassign a code for years.

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    2. What does code mean? Nothing. There are so many new codes available. Why would one wanted to take that code! I see no reason. Neither will some new BH airline ask for that code.

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    3. Of course it does. Its prestigious to have JA, instead of X3 or Y9 - especially if your airlines' name is Japanese Airways or Java Airlines or whatever. So, a startup with appropriate name could very well be interested in JA.

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    4. Ova ti je pravo dobra. JA može bit taman za novu firmu Juga Airlines

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  9. Here is what to do with the 2.7 million euros for a new airline:

    Kick out the management of Sarajevo Airport and hire an international management team.

    Attract Ryanair or Wizz (similar to Skopje).

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    1. Tuzla would be hurt by LCC at Sarajevo.

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    2. And what about subsidies? How much is enough? How much is to much?

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    3. G Aleksandre
      Koliko je to dobro za dzep gradjana toliko je lose za Aerodrom i Drzavu Federaciji BH.
      INN-NS

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    4. Tuzla is artificially high because the capital city's airport cannot meet the needs of the passengers. The passengers need low fares.

      Only enough subsidies should be offered to attract an LCC to make a base in SJJ. This means readjust the costs to match SKP, BEG, OTP, SOF, etc.

      The economic benefits (jobs, increased tourism, business traffic) of greater airline traffic is far superior to the few million euros that the government can fish out of these restrictively high airport fees at Sarajevo each year.

      The only people who will lose anything by implementing my suggestion is the various thieves and politicians who have their interests in keeping the current situation.

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    5. @6:55 a ti sve zabrinut za Federaciju ;)

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    6. Dosta je bilo deal-ova "dobrih" po državu... Garantujem da bi bilo koji LCC manje "štete" doneo državi i aerodromu nego što su prošli i trenutni...

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    7. Joj te anonimne garancije su naj jaće!

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  10. Great Aleksander!!! We invest in the low cost internatonal companies like Wizzair, Ryanair... Sarayevo, it's your moment!

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    Replies
    1. Da mene pitaju ja bi napravio novu kompaniju "Air Walter" u Sarajevu, prva linija Sarajevo-Peking. Reklama bi bila "Air Walter brani Sarajevo!" i još na engleskom i kineskom na sajtu airwalter.ba. Ma koji Wizz, ej kakve bi pare od Valtera napravili!

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