Tuesday, June 27, 2017

Croatia Airlines plans for 2018 fleet expansion


Croatia Airlines has made a definitive decision to add regional 100-seat aircraft to its fleet next year after several delays. The carrier is currently wet-leasing two Bombardier CRJ 1000 jets from Spanish regional airline Air Nostrum on a trial basis until the end of October. The type could be reintroduced next year on a permanent basis. However, the airline has also said it is looking into Embraer and Sukhoi jets, noting that the introduction of a third aircraft type to its fleet, which is currently made up of Bombardiers and Airbuses, would not generate additional costs. The aim of the 100-seaters is to replace the 76-seat Dash turboprops on popular routes during the summer, as well as the larger Airbuses during the winter, when demand for travel is weaker. As a result, this will allow the carrier to lease out its Airbus fleet during the winter months.

Commenting on the future fleet expansion, Croatia Airlines' CEO, Krešimir Kučko, said, "In accordance with the company's development plans, we intend to introduce aircraft of similar capacity to the CRJ 1000 as an addition to our existing fleet. This will bridge the difference in the capacity of our Airbus aircraft, which have 144 to 174 seats, and the Dash 8 Q400 with 76 seats". He added, "The introduction of a third type of aircraft (100-seater) will further optimise the entire fleet and allow even better adjustment to capacity on the Croatian market, which is highly seasonal". The financial lease for two of Croatia Airlines' six Dash 8s expires next year, although the current management plans to extend the leasing agreement.

The future make-up of Croatia Airlines' fleet will depend both on its privatisation process and management. Mr Kučko has said the airline is in contact with financial institutions, as well as investment funds and could draft a proposal to the carrier's majority owner, the Croatian government, over plans to seek a new strategic partner by year's end. A new partner would provide much needed financial backing to speed-up the airline's fleet expansion process. On the other hand, the Croatian Ministry for Sea, Transport and Infrastructure is seeking out potential new CEOs for the airline, which could result in a strategy shift. Mr Kučko is in the running together with former Zagreb Airport General Manager Boško Matković, aviation expert Josip Milošević, the Croatian Tourist Board's Country Manager for the United Kingdom, Tonko Rilović, and ‎the Director of Controlling and Internal Audit at Croatia Airlines Jasmin Bajić. Discussions with the prospective new CEOs are ongoing.

139 comments:

  1. I wouldn't be surprised if Croatia Airlines goes down Adria's path and gets Sukhois which are cheap at the moment.

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    1. Would be interesting to have Adria and Croatia with the SSJ100.

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    2. Sukhoi's strategy is to approach struggling airlines and basically offer the plane almost for free.

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    3. Adria + Croatia Airlines + 4K + SSJ100 = ???

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    4. Adria Airways
      :)

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    5. I agree. The wisest solution would be to merge the two, keep the Adria brand and the management in Ljubljana. JP has shown to be a greater visionary and has better survivor skills.

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    6. Anon 10:44 - again, wet dreams ?

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    7. Nothing to do with wet dreams, it's just a suggestion about what's the best solution.

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    8. @AnonymousJune 27, 2017 at 9:04 AM

      Croatia Airlines won't order SSjs even if they were free. Unlike Slovenia, Croatia has policy towards Russia which can be described as best, buy Russian only as a last resolve, Last time Croatia bought anything from Russia was in 2010, Mil 171Sh helicopters.

      Lesson from that is, never buy things from Russia, the experience was at best, excruciating. Space parts, support for helicopters and blackmail by Russians, ensured Croatia will never ever buy anything Russian.

      Croatia will buy Russian oil and natural gas if price is right, however even there is issue, Russians like to blackmail countries, reason why Croatian oil and gas imports come from Libya, Algeria and Qatar.

      So SSJs are no go. If Russian plane manufacturer was the only plane manufacturer in the world, perhaps than Croatia would purchase SSJs, reluctantly.

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    9. Aren't the Russians bailing out Agrokor?

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    10. You make it sound as if Sukhoi will lose some sleep if OU doesn't decide to lease out their planes. OU is in a dire economic situation and I doubt they are in a position to choose. Chances are that unless they get privatized, they will go bankrupt in three, four years.

