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Montenegro Airlines mulls Boeing jets

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Montenegro Airlines is considering adding Boeing aircraft as part of its fleet renewal plans. The carrier intends on replacing its two remaining Fokker 100 jets in 2019 and 2020, but is yet to decide on a firm substitute. Speaking to "FlightGlobal" magazine, Montenegro Airlines' CEO, Živko Banjević, said the carrier will either become an all-Embraer operator or order "larger jets", such as Boeing 737-700s. Taking two Embraer 195s would involve "trying to find additional aircraft over the summer", he said. The airline has not decided how it would finance the new arrivals, but Mr Banjević stressed that cost calculations have assumed an "operational lease only". The airline has been battling with record debt and losses over the past few years.

According to Montenegro Airlines' CEO, replacing the Fokkers with jets such as the B737 MAX would increase costs by 1.5 - 2 million euros per year. However, Mr Banjević believes this could be offset by higher aircraft utilisation rates and that, with more seats on sale, the net effect could be "near to zero". Furthermore, the CEO noted that the MAX jets could open up new markets. A final decision on the future make-up of the carrier's fleet will be made by the Montenegrin government, which has in recent weeks reaffirmed its commitment to the airline and its importance to the country's tourism industry.

Montenegro Airlines plans to lease out additional capacity on a six-month basis for next summer season. Mr Banjević noted that the jet will be "larger than 140 seats", most likely a B737 Classic or Next-Generation narrow-body. The airline's fleet currently consists of three Embraer E190 aircraft and two Fokker 100 jets. The carrier has noted it plans to expand its destination network next year and recently scheduled three new routes out of Tivat. It also intends on adding frequencies on existing services during the summer of 2018 and increasing passenger numbers to 620.000 per year, up from an estimated 550.000 travellers in 2017.
November 12, 2017
Feature Fleet montenegro montenegro airlines Summer 2018
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Comments

  1. Anonymous09:03

    Would love to see the B737 in Montenegro's livery :)

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    1. Anonymous10:03

      You have it in the pic in the article ;)

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    2. Anonymous11:27

      I meant on an actual plane...

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  2. Anonymous09:10

    How on earth will they finance this?

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    1. Anonymous10:04

      Government.

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    2. Anonymous21:44

      Taking out loans from Milo's bank.

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  3. Anonymous09:12

    It would make much more sense for them to become an all EMB operator. You would not have the cost of training staff for B737, pay for parts etc.

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    1. Anonymous09:25

      But during the summer they would have to wet lease planes which is also costly.

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    2. Anonymous10:34

      But what are tgey going to do witj B737s in winter?

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    3. Anonymous10:53

      Wetlease them or park them like OU does.

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    4. Anonymous11:02

      Easier said then done. JU had one of its A319s on the lease market for months and have been unable to lease it this winter.

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    5. Anonymous11:14

      Interesting. Adria will lease one A319 in next month.

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    6. Anonymous15:17

      I agree on the all EMB-fleet idea for such a small airline.

      4x E195 (124 seater) and 2x E175 (88 seater) would most likely be ideal for YM.

      Park 1 E195 during the summer.

      The E195 is only about 10%. smaller than the desired 140-seater aircraft; however the positive effects of an all Embraer fleet will outweigh this by far.

      Also keep in mind that both airport fees and ATC fees are noticably cheaper with Embraer compared to Boeing/Airbus med haul jets, they are also lighter and burn less fuel, not even mentioning other operational advantages and easier and cheaper to maintain a unified fleet.

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    7. Anonymous21:45

      Good points

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  4. Anonymous09:14

    Fascinating. I wonder if Monte has done their homework? Checked their current bank balance and have done due diligence on potential opportunities and ability to borrow money to purchase? I’m guessing neither. Nice pic. It’s important to dream big

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    1. Anonymous09:25

      This seems like Adria in 2010. After posting a loss for couple of years, let's get new jets! Of course it will be profitable. Only to complain about very high leases after a year or two...

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  5. Anonymous09:15

    The real question ia if they will be around in 2019.

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    1. Anonymous09:50

      Of course they will. The government will continue to finance it as they have been doing all this year.

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    2. Anonymous10:08

      No matter what people think of them, they are extremely important for Montenegro's tourism.

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    3. frishki10:57

      It's not what people think of the company but good the company is losing money left and right. And if government will be patching up the growing holes, it's coming from taxpayers pockets.

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    4. Anonymous11:03

      Anonymous 09:50 what you said also stands for air Serbia and the Serbian government , you don't have to hide behind your finger .

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    5. Anonymous21:46

      I think it is extremely important for a tourist oriented country in Europe to have a national airline.

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    6. Anonymous23:37

      Of course, nobody would visit Croatian coast if there was no Croatia Airlines. That's why Italy is keeping Alitalia alive. Who would go to Rome or Venice if there was no Alitalia?

