Saturday, January 23, 2016

Belgrade Airport plans €34.1 million investment

Belgrade Airport to resume development projects following record profit

Belgrade Nikola Tesla Airport will invest a total of 34.1 million euros in upgrading and expanding its facilities this year, as well as improving security measures. The fifteen million euro expansion of the airport's Terminal 2 building, initially planned to begin last December, has been delayed, with work to commence this year instead, although no firm date for the start of construction has been announced. It will include the development of an additional 11.000 square metres of space, four air bridges for widebody aircraft and four gates for accessing remote stands. This week, the European Bank for Reconstruction and Development (EBRD) said it is prepared to back the airport's development plans. "The EBRD is ready to take on an active role and give its support to the airport's development", the Minister for Construction, Transport and Infrastructure, Zorana Mihajlović, said, after meeting with EBRD officials. She did not elaborate on how exactly the international financial institution could be involved in the project.

The airport's Managing Director, Saša Vlaisavljević, says some 6.5 million euros are currently being invested in upgrading safety equipment and technology, with the purchase of additional x-ray machines, body scanners, fire trucks, bomb detectors and other screening devices in order for the airport to meet the United States Transportation Security Administration's strict standards, a prerequisite for flights to the US, planned to commence this June. Furthermore, the overhaul of the airport's Terminal 1 building will resume this year and space will be made for additional waiting areas in order to improve amenities for transfer passengers connecting onto other flights. Mr Vlaisavljević notes that all of the improvements will be financed from the airport's own funds. According to the Managing Director, the airport recorded a net profit of 21.1 million euros in 2015.

Last week, the Serbian Prime Minister, Aleksandar Vučić, said the airport will either be privatised or put up for concession by the end of this year. He noted that procedures to select a privatisation advisor have been scrapped and the government will now enter direct negotiations with a potential advisor. The move comes after six interested parties were unhappy with the offered reimbursement fees. According to Mr Vučić, the airport's concession fee could fetch up to 500 million euros. Last week, sources close to the Turkish-based TAV Airports Holding said it was in talks to purchase rights to operate the airport, with further details to be revealed next month. TAV runs Istanbul’s Ataturk Airport and a further thirteen airports across the world, including those in neighbouring Macedonia and Croatia.

52 comments:

  1. I wonder what's going on behind the curtain with this concession, TAV, EBRD...

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    1. I think none of them will touch the airport until the subsidies are in place. They might though if they have guarantees from the government that they will be over then and then.

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  2. TAV Doesn't run any airports in Croatia. They are a minor shareholder in ZAG, noting to do with 'running' the airport at all.

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    1. It has its own person on the management board.

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    2. So does Viadukt, doesn't mean they are "running" airport.

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    3. Don't think TAV would be including Zagreb in its financial reports if it had nothing to do with it.

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    4. TAV's majority shareholder is ADP, I think it's a sneaky was for ADP to get greater control without upsetting people.

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    5. Trust me they didn't buy TAV to increase their share in Zagreb Airport.

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    6. TAV runs two airports in the Balkans and that is Skopje and Ohrid. Nothing else.

      Being a minority shareholder is not the same as running an airport and in order to benefit from its financial results, according to international accounting principles - followed by TAV, they cannot include a minority shareholding in the P/L under normal operations but under "others" as in contribution or loss.

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    7. +1

      I have to admit that I was a bit confused when I read here on this blog that TAV ran airports in Croatia. I was thinking that I must have missed something....??

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    8. They have invested in ZAG and that's it. They don't run the show.

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    9. @Anon10.03 "TAV runs two airports in the Balkans and that is Skopje and Ohrid. Nothing else."
      And Ataturk is where?

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  3. Сећам се тамо 2011. год. је објављен први план и пројекат реконструкције аеродрома у три фазе, од којих је последња требала бити окончана крајем 2013 године. Прва и једина делимично одрађена су нови авиомостови и проширење излаза А1 - А6. И ту се стало.

    У другој фази, пројекат је предвиђао доградњу спрата на Т2, раздвајње долазних и одлазних путника и да се колико толико она ружна архитектонска коцка од Т2 мало улепша стакленом фасадом. Било је то интересантно решење.

