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Armavia pays 20 per cent of outstanding debt to Zvartnots: flights resumed
YEREVAN, October 19. / ARKA /. Armenia's national air carrier Armavia
said it had paid about 20% of its $3.6 million outstanding service
debt to Zvartnots international airport, following which the facility
resumed the flights, suspended again this morning. A spokeswoman for
Zvartnots, Gevorg Abrahamyan, said the transfer was made and the debt
was reduced to $3 million.
The dispute between Armavia and Zvartnots is about the level of
service charges set by the airport. Flights have been suspended
several times - in November 2011, March, in September and earlier
October 2012 and most recently today morning.
Armavia argues that the service charges at Zvartnots, Armenia's main
international airport are unreasonably high. Mikhail Baghdasarov, the
airline's majority shareholder since 2005, has several times said that
Armavia might be forced to file for bankruptcy unless the charges are
reduced. After the September suspension the sides were said to have
signed a new debt-restructuring deal.
Earlier, Armavia said it was paying the debt on a daily basis claiming
also that the suspensions were prompted by the plans of Armavia to
sell its shares.
Armavia operates more than 100 flights a week to 40 destinations in 20
countries. In April 2011, it became the first commercial airline to
put a Russian-made Sukhoi Superjet 100 into operation, but later
cancelled its order for a second Superjet and tried to return the
first. However, on October 5, Sukhoi announced that it had reached a
new six-month leasing agreement with Armavia on the Superjet.
Zvartnots airport is run by Armenia - International Airports company
under a 30-year concession agreement signed with the Armenian
government in 2001. The owner of the company is the Argentine American
International Airports, owned by Argentine citizen of Armenian origin
Eduardo Eurnekian. -0-
YEREVAN, October 19. / ARKA /. Armenia's national air carrier Armavia
said it had paid about 20% of its $3.6 million outstanding service
debt to Zvartnots international airport, following which the facility
resumed the flights, suspended again this morning. A spokeswoman for
Zvartnots, Gevorg Abrahamyan, said the transfer was made and the debt
was reduced to $3 million.
The dispute between Armavia and Zvartnots is about the level of
service charges set by the airport. Flights have been suspended
several times - in November 2011, March, in September and earlier
October 2012 and most recently today morning.
Armavia argues that the service charges at Zvartnots, Armenia's main
international airport are unreasonably high. Mikhail Baghdasarov, the
airline's majority shareholder since 2005, has several times said that
Armavia might be forced to file for bankruptcy unless the charges are
reduced. After the September suspension the sides were said to have
signed a new debt-restructuring deal.
Earlier, Armavia said it was paying the debt on a daily basis claiming
also that the suspensions were prompted by the plans of Armavia to
sell its shares.
Armavia operates more than 100 flights a week to 40 destinations in 20
countries. In April 2011, it became the first commercial airline to
put a Russian-made Sukhoi Superjet 100 into operation, but later
cancelled its order for a second Superjet and tried to return the
first. However, on October 5, Sukhoi announced that it had reached a
new six-month leasing agreement with Armavia on the Superjet.
Zvartnots airport is run by Armenia - International Airports company
under a 30-year concession agreement signed with the Armenian
government in 2001. The owner of the company is the Argentine American
International Airports, owned by Argentine citizen of Armenian origin
Eduardo Eurnekian. -0-