State plans Air Serbia aid package

The Serbian President, Aleksandar Vučić, who will today present a five billion euro stimulus package for the local economy to help combat the effects of the coronavirus Covid-19 health crisis, has said the state will invest significant funds into Air Serbia, which he noted has been hit hard by the pandemic. The airline has been restricted from operating commercial flights since March 20. Under the plan, Serbia will resort to an array of measures. “We will significantly aid the pillars of our economy amongst which is Air Serbia. There are no longer any state aid restrictions. We wanted to invest more money into Air Serbia prior to this crisis but couldn’t because of European Union regulations. None of that is relevant anymore”, Mr Vučić said.

Commenting further on plans to aid the state carrier, the President noted, “We will either recapitalise the company or use another method such as corporate bonds. There will be no issues”. Recapitalisation entails changes to the airline’s capital. This may occur, for instance, when a creditor exchanges a loan for a stake but does not require changes to the company’s management structure. A corporate bond is a type of debt instrument that is issued by a firm and sold to an investor. The company gets the cash it needs for capital and in return the investor is paid a pre-established number of interest payments at either a fixed or variable interest rate. When the bond expires, or reaches maturity, the payments cease, and the original investment is returned.

Air Serbia was already earmarked for state subsidies this year even prior to the coronavirus crisis. The national carrier is one of 63 companies “of special importance” which are to share eighty million euros in subsidies among themselves this year. Although the exact amount of funds has not been specified, the airline was the beneficiary of 20.8 million euros "from premiums, subsidies, grants and donations" both in 2017 and 2018. In addition, Air Serbia is to pocket five million euros for subsidised operations out of Niš this year and 2.7 million euros for its services from Kraljevo. Last week, the Serbian Ministry for Construction, Transport and Infrastructure said the country’s air transport sector has so far been hit by tens of millions of euros in losses as a result of the coronavirus.


  1. Anonymous09:02

    Good, they need to help them out now so that JU can keep on thriving. Growing and expanding costs money.

    With tax breaks for local companies I expect demand for air travel to boom.

    1. Anonymous01:01

      Etihad covers too?

    2. Anonymous08:31

      Huh? Your comment makes no sense which makes sense as you are probably jealous your national carrier wasn't interesting to anyone out there.

    3. Anonymous09:56

      LOL 08:31
      You are really proud that the Government paid Etihad to get half of JU?

    4. Anonymous15:19

      Government did not pay EY to get JU, they invested into JU. There is a huge difference and I am sure you know it but you are playing dumb on purpose.

  2. Anonymous09:04

    It is good and right that states bail out their ailing airlines now. The question that will be much harder to answer will be for how long and to what extent. The aviation industry will not be the same for a long time to come. LH CEO for instance said this crisis will have a significantly reduced LH Group as a result...

    1. Anonymous09:12

      The more reduced the LH group gets, the better for small airlines like ours!

      This crisisnon the aviation industry will greatly impact tje big players, and ours aswell but with this state aid JU can benefit the most as other big players will have to reduce ops and capacity to our markets for sure, hopefullt OU will get state aid aswell and can benefit from this too.

    2. Anonymous09:16

      Great thing about all this for JU is that Austrian Airlines' long-haul future is extremely uncertain. Their B767s are 30 years old while the youngest B772 is 17 years old. LH said even before the crisis that they won't renew their fleet until they start making money. OS finished last year with a pre-tax profit of €19 million. SN on the other hand lost €40 million even before taxes. All this will most likely lead LH Group to focus long-haul flying to ZRH, MUC and FRA.

      Days of OS and VIE dominating eastern Europe seem to be coming to an end. Future focus will be shifted towards Munich. In LJU OS did not launch flights while in ZAG this winter even before corona they reduced flights to 16 weekly.Vienna as a hub is dying out.

      That my friends is great news for JU. It would be even greater if LO ditches their plans for a BUD base.

    3. Anonymous09:17

      Problem for OU is that their problem is not lack of funds but lack of vision. They struggled in great times and they will burn €133 million without stabilizing and expanding. Unfortunately I think it's too late for them at this point.

    4. Anonymous09:20

      OS has been ripping us off for decades. They won't be missed, them and their extremely rude crew.

    5. Anonymous09:24

      Well LH is not reducing because they hope to help others. They will significantly reduce, because DEMAND will be significantly lower than before the crisis....for a long time...

    6. Anonymous09:28

      Yes but they will feel the drop in demand much more than some like JU or YM. Look at what's happening in the United States of America. End of the corona-crisis there is nowhere close to being finished. Lufthansa and its member airlines are extremely exposed to what's going on there. I mean imagine all the losses they are incurring from not being able to fill up to 4 daily flights to Chicago and countless daily flights to New York City area.