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    11. @AnonymousJune 27, 2017 at 1:22 PM

      Fine example, where Russians were told to sod off, and Government stepped in.

      As I've said, Croatia is very cautious when dealing with Russia. Visa regime for Russian tourists, despite 140 000 Russians visiting Croatia. Even in heyday when 200 000 Russians visited Croatia, visas were kept on.

      Croatia has some really bad experience with Russia and Russians. Mil Helicopters and Mig Fighter jets was final straw, the parts Croatia tried to get from Russia for both fleets of aircraft was so difficult to get, and blackmail Russia resorted to, ensured Croatia is least likely to buy anything Russian.

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    12. What are you talking about? Russians did not need visas to enter Croatia until Croatia had to impose visas on the day it entered the EU.

      The fact that you don't like Russia is fine but don't present your views as state policy because it's far from the truth.

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    13. @AnonymousJune 27, 2017 at 2:21 PM

      Actually they did, always. However during the summer seasons yes Croatia relaxed visa regime to allow for more Russian visitors.

      After Croatian EU entry, the visa regime remained permanent.

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    14. You make it sound as if all this anti-Russian paranoia in Croatia is a good/cool thing.

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    15. "JP has shown to be a greater visionary and has better survivor skills."

      Better survivor skills as in ability too get millions of euros of taxpayers money? That's not going to work anymore.

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    16. Well, they did manage to find a way to get out of that nasty situation with the EC. That should be applauded.

      I am sure their management would be better at fighting foreign competition along the Croatian coast. OU certainly doesn't know how to.

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    17. @anon 6:45 - why do you care about Croatian coast?
      Why are you people so obsessed with something that doesn't belong to you?

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    18. Because this is an aviation portal and we discuss aviation matters. Also, people didn't mention politics, only aviation.

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    19. @anon 7:26 - aviation only?
      It is when it comes to JU, but it is everything else - frustration, jealous etc. - when it comes to OU and Croatia.

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    20. Are you serious? Open any Air Serbia topic and you will see how people discuss about its problems, shortcummings, issues etc. Any Air Serbia related topic. When it cones to Croatia Airlines you don't want people to talk about any of that. You want people to shout Bravo Croatia and say how everything is fantastic, rosy and amazing. I even remember you attacking Purger once when he started writing about some problems at OU.

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    21. +1 last anon

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  2. They have been talking about 100 seaters for what 5 years now.

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    1. I am glad they leased the Bombardier this year instead of those old Fokkers but still, they need a more permanent solution.

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    2. @9:05 Same as regional bases across ex-Yu.

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    3. Yeah wasn't OU meant to be the regional leader now? With bases in SKP, TGD, SJJ etc...

      It would be a better business strategy to just keep quiet and actually do something rather than constantly release statements about the future which are never realised. It can't be good for employee morale.

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    4. +1 last anon

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  3. Hope something will happen

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    1. I hope so too but I doubt it. Croatovanje. The airline has been talking about the same thing for years and still no action.

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    2. In the end they will probably lease some CRJs from Lufthansa.

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    3. Lh has no CRJ-1000s.

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    4. I didn't mean 1000's but they have the 900s.

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    5. He said CRJ, not CRJ-1000

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    6. Only 1000's make sense in regards to CRJ's - see also one of the post below.
      OU is looking for 100 seaters, not 90 seaters.

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  4. I assume these will be leases. They won't actually buy the planes.

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    Replies
    1. Nobody buys planes anymore.

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    2. Where did you get that from?

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    3. Ryanair owns most of their fleet.

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  5. Wouldn't it be more logical just to take the Bombardier if you already have the Dash 8 in the fleet?

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    1. Yes I agree. It makes much more sense regarding fleet efficiency.

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    2. Dash 8 and CRJ have absolutely no commonality, except that they come from the same manufacturer. And buying CRJ in 2017 when you have more versatile aircraft available would be insane.

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  6. Completely agree with the idea of ACMI wetleases. This is something they could have been doing for years. A good idea in my opinion.

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    1. Other airlines in the region are also offering Airbus planes during winter, like Air Serbia.

