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Xinhua General News Service, China
March 29, 2013 Friday 10:25 AM EST
Armenia's flag carrier to declare bankruptcy
YEREVAN March 29
Armenia's flag carrier, Armavia, will terminate all flights as of
April 1 to start the process of bankruptcy, the Armenpress news agency
reported Friday.
Over the past three years, Mikael Baghdasarov, an Armenian businessman
whose trading company owns Armavia, withdrew money from his other
businesses to invest in the airline to maintain its operations and
development.
However, the airline had decided that it was no longer feasible to
continue in such a way, Armenpress said.
Armavia was founded in 1996, but its commercial flights only started in 2001.
In 2003, Armenian Airlines, the country's national carrier, declared
bankruptcy and many of its flights were taken over by Armavia. The
airline became Armenia's flag carrier after it took over the flights
of Armenian International Airways, another Armenian airline which
declared bankruptcy in 2005.
Negotiations were underway regarding the sale of the company. Armavia
had announced that negotiations were being held with Italian and other
foreign companies, Armenpress said.
March 29, 2013 Friday 10:25 AM EST
Armenia's flag carrier to declare bankruptcy
YEREVAN March 29
Armenia's flag carrier, Armavia, will terminate all flights as of
April 1 to start the process of bankruptcy, the Armenpress news agency
reported Friday.
Over the past three years, Mikael Baghdasarov, an Armenian businessman
whose trading company owns Armavia, withdrew money from his other
businesses to invest in the airline to maintain its operations and
development.
However, the airline had decided that it was no longer feasible to
continue in such a way, Armenpress said.
Armavia was founded in 1996, but its commercial flights only started in 2001.
In 2003, Armenian Airlines, the country's national carrier, declared
bankruptcy and many of its flights were taken over by Armavia. The
airline became Armenia's flag carrier after it took over the flights
of Armenian International Airways, another Armenian airline which
declared bankruptcy in 2005.
Negotiations were underway regarding the sale of the company. Armavia
had announced that negotiations were being held with Italian and other
foreign companies, Armenpress said.