    7. Anonymous09:32

      Well that is obviously proportionally. If the market demand goes back by 30% it will go so for everyone... and 30% for LH is the same as 30% for JU

    8. Anonymous09:34

      OS would badly affected by the rise of airlines such as LOT, Turkish Airlines, Pegasus and Aegean. For years OS was carrying passengers from east to west via Vienna. Remember, at some point they even flew to Australia.
      Austrian Airlines will shrink now and I doubt they will every go back to where they were in the past. Swiss and Lufthansa will become the new LH Group Sheriffs in Europe.

    9. Anonymous09:35

      Anon 09.32

      Well not quite because some markets will suffer more than others. So you can't just generalize things like that my friend. Also most of JU's network is extremely versatile so they can move planes around to accomodate demand. It's not like LH can efficiently move an A380 from LAX to fly to VIE. JU on the other hand can use an A319 from STR to fly to TIV.

    10. Anonymous09:40

      If LH reduced ATH flights due to rededing demand, I doubt that demand will be for a JU to fly the pax from germany via Beg to ATH.

    11. Anonymous09:47

      But you are once again missing the point my good Anonymous friend. JU carriers passengers to only one hub which is just an hour away and most of its passengers are heading to Europe.
      Lufthansa on the other hand has to split passengers between VIE, MUC, FRA, ZRH and BRU on top of its own flights it also has Aegean which offers flights to those places. So on top of offering a lot of seats, these aviation buddies also have to deal with collapsing demand from places like the US, Canada... things JU doesn't have to do. So in the end it makes more sense for LH to be much more affected because it is much more exposed to risk.

      You see why these things can't be viewed in such a symplistic manner? If no then write something else and I'll try to show you once again why your reasoning is faulty.

    12. Anonymous09:53

      AS isto nudi manje sedista na trzistu a ima poprilicno dosta lokalne potraznje. Bit ce to ok na kraju

    13. Anonymous09:59

      I see Lufthansa has started selling FRA-BEG from Saturday 25.04. From Sunday they scheduled double daily flights on A319.

    14. Anonymous10:06

      Triple daily MUC-BEG flights are set to resume from 04.05.2020. I guess in May we can expect some sort of stabilization on the market.

    15. Anonymous11:00

      Just loving those OS comments and especially comparing JU to them. OS might not be the long-haul expert but they do have a very strong European coverage. Their strength is in FREQUENCY. You can't compare a 2 weekly BEG-BCN flight with a double daily VIE one not can you compare a 10 daily FRA route with a 4 weekly one. Please, stick to principles.

    16. @An.09.20
      Absolutely agree. The most expensive company with the rudest crew. I avoid OS whenever possible

    17. Anonymous11:51

      Anon 11.00

      And where was OS in 1987 and where was JU? Things in aviation change every day so don't be overly confident regarding OS' future.

    18. Anonymous13:33

      Or we can look where JU was in 2012 and where it is today.

    19. Anonymous00:34

      JU 2012-2018 = 1,1 million passengers more
      OS 2012-2018 = 2,4 million passengers more

      JU 2,5 million passengers
      OS 13,9 million passengers

      JU 21 planes, 1 wide-body
      OS 84 planes, 12 wide-body

      JU 2 ordered planes
      OS 12 ordered planes

      and your really compare that?

    20. Anonymous05:51

      OS is going down. LH can't wait to get rid of that underperforming asset and this crisis will help them protect keepers LH and LX while dumping OS brand. Five years from now JU will be a bigger airline than OS because there will be no more OS.

    21. Anonymous06:48

      Yes, I really do. I really do compare them. You are forgetting that part of this massive growth we saw at OS came as a result of the war that was going on in VIE between four airlines. It was in winter 2018 that OS added some 54 extra weekly frequencies as a response to increased competition. Since then their passenger numbers have indeed increased but so have their losses. Any profits they might have had have disappeared overnight. Those 12 widebody planes you speak of are old and in desperate need to replacement. Will it happen? We don't know. Lufthansa stated that they will first have to become profitable so in the long-run it is more likely that OS will shrink it's intercontinental network to a few key destinations.

      Furthremore, I wasn't comparing OS and JU in that sense, you are malicious so you twisted my words. What I said is that we need to look at the progress JU made in that period and that they are on the right track to become what OS was until recently: a prospective carrier.

      If I had to bet on who will prosper more in the next 10 years, my money would be definitely on JU. OS became what it is today only because JAT and Malev collapsed so they made the most of it. Things are changing now and soon there'll be a new sheriff in town and you will easily recognize him by his two-headed eagle on the tail... yeah baby

    22. Anonymous08:32

      Don't forget that some years ago LH wanted to replace OS with EW and the plan was only dropped because politicians in Vienna protested. Let's see what happens now when even LH struggles to survive.

    23. Anonymous08:40

      Talking of OS, average age of their fleet is 15.5 years.