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    2. As far as I am aware Air Serbia is just offering a short-term dry lease. Here we are talking about wet leases where the entire crew, mechanics etc would be on lease as well

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  7. Looks like Mitsubishi planes aee no longer part of thr picture.

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    1. Unfortunately :(

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    2. Well production has been so delayed that launch customer ANA will only get them in 2021.

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    3. At the Paris AirShow last week the Japanese had a large model the Mitsubishi plane at their stand with Croatia Airlines on the fuselage and Adria logo on the tail :D

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    4. Maybe they know something we don't :D

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    5. They were just trying to attract potential customers that need regional planes. They also had a model painted in Air Serbia livery.

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    6. Mitsubishi or not, many signs point to merger or takeover between Adria and Croatia Airlines.

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    7. Well if you remember a few months ago ex-YU aviation published an article how a European fund is looking into buying Croatia Airlines and then Montenegro Airlines and that they already have investments in aviation in the region. They didn't name anyone but I think it's 4K Invest.

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    8. @AnonymousJune 27, 2017 at 9:26 AM

      No it didn't MRJ was in ANA livery.

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    9. Except for the first possible delivery date being too far ahead in time, the MRJ is too small for Croatia Airlines' needs anyway. Maximum 92 seats in the highest density configuration. The 100-seat demand suggests they are looking at CRJ1000, SSJ and E-190.

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  8. Oh dear...... Kresimir Kucko promises again well.....?????

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    1. Not again. His statements are old news.

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  9. Good luck, hope something finally comes out of this! CRJs look great!

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  10. Just pick the CRJ1000. Good plane, good economics and passenger friendly.

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    1. It is also expensive.

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    2. Well they have another five slors they can sell

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    3. The slot money hasn't gone into some major investments but covering the everyday business. Unfortunately.

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    4. Seems like if it should be a CRJ then only the 1000 is useful - the 900 version cannot seat more than 90 if I am not mistaken.
      Apparently the 1000 has almost same operating costs as the 200 plus bit more fuel use of course. That is very economical I reckon.
      Downside is that the cabin height is quite low in the 1000. But unless you are taller than 1.95m it's fine.

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    5. Didn't they use the slot money to lease out the CRJ?

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    6. A part of it, yes surely.

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  11. Will be interesting who will become new CEO or whether Kucko will stay. Is there any indication of how things are going?

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    1. I think Kucko will stay.

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    2. Anyone have some more details about the other candidates that have been listed in the article? Purger?

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    3. Alen Šćuric PurgerJune 27, 2017 at 11:27 AM

      You have it in my article:

      https://tangosix.rs/2017/23/05/croatia-airlines-dobiva-novog-ceo/

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    4. Cheap promotion. He asked you for your opinion, not about your articles elsewhere.

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    5. Alen Šćuric PurgerJune 27, 2017 at 1:54 PM

      Cheap promotion? Promotion of what? Do I sell something? Do I ask something?

      What do you want? That I copy 15 pages of analysis here on blog?

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    6. You are trying to sell your expertise. Well, if you are too bored to copy the 15 pages or to write a short reply to the guy then better to not do anything. This kind of behavior is disrespectful to this portal. Shame on you Purger.

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    7. Give it a rest Jackie. Go troll somewhere else.

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    8. Purgeru,

      Sa uzivanjem citam tvoje postove na T6, ali postoji jedan problem.

      Tvoje tekstove jednostavno na tom portalu niko ne proverava pre objavljivanja i zbog toga ti se ponekad dogode greske kao prosle nedelje da napises kako Etihad leti za ZAG (umesto Emirates) sto bi neko svakako trebalo da proveri. Ocigledno je da je ta greska nastala ne zbog neznanja vec zbog brzine pisanja teksta ili jednostavnim previdom.

      Pored ove greske bilo je i dosta slovnih propusta sto ipak ne bi trebalo da se dogadja. Pokusao sam par puta da ostavim komentar na T6 i ukazem na taj propust ali su moj svaki, ali bas svaki post kad sam to u najboljoj nameri ukazao obrisali.

      Zato ti ovde (mozda i neprimereno) sa najboljom namerom skrecem paznju na to kako bi tvoji tekstovi na T6 pored sadrzajnog utiska ostavili i utisak pregledanog i prekontrolisanog teksta.