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  6. Anonymous09:21

    They seem to have a new air of life in them. Talking about fleet renewal, adding new routes next summer...

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    1. Anonymous09:50

      I'm glad. Dom't understand why so many here want the national airlinea to go bankrupt.

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    2. Anonymous10:40

      Because it leeches national resources, never made money and isn't important to the tourism economy, and is basically a political vehicle for jobs and votes. The reality is that all the LCCs can do (and are) a much better job

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    3. Anonymous21:48

      I would not say MGX is not important to the tourism sector. They bring more than 50% of tourists to Montenegro.

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  7. Anonymous09:22

    Ima iste ovakve makete u bojama ASL, CTN i ADR da se kupe :-D mozda i njihova rukovodstva krenu da razmisljaju u istom pravcu.

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    1. Anonymous15:12

      Fly fly shop u Beogradu

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  8. Anonymous09:29

    I call this Jatovanje.

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    1. Anonymous09:48

      It can't be Jatovanje until 2019 comes along and these planes never come. Then it will be Jatovanje.

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  9. Anonymous09:54

    Good to finally see some positive news from them.

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  10. Anonymous10:05

    The can lease air serbias 737-300 with crew!

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    1. Anonymous10:06

      I think they did that last year for a few days when a lot of their planes went tech.

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    2. Anonymous10:57

      Exactly what I thought! @10:05

      I think that they will lease out Boeings from JU, "until they find new ones", or "to learn thir stuff how to use them" or with some other excuse.

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    3. Anonymous21:49

      But those JU Boeings are 30 years old!

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    4. Anonymous23:38

      But they weren't utilised a lot! I bet Wright Flyer still has couple of useful hours on it :)

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  11. Anonymous10:05

    First they said they would retire the F100 next year, now it has already been moved to 2019/20.

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    1. Anonymous10:32

      Those F100s have held up quite well but I agree it is time to retire them asap.

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  12. Anonymous10:29

    Bravo Montenegro!

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  13. Anonymous10:31

    Finally getting rid of the Fokkers

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    1. Anonymous10:58

      True. They are becoming extremely expensive to maintain. Easier just to lease some newer metal

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  14. Anonymous10:33

    LOL :)

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  15. Anonymous10:56

    I'm glad there is finally some positive news from MGX.

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    1. frishki10:59

      I could give you even nicer news if you'd give me almost unlimited taxpayers money to throw around.

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  16. Anonymous11:17

    How old are the Fokkers anyway?

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    1. Anonymous11:26

      Both are 27

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    2. Anonymous21:50

      Yep, time to bid farewell.

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  17. Anonymous11:18

    Hopefully YM will recover soon, Retiring the F100s is a smart move.

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  18. Anonymous13:14

    All fleet renewal announcments made by EX-YU airlines have so far failed to materialize.

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    1. Anonymous15:19

      True; Air Serbia A320neos, Croatia Airlines permanent regional jets, Adria Sukhois...

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    2. Anonymous15:36

      Well Adria never announced the Sukhois. That was announced by Sukhoi itself but I think it was more wishful thinking.

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    3. Anonymous21:51

      Adria has expansed its fleet with CRJs over the past 2 years.

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    4. Anonymous23:40

      Actually they've had more aircraft in 2010 (14) than now (13). The capacity has gone up though, due to replacement of CRJ200.

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  19. Anonymous15:18

    If they are thinking of expanding their fleet, why did they return one Embraer to the lessor last year?

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    1. Anonymous15:36

      They did not have the money to pay for the lease. That's why it was returned. They also owe money to the Brazilian bank they took out the loan from to pay for these Embraers

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    2. Anonymous16:03

      It just shows how silly this whole thing is. They didn't have money to pay for the previous lease but they plan yet another one.

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  20. Anonymous16:17

    Admin, regarding:
    "The airline's fleet currently consists of three Embraer E190 aircraft and two Fokker 100 jets"
    ...it should read...
    "Embraer E195" instead of "Embraer E190". Thanks.

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  21. Anonymous16:23

    Why are they considering Boeing 737 but not Airbus A320 family?

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    1. Anonymous19:44

      Mayve some of their pilots are Bkeing trained? Most of the pilots are ex-JAT so it's possible.

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    2. Anonymous19:45

      *maybe

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  22. Anonymous20:31

    Boeing je zakon! Cesto letim sa raznim kompanija isto sa air serbia. Vise volim kada letim sa b737 300 nego sa airbus a319/320! Udoban, komfort sjajan zvuk! Steta sto air serbia nije nabavila nove beoing 737 ng!

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    1. Anonymous09:23

      +1000

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  23. Unknown22:40

    When bankruptcy is imminent, you daydream about new jets. Right.

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