      A319 15.3
      A320 15.5
      A321 22.4
      B767 24.2
      B777 19.3

      So their fleet in general is old, especially A321s and B767. They will have to invest a lot of money into replacing them. Doing that for the A321 could be easy but what will they replace the 767s with? They can't afford B788s that's for sure and B777 might be too big for many routes they fly to.

      So OS long-haul future is more uncertain than some would think of it.

    24. Anonymous10:36

      Let's bring Lauda, Vueling and Wizzair to BEG and see if JU will survive. OS is struggling with growth because of the massive LCC expansion in VIE. So, stick to your humble regional ambitions instead.

    25. Anonymous11:22

      Ljudi pisu ovakve stvari a ne znaju da Wizz i Vueling vec godinama lete u Beogradu.

  3. Anonymous09:10

    I wonder if Etihad will keep its stake in Air Serbia.

  4. Anonymous09:10

    The show must go on.

  5. Anonymous09:10

    This was to be expected

  6. Anonymous09:11


  7. Anonymous09:12


  8. Anonymous09:20

    Salary tax in Serbia is 67%. Air Serbia, like the rest of companies in Serbia won't have to pay it until the end of the year. If a pilot earns €5.000 that means JU was paying another €3.350 to the government. This money will stay with the airline now. I expect JU to profit from this and to invest these funds in further consolidating its business.

    1. Anonymous09:40

      Hope they use that money to refurbish the remaining ATRs. :)

    2. They should get rid of the 30 year old ATRs and the Boeings.
      Right now is the best time to lease much, much newer aircraft at very low prices!

    3. Anonymous09:54

      Talking of new planes, have the ATRs and A319s arrived?

    4. Anonymous09:57

      No. The A319 were supposed to arrive in late March but by the looks of it they either cancelled the lease or managed to delay it and keep the planes in storage in Toulouse. As for ATR, according to articles here, they are not due till May.

    5. Anonymous10:07

      It was reported on here that one A319 is going to replace on A320. I am sure they won't need the extra capacity now. I guess they are keeping them in TLS until this all blows over.

    6. Anonymous11:54

      As far as I am aware, income tax in Serbia is 62% with prospect of going down further this year. NOT 67%.

    7. Anonymous13:34

      62% is the basic one, it goes all the way to 67% when you add a few more things, mostly insurance. It was 68% last year before they reduced it by 1%.

    8. Anonymous16:26

      Not quite sure what you are saying. Income tax is income tax. Add-ons do not form part of income tax, unless there's some other tax or contribution which is always accounted for separately.

    9. Anonymous18:14

      Well income tax on its own in Serbia is around 15%, you get to 62% and 67% thanks to add ons. I think about 40% of that amount is mandatory public health insurance.

    10. Anonymous21:07

      Oh my, this is so incorrect. Income tax is 10%, however, all other taxes are compulsory (state pension, state health insurance, state unemployment insurance). The math is a bit complicated, since there are non-taxable portions of the salary, but for "real" full-time employees (not contractors or self-employed) all these salary taxes amount to roughly 52%. Accounting-wise those taxes are split between the employer and the employee, but the employer handles all the administration and payments, so the employee gets their pay with all of the taxes deducted.

    11. Anonymous06:49

      Oh my, this is so incorrect. I work in a local company in Belgrade, we are all full time employees and taxes on our salary are 62%, not 52%, so I don't know what you are going on about.

  9. Anonymous09:23

    This might sound far fetched, but with proper planning and adequate support, Corona could prove beneficial for JU in the long run. With competitors like Tarom, Austrian, Croatia, Montenegro being also hit hard by this crisis, maybe JU coud, once more with adeqaute funding, be prepared to take over some portions of the market once everything starts getting back to normal.

    We have seen how important a single A332 was for obtaining medicial supplies for all over the world (PVG, CAN, LAX) and hopefully it is a signal that long-haul expansion is also beneficial for JU as well as Euro-mediterenian

    1. Anonymous09:30

      I agree with you and I think ATR can play a key role here because of its low costs. This is important in this period when people are price sensitive. Hopefully JU uses this opportunity to further consolidate its position in places like Tirana or Podgorica. I would be extremely surprised if OU goes ahead and launches flights. Don't forget that OU is also viciously attacked by AF on CDG-ZAG- their bread and butter route.

    2. Anonymous09:47

      Why do you think JU will come through this better than others? everyone is hard hit and every government will do the same: help their carriers.

    3. Anonymous09:52

      Because some other carries were in a bad shape before the crisis, JU wasn't. Look at OU, OS, RO... they all struggled before. Imagine what will happen now.

    4. Anonymous10:08

      The governments will put in money as in all countries.

    5. Anonymous10:25

      Yes but money will flow into them to keep them alive. They will not be used to fix the underlying problem. The same way OU needed a cash injection after getting €100 million. Just because you throw money at a business doesn't mean it will magically fix itself overnight.