      S postovanjem, Nebojsa

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    9. Alen Šćuric PurgerJune 27, 2017 at 9:24 PM

      3:01
      To copy 15 pages here? You are joking right? You do know that you can not print here more than 1/2 of page, so you need 30 comments to do 15 pages. Isn't is easier to read it on link if someone want so. I am trying to sell my expertise? To whom and on what way exactly? And why would I do that?

      Nebojša hvala na komentaru.

      Gledajte ja te tekstove pišem 10-15 sati, najčešće noću sa subote na nadeljelju i nedjelje na ponedjeljak. Svaki pasus čitam nekoliko pute, te cjelokupni članak još dva puta nakon što sma ga napisao da smanjim broj grešaka. I potom kad se objavi pročitam ga još jednom te eventualne pronađene greške ispravim i nakon objavljivanja. I svejedno ostaju neke greške iako sam se ozbiljno trudio da se to ne desi i da ih pronađem tijekom prva dva čitanja. Stvarno mi nije jasno zašto je to tako. Uz sve check spelinge, uz kontrolu tijekom pisanja, dva čitanja, te još jedno ispravljanje uredništva (hvala Dina). I duboke isprike za to, ali očito je da će se to dešavati i u budućnosti. Ogromni tekstovi, velika mogućnost pogreške.

      U svakom slučaju nije brzina. Jer 10-15 sati svaki tjedan to svakako nije, zar ne. Svakako se jako trudim da se to ne desi, no eto... Sorry.

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  12. No matter what people say I'm glad OU is finally waking up and things are moving in the right direction :)

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  13. I like their plans. I would LOVE if they actually happened for once

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    1. Say what you will but as far as network expansion is concerned they have delivered on their promises.

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    2. Except for the fact that they were supposed to have by now, had in place bases around the region - SJJ, SKP and PRN. This is but one example of the plans the CEO announced. There have been countless others around fleet. None of which have come to fruition.

      he is fighting for his survival, so he has to manage the perceptions of him actually doing something.

      So no, they havent delivered on all their promises

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  14. Anyone had the chance to fly the Air Nostrum/Croatia CRJ1000?

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    1. Yes! Excellent trip to Oslo. Very new plane, nice seats. Excellent crew with one Croatia Airlines crew member, the rest were Spanish. Would be an excellent aircraft for OU.

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    2. I agree that quite new CRJs are nice design-wise and also cabin looks good. But plane is economical. But I do not like the tendency to feel (mild) turbulences easyly - compared to an Embraer for ex.
      CRJs are relatively unstable during cruise flight (from a pax' point of view) - I felt the same on all of my so far 4 CRJ flights (all on CRJs 700 and 900s). Nothing major but still...
      Airbus, Boeing, Embraer and Turboprops (Dash and ATR) do not give me the bit "shakey" feeling - only those CRJs do.

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  15. "The aim of the 100-seaters is to replace the 76-seat Dash turboprops on popular routes during the summer"

    Thank god they have already started doing this with the CRJ1000s and replaced Dashes on routes like Copenhagen.

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    1. Amen. This is too long a route for a turboprop.

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    2. @AnonymousJune 27, 2017 at 10:07 AM

      Q400s will remain in the fleet, they were bought through lease to own deal, OU paid 135 million for all 6 aircraft, with 10 annual payments + 2% interest.

      Q400s will be used only on regional network, with in 550km radius of Zagreb. Vienna, Milan, Venezia, Budapest, Sarajevo, Skopje, Pristina, Dubrovnik, Bucharest, Munich, Nice, Lyon, Marseilles... (some of the destinations OU doesn't fly yet).

      The likely choice is CS100 or CRJ 1000, however CS100 is more likely as Canadians are offering a really sweet deal on CS100.

      Emberer 190 is also potential, it is very efficient aircraft, very good value for money, however getting a good deal on E190 isn't easy. Brazilians won't sell E190 under $33 million, price OU paid for brand new A319, and even A320 NEO deal is in the region @$47 million.

