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Domodedovo airport to house Aeroflot’s low-cost division

Russian flag carrier is inclined to place its yet-to-be-created low-fare unit in Domodedovo airport rather than its current main base in Sheremetyevo.

Moscow-based Vedomosti newspaper wrote that Aeroflot is considering creation of a low cost carrier by 2013. It will operate out of Domodedovo rather than Sheremetyevo due to “congestions” in the latter airport. Should the new branch be placed in Sheremetyevo, Aeroflot’s expansion may go 10% slower, according to Vedomosti.

Aeroflot general director Vitaly Savelyev started speaking of a low-fare division after Russian prime minister Vladimir Putin instructed Russian Technologies state corporation (Rostechnologii) to hand its aviation assets over to Aeroflot – Putin made such decision at insistence of transportation minister Igor Levitin when they discussed the matter in February.

Creation of a discounter airline was formally put on the agenda after the flag carrier accepted its new development strategy up to year 2025. The LOC is believed to be established on the base of Saratov Airlines, which is “unlikely” to get a place in Sheremetyevo.

Apart from the parent airline, Aeroflot group also includes Nordavia and Donavia. The group is going to be expanded by inclusion of GTK Rossiya, Vladivostok Avia, Orenburg Airlines and other Rostechnologii aviation assets. This year the group’s consolidated traffic is estimated at 21.8 million passengers. The figure is predicted to increase up to 72.5 million in the next fifteen years, according to the new strategy, while its previous edition version forecasted even higher rise, to 79.5 million passengers.

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URL: http://www.ruaviation.com/news/2010/12/22/61/?h