  10. Anonymous09:26

    I would give all 5 bn € state aid to JU! Amen

  11. Anonymous09:30

    It will be scandalous if AGAIN the Serbian government puts money in JU, the Arabs do not put a single Dinar but they get to keep their 49.9% stake in the airline.
    ANY further subsidies should come with the state increasing substantially its ownership of JU stocks.

    1. Anonymous09:32

      My friend, as they say in my village, the deal with the Arabs is мртво слово на папиру. They no longer have any benefit from JU and they are not benefiting from it in any way or form. Only one to benefit from JU booming is the Serbian economy.

    2. Dejan09:45

      The Arabs get to own half of a company that the other partner continuously injects money in it in order to grow it and thus increase its value.
      They get the benefit without any effort or expense.
      That is a disgraceful arrangement than only Banana Republics used to make with Chiquita fruit company...

    3. Anonymous09:50

      What benefit? Please give concrete examples otherwise you will discredit yourself. Air Serbia even terminated JU800/801 and EY isn't bringing back the second daily flight.

    4. Anonymous09:59


    5. Dejan10:02

      EY owns 50% a company that is growing and expanding, that has millions of Euros put into it while they do not get to take even one UAE dollar out of their pocket!
      It does not get more concrete than that.
      With JU they made by far the best "investment" since they get zero risk and all the benefits.

    6. Anonymous10:09

      EY owns 49% of JU, please get your facts straight. Also, what benefit do they have from JU growing and expanding. Please give concrete examples of their benefits.

      And btw JU is the only airline to make it out in the end because the management contract was not renewed. Once they were out JU started to thrive.

      I guess you would rather JU go bust so that your fantasies can come true.

    7. Dejan10:17

      You are seriously asking how someone is benefiting by owning an asset?
      You are seriously asking why it is beneficial to have someone else continuously putting large sums of money to a company that you own half of it why you do not need to put anything?
      But you do get to keep 50% of it? Seriously dude? LOL!

      And who said that JU should close?
      Everyone with half a brain says that those who actually invest to the company should own it!

      So please just stop trying to defend the indefensible arrangement that exists between the state and UAE.
      And more importantly please stop trying to justify the continuation of this ridiculous situation. Only someone working for EY would try to do that...

    8. Dejan +1000
      The guy is desperately trying to keep the Arabs in ASL without them having to pay anything!
      And probably defend those who negotiated such a contract with them.

    9. Anonymous10:28

      For years you have only been posting on here the same thing which shows you have a malicious agenda and all you do is slander JU.

      Serbian government needs to invest into its national carrier because if it goes bust it is Belgrade that will feel the consequences, not Abu Dhabi. Etihad didn't feel the collapse of Jet Airways or Air Berlin so it won't feel the loss of JU.

      Yes, I am curious what benefit EY has from owning a minority stake in a small, still struggling, loss making airline in Eastern Europe. You still didn't give me any concrete examples, I am still waiting.

      So please do show some FACT in stead of your passionate hate for JU.

    10. Anonymous10:30

      Happy Taxpayer, no I am merely trying to keep this discussion realistic. love them or hate them without EY we would still be flying on Jat Airways which by now would be left with 3 operational aircraft in its fleet.

      Once again, you are attacking me without listing a single example of how EY is benefitting from owning JU. I want examples, give them to me or else stop polluting this fine portal with your hate.

    11. Dejan11:16

      For years you are just a troll desperate to defend the Arabs and Dane for their disastrous management decisions and the zero contributions they have made to the company for the last 5 of those years!
      Serbian government's needs to demand that the Arabs pay theirs fare share for the company as a 50% owner or see their ownership being diluted with every new subsidy!

      And because this arrangement is so indefensible you are trying to completely twist the argument that demanding that the Government take back ownership of the airline from their partner who does not contribute anything to it is somehow like asking to close down the airline!!! Joseph Goebbels would be proud!

    12. Dejan11:22

      And please keep making everyone laugh that we would still be flying with Jat and three aircraft while the GOVERMENT has poured over 300 million Euros to it!
      EY's only contribution was the disastrous "new wings of Europe" plan of expensive investments in WiFly, short haul Business class with offerings that only lang haul can justify and very expensive leases for EY owned aircraft and fees for consultancy services.

      So to answer your question JU to day would have been much better off if the Arabs had never set foot in it.
      The great investment the state made to it would have resulted to a successful airline much sooner. Could possibly had resulted into a profitable one too!

    13. Anonymous11:51

      You still didn't give an answer to his question Dejan. ;)

    14. Anonymous12:18

      Nonsense. How many successful government run companies do you know in Serbia? What makes you think government throwing money at Jat would have changed something especially since the state was giving them every year between €50 and €70 million. Why didn't something change then?

      Without Etihad, JU would not exist today. That's a fact. Arabs have forced the government to introduce painful changes in the airline, same ones government would have never done on its own so please spare us the pathetic fairytales from your last paragraph.