      CS100 deal is much better, @$32 million, also Canadians offer great lease to own deal, so 6 aircraft can be bought for $200 million.



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    3. wow! thanks for the post. i love to see somebody knowing the figures

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  16. They have been in talks with a few manufacturers for around 3 years. So I hope they will now have a clear picture on what they want and make an order soon.

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  17. They should get rid of Dash 8 plane. Has been very unreliable. Tech problems every few weeks.

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    1. lol!
      It is the most reliable turboprop ever!
      Where do you get your "information" from?

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    2. Have fown on the Dash 8 many times with Air Canada and Porter. Never experienced delays for mechanical issues. Would never hesitate flying on this aircraft.

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    3. Don't know about Porter but at Croatia Airlines they have problems very often.

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    4. @AnonymousJune 27, 2017 at 12:04 PM

      His head.

      @AnonymousJune 27, 2017 at 12:34 PM

      No they don't. OU flies 6 Q400s for nearly 10 years, so far only 3-4 incidents across entire Q400 fleet. That is nearly 80 000 flight operations and only 3-4 incidents.

      Q400 is quite reliable and easy to maintain aircraft. Very cheap to run, and perfect for routes up to 700km distance. OU flies Q400 on Vienna, Zurich, Milan, Skopje, Sarajevo, Dubrovnik, Split, Zadar, Prague, Munich, Rome and Bucharest route.

      It did fly Q400 to Copenhagen, Brussels and Amsterdam at some point due to lack of aircraft, but it no longer does. Reason why OU is looking for 100 seat jet CA100/E190 type of aircraft.

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    5. I am not talking about "incidents" like the one when the crew couldn't retract their landing gear down. I am talking about frequent mechanical issues. Ask ANY OU mechanic and they will explain it to you and how often there are issues with these planes.

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    6. @AnonymousJune 27, 2017 at 2:09 PM

      I'll need to ask OU mechanics than, some are posting on other Croatian aviation forum, one took pictures of Q400s are they were maintaining them, and I don't remember ever reading there was an issue with Q400s. I/e out of the ordinary or expensive maintenance.

      However, Croatian Airlines employs ~150 maintenance engineers, wast majority from Croatia, some from Slovenia, Hungary, Italy, France & Canada.

      Clearly, we should be asking all of them, especially Canadians who are seconded from Bombardier, perhaps they can shed some light on Q400 problems.

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    7. Don't forget Serbs who were employed en masse recently.

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    8. @AnonymousJune 27, 2017 at 2:58 PM

      No Serbs employed, not on en-mass, 6 were employed in 2013 and 2014, got fired and deported cause they worked in Croatia without working visa. OU fined 500 000 kuna for employing workers without proper documentation. EU working visa are essential requirement for work in Croatia. Also 3 Bosnians worked and a single Macedonian. But all left after EU laws applied.

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    9. Do you have a valid source for those 'firings?'
      I am sure OU would not hire people just like that.

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    10. Problemi AB u VCE (na nemackom)
      http://www.msn.com/de-de/finanzen/unternehmen/air-berlin-passagiere-hatten-schon-schwimmwesten-an/ar-BBDkRmj?li=AAaxdRI&ocid=spartandhp

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    11. Многе авио-компаније су имале проблема са Q400. Сетимо се SAS-а који их је у потпуности заменио са CRJ-900. Малев се исто мучио, сетимо се сцене на слетању у Скопље када нису могли да им се спусте точкови. Мислим да је и Остријам имао сличан проблем на истом аеродрому.

      Дакле, Q400 није баш ваздухоплов без проблема. Али добро, рачуни за одржавање су мало већи али ако се све супер одради нема фрке.

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    12. @AnonymousJune 27, 2017 at 3:28 PM

      The information was already posted on this blog about it, with the links. This was posted over 2 years ago. Sorry i am not going to look for the links.

      OU hired staff with qualifications, they didn't even knew individuals were only Serbian nationals, at least with one of the Serbians was that he had Croatian mom, and had right to live in Croatia. This in fact under Croatian law isn't correct. only people born in Croatia to Croatian citizens have automatic right to Croatian citizenship.

