newstodate.aero
Sep 30, 2014 (newstodate): One more Russian carrier to feel the heat from Western sanctions and effects from the crisis over Ukraine is Ural Airlines.
In the fleet of Ural Airlines are 20 Airbus A320, 10 Airbus Airbus A321 and five Airbus A319, all on leasing contracts with Western leasing firms.
Due to the declining value of the Russian currency, the leasing costs are now up 20 percent compared to the time before the Ukraine/Russia crisis, taking a heavy toll on the airline's financial health.
Also contributing to the plights of the carrier are the rising fuel costs including a hike by 6.7 percent in August 2014 alone.
The carrier is already seeing growing debts forcing the owners to seek new loans and credits at high rates, while unable to raise prices on air transportation.
In the fleet of Ural Airlines are 20 Airbus A320, 10 Airbus Airbus A321 and five Airbus A319, all on leasing contracts with Western leasing firms.
Due to the declining value of the Russian currency, the leasing costs are now up 20 percent compared to the time before the Ukraine/Russia crisis, taking a heavy toll on the airline's financial health.
Also contributing to the plights of the carrier are the rising fuel costs including a hike by 6.7 percent in August 2014 alone.
The carrier is already seeing growing debts forcing the owners to seek new loans and credits at high rates, while unable to raise prices on air transportation.