    15. @ Dejan
      Hey, just stop trying. You are hitting the wall with these guys. It could not get any more black and white but it is not enough for them. I red one good comment on the other news but it is applicable here as well regarding JU plans in the past and the future as well. " I have a cunning plan."

    16. Anonymous18:15

      Yes Unknown, his statement that JU would be better off today if there was no Etihad and if we stayed with Jat Airways makes perfect sense.

    17. Anonymous22:48

      A 10:30...
      I promise you, this is the BEST comment of the day. You just said it all. Thanks and hvala brat.

    18. Anonymous06:52

      It's unfortunate that six years on some people still can't make peace with the fact Jat Airways and Serbian aviation were saved. Seems like many have forgotten what it looked like to have to rely on Jat and their increasing number of triangular flights. Oh.. maybe they are thinking of Jat's exquisite fleet expansion by adding two ancient Bulgarian B733s with absolutely no legroom. Yeah, that was really nice.

    19. Anonymous18:34

      We have learnt a lot from Jat. Maybe the fleet was not the newest but the network was definitely much more efficient than any carrier in the region as well as punctuality and less negative comments. Customers had a more personal experience and overall safe travels.

    20. Anonymous19:54

      This was discussed ad nauseam five years ago here. Jat had fantastic history and amazing achievements over time, but the last couple of years of that brand were not their best. Consensus is that Air Serbia moved the bar ahead of the previous brand in all areas.

    21. Anonymous06:48

      Didn't Jat have like 2 operational ATRs by the end? I remember they had to cut so many destinations, I think Trieste was one of them.

  12. Anonymous09:51

    President Trump is giving $50 billion to US carriers and I am reading on the side that SQ is getting $13 billion. This only goes to show how important aviation is and why some like Macedonia and Slovenia should have never given up on having their own airlines they can control in times of crisis.

    1. Anonymous12:31

      If anything this shows exactly opposite of what you wrote. Countries like Macedonia and Slovenia won't have to pay a cent, but countries like Serbia, Croatia and Montenegro, which have to pay a lot of money to even keep their loss-making airlines flying during periods of economic growth, will have to pay exorbitant amounts of money to bail them out now that recession is coming.
      All very good, except that money doesn't grow on trees. These countries will also have to finance their healthcare, pay the rising number of unemployed people, bail out small businesses and a lot of other things.

    2. Anonymous12:34

      Macedonia pays significant money to Wizz Air each year, money which isn't kept circulating inside the country. If you think Wizz Air will come back to Macedonia under the same terms after this, I think you are mistaken.

    3. Anonymous13:01

      Macedonia pays significantly less to Wizz than other ex-Yu countries pay for their national airlines. Part of the money keeps circulating inside the country, because Wizz brings people to Macedonia, who then spend their money there. They could come back under even more favourable terms, due to the fact that their recent stint in Macedonia was profitable to them and after this crisis they will need every possible penny. They already have the planes and will need to use them in some way. Regardless, Macedonia will not be the country that will have to bail them out.

    4. Anonymous13:38

      North Macedonia also receives much less from Wizz Air than others do from their own national carriers. So you can't really compare them to other states.

    5. Anonymous14:26

      Nice words to sugarcoat the fact that NM can simply not afford a national carrier. But you are not alone (Slovakia)

    6. Anonymous14:39

      Quite sensible of Macedonia to choose not to waste money on a vanity project (any more). They had their stint with the statues.

    7. Anonymous18:16

      If Latvia or Iceland can do it then why can't Makedonija?

    8. Anonymous18:26

      Because they are 2-5 times richer per capita and can afford it?

    9. Anonymous18:27

      and Iceland is an ISLAND!

    10. Anonymous18:54

      So what if they are an island?!?!?! Malta and Cyprus and islands yet their airlines are not in best shape, it's all about vision and competence.

    11. Anonymous00:42

      Air Malta is profitable airline.

    12. Anonymous06:52

      Not really, KM is on the verge of bankruptcy.

  13. Anonymous10:55

    For AirSerbia seemingly every year is impacted by corona virus. ;)

    1. Anonymous11:03

      No, just this year.

    2. Anonymous11:59

      Amidst all you cynicism, you mentioned a wrong company in your commit.

    3. Anonymous12:24

      It should have been mentioned the company who gets 34 mil of illegal money or that receives for decades every single year PSO also for very profitable routes.
      Also the same company that got more than 100 mil about 7-8 years ago and did nothing with that money although they have enormous possibilities with their tourism.
      And beside all of it they have to sell LHR slots.
      JU is mala beba comparing with this kind of money burning company

    4. Anonymous00:49

      Air Serbia gets average 42 million EUR per year from state + 300 million EUR for restructuring
      Croatia gets 10 million PSO + 135 million EUR for restructuring

      So, Air Serbia gets 3 times more money in same period of time

      Only Zagreb-Dubrovnik in summer if profitable route, not even Zagreb-Split, especially not Zagreb-Zadar or Zagreb-Pula. In winter non routes are profitable, not even Zagreb-Dubrovnik.