    Онда дошли избори. Примитивни и необразивани дошли на власт, поставили свог човека да уради исто што је урадио са Јат Ервејзом док је носио дрес са другим страначким бојама и врло успешно гура аеродром у губитке.

    Аеродром је малопре поменути пројекат требало да финансира сопственим средствима, а сада како читам у уводном тексту за нову скаламерију чије смо лоше рендере имали прилику да видимо и којом ће се аеродром додатно наружити се помиње "подршка" ЕБРД-а.

    Машала, уместо драгуља којег смо сами деценијама стварали, способног не да се сам издржава, већ и да доноси солидне новце, са необразованим кадром који је преузео све полуге, ћемо ускоро бити у прилици још и да доплатимо неком будућем купцу или инвеститору.

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  4. OT: Mali: New plane for US service arrives in may (just heard that on the radio)

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    1. It can come in May but without sales starting NOW and the necessary permits it's going to be an expensive decoration at BEG tarmac.

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    2. It can come in May but without sales starting NOW and the necessary permits it's going to be an expensive decoration at BEG tarmac.

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    3. So, the elections are going to be in April?

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  5. I can't hear anymore the sebian politicians that the airport is worth 500 millions. Estimates are being prepared by high professionals like KPMG, PWC and similar. They know that the airport is highly dependent on ASL and that is heavily subisdized by the AB itself, NIS and the state. Furthermore a very big chunk of the traffic is low yield transit and low yield ethnic (Wizz) traffic. There is very little premium O/D traffic by legacy carriers. Very little cargo and very little sales areas in international comparison, that could generate income. Furthermore there are huge investments ahead, as big parts of the aprons and tarmacs are old and need rapair, so are the leaking roofs and the control tower. I estimate the NET worth of the airport to be not more than 50-70 million. Everything else is electoral bla bla.

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    1. But when KPMG does an audit of Air Serbia's financial results then I am sure you say they are just paid to say they have profit and that everything is fine.

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  6. I can't read statements by serbian politicians anymore about the airport being 500 million worth. Once KPMG, PWC or similar start estimating the real worth, we will know. They will find out, that the airport is dependent on ASL, who is heavily subsidized by the AB itself, NIS and the state and therfore not really viable and future proof. Furthermore a really big chunk of the passenger flow is low yield transfer and ethnic (Wizzair) traffic, while premium O/D traffic by legacy carriers is on the decrease. Cargo is negligible and sales areas within the building are very underdeveloped, so there is very little income from that segment. Not to mention that the airport infrastructure is old and was neglected (aprons, tarmacs, roofs, tower) and need heavy investment. The NET worth of the airport is not more than 50-70 million. Everything else is electoral bla bla.

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  7. They are probably preparing the airport for the all new Beograd-New York JFK service this summer! I hope they launch a daily morning service.

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  8. Da li neko od vas ima iskustva sa edreams ili sličnim sajtovima? Da li su pouzdani u smislu ako kaže da je karta sa BEG-FCO sa AZ 90 EUR to konačna cena i da ako uplatim odmah neću imati dodatne troškove, niti ću biti odbijen na checkinu?

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    1. Kupio preko edreams.it kartu Alitalije Milano-Osaka-Milano za cca 400 EUR, nikakvih problema nije bilo. Stigne redovna karta, sa e-ticket brojem, sve regularno.

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    2. Zavisi koji su ti to "slicni sajtovi". Edreams je svakako ok, kupovao sam preko njih prekookeanske i evropske karte, bas kao i preko Expedie. Naravno za trazenje karata uvek su zgodni Kayak i Skyscanner.

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  9. Air Serbia made a great new promo video supporting our national water polo team! Fantastic work guys!

    https://www.facebook.com/mitrovicdarko/videos/10207290751360214/

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    1. Wow... nice initiative! Congratulations!!!

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    2. Ja se izvinjavam ali ovo je tezak blam.

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    3. The video is, well, not so good (to be polite)... Still, good luck, Serbia!

