newstodate.aero
Apr 07, 2014 (newstodate): Estonian Air has still to announce a date for publication of its results in 2013.
Profitability remains a goal for Estonian Air that has earlier set 2014 as the year of return to black figures, but among the carrier's grievances is the redundancy by two aircraft in the fleet.
-We still have seven aircraft in the fleet while the current route structure requires only five aircraft. One of these two Embraer E-170 redundant aircraft has now been placed with ACS in an effort to seek ACMI contracts, but we still share the operational costs of this aircraft, in addition to the full costs of the second excess aircraft, Jan Palmer, Estonian Ai9r's CEO told newstodate in February this year.
According to later press reports, the airline admits that it has proved difficult to cover the costs of these two redundant aircraft by charter operations, leaving a negative impact on the over-all economic performance.
Estonian Air owns the three Bombardier CRJ900 aircraft in the fleet, while the four Embraer E-170 aircraft have been leased from Finnair on a contract expiring by late 2015.
Warnings are now that the carrier may only be able to reach profitability in 2015, one year later than earlier hoped.
Looming on the horizon is still the outcome of an investigation by the EU Commission to verify if a state grant in December for a 8.3 mio euro loan to Estonian Air falls within acceptable limits.
Should the verdict of the Commission require the carrier to repay the state aid, Estonian Air would most probably face bankruptcy despite ongoing and successful efforts to turn the carrier around.
If the verdict supports Estonian Air, the carrier would be in shape for the state to sell part of its stake to another party.
Profitability remains a goal for Estonian Air that has earlier set 2014 as the year of return to black figures, but among the carrier's grievances is the redundancy by two aircraft in the fleet.
-We still have seven aircraft in the fleet while the current route structure requires only five aircraft. One of these two Embraer E-170 redundant aircraft has now been placed with ACS in an effort to seek ACMI contracts, but we still share the operational costs of this aircraft, in addition to the full costs of the second excess aircraft, Jan Palmer, Estonian Ai9r's CEO told newstodate in February this year.
According to later press reports, the airline admits that it has proved difficult to cover the costs of these two redundant aircraft by charter operations, leaving a negative impact on the over-all economic performance.
Estonian Air owns the three Bombardier CRJ900 aircraft in the fleet, while the four Embraer E-170 aircraft have been leased from Finnair on a contract expiring by late 2015.
Warnings are now that the carrier may only be able to reach profitability in 2015, one year later than earlier hoped.
Looming on the horizon is still the outcome of an investigation by the EU Commission to verify if a state grant in December for a 8.3 mio euro loan to Estonian Air falls within acceptable limits.
Should the verdict of the Commission require the carrier to repay the state aid, Estonian Air would most probably face bankruptcy despite ongoing and successful efforts to turn the carrier around.
If the verdict supports Estonian Air, the carrier would be in shape for the state to sell part of its stake to another party.