      Why Ryanair, Wizz Air, easyJet or some other airlines does not fly Zagreb-Split, Zagreb-Zadar or even Zagreb-Dubrovnik? They can do it without any permits at all.

    5. Even if Air Serbia was getting 4 times the money, at least they are be productive and proactive with the money. OU on the other hand.....

    6. Anonymous05:40

      Air Serbia gets average 42 million EUR per year from state

      Not true. When your opening premise is incorrect, the rest of your so called thinking is not much of a value. It all boils down to your unhealthy obsession and jealousy. Over the last couple of weeks you were hoping thins crisis would result in Air Serbia being crushed and your airline and your city finally getting ahead. Now that your hopes have been destroyed by the news of Air Serbia being supported as one of critical companies in Serbia, you can't deal with the likely scenario of Air Serbia coming out of this crisis stronger than your airline/city. Cry me a river.

    7. Anonymous06:56

      Air Serbia does not get €42 million per year, please stop spreading lies and misinformation. Also, state subventions have been going down for a few years now indicating the airline is on the right track.

      As for OU, imagine throwing all those millions and to get a carrier that doesn't even fly to DUS or TXL, one of the two main epicenters of Croatian diaspora. So Croats technically pay way more given what they get in return. Biggest profiteer of this aid is actually Lufthansa and its daughter companies.

    8. Anonymous08:35

      Without JU Serbian tourism would be at a loss so the government gets everything back through more spending by these people who visit Serbia. A Russian that arrives on JU pays for his hotel, meals, drinks, clothes, souvenirs... including 20% VAT which is then collected by the government. So no matter how much JU gets, the government gets much more indirectly.

      Also don't forget the amount of foreign currency JU brings into Serbia from transfer passengers. Someone flying ATH-CPH via BEG leaves his money in Serbian banks without having any contact with the country.

    9. Anonymous15:26

      Apart from claims that the ASL aid has gained more income than loss there is no proof. Or why do you think GoS tries so hard to hide all those subsidies?

    10. Anonymous16:10

      US goverment is giving billions to support PRIVATE airlines in the USA during this crisis because of importance of airline transport for the economy. No objections here. Goverment of Serbia announced support for majority GOVERNMENT owned airline because of importance of airline transport and dozens are in delirium and hysteria here. Haters have double standards.

    11. Anonymous16:12

      And you have proof that GoS tried to hide all those subsidies? Really? They hid somehow the fact they declared JU a company of special importance making it eligible for direct state aid? You don't know what you are talking about.

      As for indirect benefit, please go and read the Oxford study.

    12. Anonymous19:44

      There has been a report of called insajder which states all the wrongdoings about ASL.
      This company is just a typical state owned mess.

    13. Anonymous19:55

      As soon as Serbia enters the EU European Commission will shut down the subsidies of that corpse called company. So better watch out AirSerbia fanboys.

    14. Anonymous20:03

      It is about Air Serbia not OU or whatever else. Just whataboutism comments passing by.

    15. Anonymous20:11

      Insajder report was shredded to pieces here when released. Look it up. They only used opinion from bitter former management (NYT does not give a f*** what fired airline management thinks when they report on US airlines), they completely ignored reports from reputable global aviation consultants that praised changes Air Serbia made to modernize, expand and improve (NYT would include those), Insajder ignored details on help other airlines in the region are getting compared to Air Serbia, did not inlude any contrarian opion (positive of Air Serbia developments), had questionable approach to how they presented Air Serbia accounting results and so on... Insader was more of a propaganda piece than independent journalism.

    16. Anonymous20:28

      Yeah, unlike the report stated ASL had such big profits that it was able to refinance all needs like new planes and whatsoever. Such a small company of about 20 planes from 3 manufactures and more subtypes cannot prevail on its own. Proven many times!

    17. Anonymous20:32

      Isolation is taking a toll on your thinking. What report? Bring it up and I'll shred it to pieces.

    18. Anonymous21:01

      You can surely shred the official report of ASL. Profits of max 20 million a year and many times even much less, for year 2018 12.2 million EUR do not provide a stable aviation company in such a competitive region like Europe. Let's take it for granted there was no subsidy at all, this is nevertheless plainly bad.

    19. Anonymous21:43

      What are your qualifications to decide what makes a stable aviation company? Nine decades of history works against your opinion. You are really hurtin' today, are you? Belgrade airport stock jumped 20% today on the news Air Serbia will be supported. Oh, burn...

    20. Anonymous21:58

      The list price of A320 is about 75 million EUR. Let's say ASL would get 80% off, which wasn't even granted to giant Lufthansa, a new plane would still cost 15 million EUR. Keeping in mind they need many more of them there is no way they could finance that in any way from their tiny profits. It's just another Balkan state owned loser company.

