newstodate.aero
Feb 13, 2014 (newstodate): While awaiting the outcome of the EU probe into the legality of state loans in support of its restructuring program, Estonian Air still has to make plans for the future.
Part of these plans is the issue of the carrier's future aircraft fleet that currently comprises three company-owned Bombardier CRJ900 and four Embraer E-170 aircraft on a lease from Finnair expiring in 2015.
-As matters stand right now, we are in excess of two aircraft, which is a burden we have to bear but which we seek to remedy through placing one aircraft in the UK in cooperation with ACS to address the European ACMI and charter market, says Jan Palmer, Estonian Air CEO.
-We have reined in our flight services to provide the country with frequent services between Tallinn and the most vital business and political centers in Europe. This constitutes our core route network that will remain until we have the financial muscles to expand again in the future given a positive outcome of the EU probe.
-Anyhow, fleet planning is a long-term, forward-looking process as aircraft do not just come days after an order is placed. We are therefore already deep into the process of evaluating aircraft type options to meet future needs.
-I would envisage a fleet comprising either Bombardier or Embraer aircraft, with both options open. We will probably not need larger aircraft in the foreseeable future as Estonia is indeed a small market with limited growth potentials, says Mr Palmer.
According to Mr Palmer, the outcome of the EU probe is certainly crucial to the carrier's future; if the EU Commission should rule that Estonian Air must repay the state loans, that would spell the end of the carrier.
Estonian Air is only one among a number of European carriers under EU Investigation, and with EU elections coming up later in 2014, no progress on the probe is expected until a new Commission is installed and new commissars appointed and settled in Brussels, which will in itself make the probe a lengthy process.
Part of these plans is the issue of the carrier's future aircraft fleet that currently comprises three company-owned Bombardier CRJ900 and four Embraer E-170 aircraft on a lease from Finnair expiring in 2015.
-As matters stand right now, we are in excess of two aircraft, which is a burden we have to bear but which we seek to remedy through placing one aircraft in the UK in cooperation with ACS to address the European ACMI and charter market, says Jan Palmer, Estonian Air CEO.
-We have reined in our flight services to provide the country with frequent services between Tallinn and the most vital business and political centers in Europe. This constitutes our core route network that will remain until we have the financial muscles to expand again in the future given a positive outcome of the EU probe.
-Anyhow, fleet planning is a long-term, forward-looking process as aircraft do not just come days after an order is placed. We are therefore already deep into the process of evaluating aircraft type options to meet future needs.
-I would envisage a fleet comprising either Bombardier or Embraer aircraft, with both options open. We will probably not need larger aircraft in the foreseeable future as Estonia is indeed a small market with limited growth potentials, says Mr Palmer.
According to Mr Palmer, the outcome of the EU probe is certainly crucial to the carrier's future; if the EU Commission should rule that Estonian Air must repay the state loans, that would spell the end of the carrier.
Estonian Air is only one among a number of European carriers under EU Investigation, and with EU elections coming up later in 2014, no progress on the probe is expected until a new Commission is installed and new commissars appointed and settled in Brussels, which will in itself make the probe a lengthy process.