      Also, getting a work permit in Croatia before 2013 was really easy, or even a Croatian passport, issued in Mostar, affair that exposed sale of 6000 Croatian (fake) passports through Mostar General Consulate.

      Getting work permit these days for non-EU nationals is very hard, as work permit also allows for free movement in the EU, such permits are never issued lightly.

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  18. Didn't someone say they are considering C series?

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    1. Probably too expensvive.

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  19. This is starting to remind me of Jat's announcements about its own fleet renewal plans.

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  20. Good luck, OU, hopefully with new management!

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  21. The new 100 seat aircraft will be Bombardier CS 100.

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    1. Are you sure?

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    2. Pretty sure, yes.

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    3. I will take your word for it.

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    4. Didn't someone say that OU and Bombardier have signed a letter of intent for the C series planes?

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    5. Yes someone said that in the comments more than a year ago. If it really happened then we would already know about it and it would have been made public.

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  22. The package currently being offered by Sukhoi to all airlines are too hard to refuse., especially our cash strapped ones in ex-Yu. We will see what happens here.

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    1. Not sure if politics would allow for it in Croatia. Remember, unlike Adria, Croatia Airlines is still 100% state owned.

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    2. ^ Actually, 98%

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    3. @AnonymousJune 27, 2017 at 11:26 AM

      For Croatia, very easy to refuse. In fact SSjs won't be considered even if offered for free.

      First EU sanctions, 2nd, Croatia has really bad experience with Russians, in fact terrible experience. Mil 171 Sh and Mil 8 support contracts were a real nightmare for Croatia.

      A lesson Croatia won't repeat again. SSJ has no chance in Croatia, no Russian company has. Even Russian investments in to Croatia are looked on in very negative light. Croatia is not Russophobe, but more cautious due to Russian state using underhand tactics to get its way.

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    4. You do realize OU sold its LHR slots just to pay for its engines. I think you are forgetting how bad the situation is.

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    5. @2:07PM - Are you including Agrokor into that?

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    6. @AnonymousJune 27, 2017 at 4:25 PM

      State took over Agrokor, to keep Russians out.

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    7. Such anti-Russian racism.

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    8. @LOL

      State can't be racist, lol
      There's EU embargo on Russia, what Croatia is doing is implementing EU wide policy.

      If we hated Russians so much, we would't let in 140 000 Russians visit our coast each year, would we???

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    9. I am not talking about state racism, I am talking about the poster on here who continually bashes Russia.

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  23. Bravo Hrvatska!

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  24. If they plan to extend more of their seasonal routes like they are doing this winter with Barcelona and Lisbon, they will definitely have to take on more planes.

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  25. Would be nice if they made an announcement when they actually do make a decision and the planes land in Zagreb.

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  26. Good news for Croatia Airlines. Looking forward to see what next year brings. This one has been very good so far.

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  27. What about the JULY's OU strike ?

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    1. It's coming and it's going to be big! Hopefully it brings Kucko down!!

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    2. Dont be fool we need to fly!!!
      Kucko can be downed only by the government!

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  28. OU jeste imao problema sa Q400 i uprkos izjavama za stampu, razmatra se smanjenje turbo-prop flote. No, to nikako ne znači ulazak u bilo kakav deal vezan za Sukhoi. Zaboravite SSJ u ex-yu prostoru-to je nemoguc scenario iz vise razloga.
    ATCO

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    1. Newsflash
      Словенија је у ex-YU региону.

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    2. and point is ...

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    3. 'Zaboravite SSJ u ex-yu prostoru-to je nemoguc scenario iz vise razloga.'

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    4. But Slovenija has not signed a deal for SSJ.

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    5. Not Slovenia but Adria's owners who have nothing to do with Ex-Yu or with your load of crap but who are rational people dealing with money and finding the deals that suit best their interests around the globe.

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    6. Kojih razloga?

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  29. Can somebody please explain to me what is happening here. One minute I am reading that OU is loosing money and needs to sell slots to inject cash flow the next minute I am reading that they are increasing destinations and fleet size.

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    Replies
    1. Well, the slot sale and cash shortages are the reality. CEO's statements are wishful thinking, something of a PR.

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  30. I think they should also consider the CS100 as an option in the 100 seat range.

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