    21. Anonymous22:30

      Are we talking about the same Insajder that didn't know the difference between JAT and Jat? RIP investigative journalism.

    22. Anonymous23:28

      The way I read it, your answer to my question is "I have no qualifications". Another amateur using internet as a source to present itself as an analyst. Can you google "Did Air Serbia lease or buy their A320?"

    23. Anonymous06:50

      I do not understand why there is so much hate towards Serbia and JU. Why can't some people just be happy for us that we finally have an airline that can do wonderful things and that can actually become a major medium sized player?

    24. Anonymous10:20

      Keep neglecting my points and accusing everybody of having no clue and hating. Let's just enjoy like anon 06:50 what a wonderful airline we have, along we a wonderful economy, along we a truthful wonderful government and so on...

  14. I think Air Serbia will do ok in the long run. The diaspora visitor numbers will bounce back much quicker than the rest of the travelers (business and tourism) and I think that holds true worldwide. Companies now have had to experience video conferencing and other communication methods so that business trips will be lower for a very long time. It also stands to see how many companies survive this as the governments can only bail out a limited number effectively. Travel will be down for a while. It may recover but that may take years. However as with any crisis, there is opportunity. The opportunity here is to be able to renew the fleet for a lower cost (as airlines will be shedding fleet providing more supply).

    1. Anonymous15:30

      Anon 14:21 Why are you saying on the long run? I think right away imagine the QTY of people now in Serbia just waiting for the borders to re-open to leave back for work. Demand will be immedate and BIG!

    2. Anonymous19:13

      They are saying that Italy should stabilize in early May, I am sure JU will be among the first airlines to return. Alitalia is more or less fully operational so they will have transfer options and they also have a massive local market.

      I think all of us fans in ex-YU should follow what's going on with Aegean, Tarom and so on.

  15. Anonymous20:35

    Unbelievable... everybody cheering to give money to a money losing company so it very probably continues losing even more money.

    I will attribute this to the confinement everybody is in right now, and not to plain stupidity.

    1. Anonymous20:57

      Money will also be provided to the Airline from your City and Country and many other airlines, just give it some time. You will then praise your governent and how they made the right decision to support affected Airline so important to economy in your City and Country.

    2. Anonymous06:57

      Money is being provided to a transforming business that soon enough no longer will be loss-making. Government needs to spend money to make money. You obviously don't work in the private sector so you don't know how things work there yet you are sharing your mean opinion only to throw mud at Serbia's most prospective company after Nordeus.

  16. Jelena00:14

    What the f*** is going on here? Hahah omg this is so funny...

  17. Anonymous15:29

    Corona has come like an ace to a ten.

  18. Anonymous16:25

    Belgrade airport and JU were shut down during 1999 bombing. Other exyu airlines and most other airports were open and used that situation to get ahead of BEG and JU in terms of passenger numbers. Did they use that advantage to permanently get ahead of BEG/JU? Not at all, once operations returned to normal BEG/JU recovered and over time restored Number 1 position in exyu.

    This should be a learning for those who enjoy counting current number of passengers of exyu airports and airlines during this crisis. With this financial support for Air Serbia (and by extension BEG airport as well), BEG/JU will surely climb back to top spot. Your effort is futile.

    1. Anonymous17:10

      TSR and BUD have profitted the most from BEG being shut down in the 1990s. Don't forget that even in the 1990s most flew out of BUD because there weren't enough options out of BEG.
      This is an unfortunate turn of events for BEG but like you said, the airport will bounce back.

    2. Anonymous18:37

      TSR figures will most likely soar in the future and more London passengers will be attracted. It is still a quite affordable airport to reach and prices are quite decent. W6 presence means also more catchment area from NE Serbia region.

    3. Anonymous19:38

      What part of "EX YU" did you not understand? ZAG, LJU, SPU ...

    4. Anonymous22:31

      TSR was struggling before Corona, now they should be lucky if they pass one million.

  19. Anonymous16:52

    How will this affect the salaries of pilots and crew that are working in Air Serbia?
    What do you think guys will this affect them also?

    1. Anonymous17:09

      Taxes on salaries are being suspended as long as there is state of emergency meaning JU will have an easier time paying salaries. For example, now they will save roughly €3.350 per pilot. Naturally those who are not flying will earn less because they have fewer flying hours clocked in.

      Don't forget that in Serbia you can't pay out salaries until you have paid taxes to the government.

  20. Anonymous17:11

    Unfortunately I have a feeling some won't calm down until JU is shut down. Btw today I passed through the airport and the terminal expansion is progressing really nicely. From what I could see they are already beyond the basic foundation work.

    1. Anonymous19:35

      Most normal people are here to discuss aviation topics, not to heal those that need help because Air Serbia exists. JU has been around for 92 years so they will have to find ways to deal with their pain for many more years.

  21. Anonymous18:52

    They will never shut down Air Serbia,the existance and its further development is very important to the current president and his party!

