Support The Moscow Times!

Aeroflot to Create New Budget Subsidiary by End of 2014

Russia's flagship airline, Aeroflot, will create a new low-cost subsidiary to replace sanctions-slain Dobrolyot by the end of the year, Transportation Minister Maxim Sokolov said Friday, Interfax reported.

The EU imposed sanctions on Dobrolyot in July because the company operated flights to Crimea, which was annexed by Russia in March. The sanctions derailed the company's Boeing 737 leases, which were provided by an Irish company, leaving the carrier plane-less after less than two months of service.

Aeroflot has not given up on the low-cost business model, however, and so a new legal entity will be formed in an attempt to resurrect the project by the end of 2014, Sokolov said.

Aeroflot CEO Vitaly Savelyev on Monday said the new budget airline will begin flights to Russian towns such as Samara, Perm, Ufa and Volgograd in October, adding that the decision to fly to Crimea would depend on consumer demand, but his time frame appears to have been too ambitious.

Sign up for our free weekly newsletter

Our weekly newsletter contains a hand-picked selection of news, features, analysis and more from The Moscow Times. You will receive it in your mailbox every Friday. Never miss the latest news from Russia. Preview
Subscribers agree to the Privacy Policy

A Message from The Moscow Times:

Dear readers,

We are facing unprecedented challenges. Russia's Prosecutor General's Office has designated The Moscow Times as an "undesirable" organization, criminalizing our work and putting our staff at risk of prosecution. This follows our earlier unjust labeling as a "foreign agent."

These actions are direct attempts to silence independent journalism in Russia. The authorities claim our work "discredits the decisions of the Russian leadership." We see things differently: we strive to provide accurate, unbiased reporting on Russia.

We, the journalists of The Moscow Times, refuse to be silenced. But to continue our work, we need your help.

Your support, no matter how small, makes a world of difference. If you can, please support us monthly starting from just $2. It's quick to set up, and every contribution makes a significant impact.

By supporting The Moscow Times, you're defending open, independent journalism in the face of repression. Thank you for standing with us.

Once
Monthly
Annual
Continue
paiment methods
Not ready to support today?
Remind me later.

Read more