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    4. OMG, this is a complete disaster and disgrace.. Combined with what happened on the opening of the championship, AirSerbia is becoming full-blown pre-election campaign cog in the Serbia's most developed industry.

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    5. What happened with Air Serbia on the opening of the championship?

      I agree, this is bad.

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    6. This video will for sure decide the entire future of Air Serbia and it makes it the key detail for discussion. Yes, it's all about a stupid YT video.

      Good lord...

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    7. Anon 19.04

      Who said that exactly? Are you one of the people in the video? lol

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    8. Thankfully I am not one of them. I am just amazed to see how much spare time some people have, if they can study, follow and analyze an airline all the way down to its YT videos.

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    9. Huh? The whole purpose of making this video was so that people could see it. If the airline didn't want that then they would have never made it. I think your logic is kind of strange.

      Unless promotional videos are not supposed to be seen by the masses.

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    10. For those of you that speak German...one word for this video: Fremdscham

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    11. haahahhahahahaha

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    12. Nesto gore skoro nisam video, transfer blama je neverovatan. Mislim da... Ne, siguran sam da ovako nesto ni stari JAT Media Centar ne bi uspeo da napravi.

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    13. Ovo je prestrašno!!!! Dno dna... uradak doslovce na nivo osnovnoškolca!

      Ajde što je to netko uradio, ali što je to netko emitirao! Ajme majko...

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  10. OT: Kondić and Mali visiting there future A330:
    http://www.blic.rs/vesti/ekonomija/posle-25-godina-avion-er-srbije-za-prekookeanski-let-u-maju-slece-u-beograd/0hrvnqg

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    1. They should start selling tickets if anybody is going to fly with them hahhaha... If they cannot sell tickets yet (due to "pending government approval" restrictions, etc), they shouldn't have announced the flights for June, but should have started next winter.... this all comes off as such a joke.

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    2. Naah they will send it to Tivat three times per day and they will be more than fine. ;)

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    3. Great win Dolphins, now back to aviation: Future Air Serbia A330 A6-EYC spent a day at AUH on Thursday, so the visit probably took place there and then. Planespotters.net claim that plane has has 18C+236Y=254seats, seatguru has config as 18C+233Y=251 seats and Blic announced JU will have 256 seats, so I don't know is someone is just bad at math or if JU will have reconfigured cabin. Anyway, it seems almost certain there will be no premium economy. It will be hard to defend that decision, but let's wait until it's official.

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    4. My guess is that Blic made the mistake.

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    5. Avion je star 8 Godina sto nije u opste puno znaci da je najmladji u floti .
      Scakako mi je drago zbog zaposlenih i EY koji se trudi da ASL stane na noge .
      I nadam se da ce doci jos koji i da se nece cekati puno na to.
      INN-NS

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    6. Are the C seats flat or angled?

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  11. No one gives a hoot any more about what Belgrade airport management announces. They failed to start T2 extension, deice pad and T1-T2 hallway projects announced only a few months ago, what a bunch of clowns. New check in kiosks and bag drop area is not under construction at all, still used for same old office purpose. But Rasha did get Airport advertising at water polo championships, what a waste of money!
    Body scanner(s) will have to be added to security at holding areas capable of large aircraft such as C3-C4 joint area before June. They didn’t even install them, yet that solution is already obsolete!

    Belgrade, just like other airports, will have to move away from current security at each gate and implement centralized security at some point. They will also need to physically separate incoming passengers and body scan each and every incoming transfer passenger. For example, Amsterdam Schiphol is currently undergoing major renovation that also includes security changes. Unlike old setup, all incoming transfer passengers for example from F gates are now being fed through new security between F and E gates before joining common departure lounges. Everyone has to go through body scanner, passenger access is directed using garage door-like gates to minimize queues, return of empty trays is optimized, natural wood and eco-friendly design dominates. Belgrade just needs new management and a new terminal!

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    1. hahaha... where did you escape from?

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    2. DT what are you talking about??? In no country you must go under the body scanner. You have no idea what you are talking about, especially not in regards to incoming passengers .

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    3. Incoming TRANSFER passengers will have to be body scanned. And at some airports you already HAVE (no opt out) to go through body scanner for every departing passengers.

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