    1. Anonymous19:21

      Is this why countries all over the world are supporting or planning to support their own airlines? Of course not you ****, it's because airlines are critical part of transportation infrastructure.

    2. Anonymous21:20

      Maybe in third world countries there are plans to have state owned companies. The USA, Germany and many other modern countries do not have state run companies at all nor do they plan to have any. They just provide the infrastructure such as airports.

    3. Anonymous21:51

      That's how aviation works, USA and Germany have tools that protect airlines as needed. US allowed post-bankrupcy mergers that created US3 cartel-like market conditions, and Germany routinely uses every tool at their disposal from EC to pressuring smaller countries to get their way when it comes to supporting LH. US will so far give at least $50B to private airlines and LH was one of the first to ask for government help. Airports without functioning airlines are not infrastructure, they are deadweight. Private or govt owned, countries desperately need them and will do as much as possible to help them.

    4. Anonymous22:12

      There is no problem of helping privately owned companies in such conditions they are not held accountable for - if they have a running and profitable business model which is the case for companies like Delta or Lufthansa.
      Balkan state owned companies have a long track record for misusing and corrupting tax payers' money and the corrupt situations in the Balkan states themselves have not changed until today.
      It would be way better to invest this money meant for ASL into rotting schools and education which would pay far better off.

    5. Anonymous22:33

      Google Chapter 11 in the US and you will see why they don't need traditional subsidies.

    6. Anonymous23:20

      -Balkan state owned companies have a long track record for misusing and corrupting tax payers' money and the corrupt situations in the Balkan states themselves have not changed until today.


      -It would be way better to invest this money meant for ASL into rotting schools and education which would pay far better off.

      You meant to say $50B for subsidy of US airlines could be really better used by donating to NY state to deal with current healthcare meltdown?

      -Google Chapter 11 in the US


      Now a question for you since you are drifting away from Air Serbia. Show me one evidence that your Air Serbia hate comments managed to make one single dent when it comes to Air Serbia fleet size, number of passengers, number destinations etc. Just one.

  22. Anonymous23:49

    Generalization: The general situation of state owned companies was and is bad. How big are the chances ASL will be different? There is simply no trust anymore left. The second owner Etihad has not invested a single dime into ASL since they bought their stake first. Even they lost hope.

    Concerning US airlines: Again, they show to make up way bigger profits so they will be able to pay it back. ASL was and is in a critical situation so they cancelled their order with Airbus for new planes. If they had the money like US airlines they would have bought the planes and would thrive with leasing planes. It is the same model Adria tried to and they failed too.

    Calling every criticism hate might make seem things easier for you. But in general it shows your lack of proof so you're choosing the personal attack.

    1. Anonymous00:50

      It's not personal, ad hominem at all. You don't have a name but you also don't have a clue. US package is a $25B grant that will not be paid back and you talk about profitability of US airlines to pay it back! Other $25 are loan guarantees only if needed. Air Serbia did not cancel Airbus order because of this virus or any other `critical situation` as you said. They don't need 10 A320 planes, that's clear to everyone except you. Adria model was not even close to what Air Serbia is doing. Why comment on it when you have no clue? That's what makes it a hate, because you have no knowledge and still want to vent against Air Serbia. So one more time: show me how are your comments effective against Air Serbia. Waiting.

    2. Anonymous06:55

      How can EY lose hope when they never had it in the first place. Don't forget that EY never intended to invest into JU, it was a political decision and we all know it. The government paid them basically for consultancy to transform the airline and to make it competitive. They did that. Why should EY invest into something they never really wanted in the first place?

      Air Serbia's transformation was something Serbia wanted and something Serbia needed. Jat Airways never had a long-term chance, at best they had another two years in them. Air Serbia has been transformed into a competitive business that could eventually stand on its own feet.

      No one lost hope but if anyone should lose some hope then it's bitter people like you who still hope Air Serbia will fail. This amount of jealousy can't be healthy.

  23. Anonymous10:16

    Again at the end just hate accusations. I guess that's all you are able to in the whole end.

    1. Anonymous10:33

      Anon 06:55 If EY never had intentions to invest into Air Serbia why did they gain a 49% stake? Obviously they invested and had interest at first place which is just a delusional contradiction of your statement.

      If they really just wanted to do the consultancy they could have just sticked to the consultancy contract they had and not attain any stakes or whatsoever. But they did not. They had the idea of bringing losing airlines together in order to make them profitable. As we all know it failed. Air Berlin, Jet Airways gone bankrupt, Alitalia living of state aid, not to mention the other failed attempts to include Air Seychelles and so on.

      But nevertheless ASL won't fail as soon as SNS is ruling. It is their project and they won't let it fail.

    2. Anonymous11:12

      SNS nije na vlasti 92 godine. JU je nadziveo sve vlasti i tako ce biti i dalje.