Montenegro Airlines is one of the most successful state projects in the previous quarter of a century and we really have the reason to be proud of the previous period, the chair of the Board of Directors of Montenegro Airlines, Mr Nikola Vukićević, says in an interview for Dnevne Novine daily.
According to him, the Law on Investing in the Consolidation and Development of the National Airline has ensured the development of a new, more flexible and market-oriented MA. The goal, he says, is to create an airline that will operate successfully on the international market in a year or two.
Speaking about the consequences of the novel coronavirus for the national airline and the current financial situation in that company, Mr Vukićević stated: “Unfortunately, the Covid-19 epidemic disrupted business plans for this year. In 2020, we will generate far less revenues and transport far fewer passengers than planned. In the period from January to July 2020, we generated nearly €30 million less revenues compared to the same period last year. We still cannot quantify the consequences of the crisis, as now we are focused on the summer season, trying to achieve the best possible results in accordance with objective possibilities. At the end of September, we will have a clearer picture of this year’s business results. The company manages to fulfill its liabilities thanks to the funds ensured by the special law and the budget law.”
As MA greatly contributed to the fight against the coronavirus by returning our nationals to MNE, when asked to say about all the costs incurred in that period, he said: “The role of MA in the time of the coronavirus outbreak showed all the advantages of having the national airline. As a state, we could react quickly and solve the urgent needs of the health and economic system by hiring our own planes, in a situation when there were no free passenger and cargo capacities on the market. From 16 March to 11 June, a total of 3.325 passengers were transported on charter flights, as well as a significant amount of various goods.”
On the number of flights in July and the current financial situation in the airline, Mr Vukićević said: “In the first six months of 2020, about 65.000 passengers were transported, while in the same period last year, 238.000 passengers were transported in regular traffic. The data for July are even more devastating – 8.500 passengers were registered, while in July 2019 we transported 87.000 passengers, i.e. less than 10% of the last year’s figures. Through numerous business optimization measures, we have significantly reduced variable costs, including salaries, the prices of aviation fuel are lower than in the previous period, we haven’t rented additional capacities … For now, we have enough funds to meet due obligations.”
Commenting on the air travel, restarting flights to Russia and Serbia, the chair of the Board of Directors of Montenegro Airlines noted “the company’s professional services are in constant communication with competent bodies and our business partners from Serbia and Russia. Unfortunately, this is not a commercial issue, as the start of flights depends on the health situation that is confirmed by competent state bodies. The situation changes on a daily basis, so it’s ungrateful to give any estimation. For now, we do not have reliable information on whether and since when we will get flying to Serbia again. The same is for Russia although we expect to get their positive feedback soon following the decision of our authorities. In the best-case scenario, we might restart flights to Russia in mid-August, i.e. as soon as they give the green light to us.”
