Krasnoyarsk regional airlines ordered to cease trading (230 words)

Published: 9/4/2000

The Krasnoyarsk Regional Arbitrage Court has initiated bankruptcy proceedings against the State Unitary Enterprise (GUP) Yeniseysky Meredian (YM) based in Northern Russia, which encompasses Yeniseysk, Igarsk, Kezhema, Turukhansk, Turinsk, Baikitsk, Norilsk airlines and Kansk airport. Turinsky airline has already been instructed to cease trading, although Norilsk Airlines, according to Stanislav Srebryansky, its General Director, has yet to receive any instructions. GUP Yeniseysky Meredian was created in 1995 soon after the privatisation of the Krasnoyarsk Airlines, with the objective of allowing the airlines to survive serving intra-regional routes. It became clear soon after its foundation that it lacked both the funding and the capability to develop its component entities, leaving it unable to keep its fleet flying, never mind renovating and upgrading. The bankruptcy hearing is scheduled for 5th September and Srebryansky noted that together with Johnson Khagazheyev , General Director of the Norilsk Mining Company, and the Head of the Norilsk administration are looking at measures to prevent problems for airlines. In particular, this will includes the reconstruction of the Alykel Airport of Norilsk Airlines, which is owed 12m rubles by YM. Srebryansky is concerned that new managers appointed under administration will not necessarily improve situation and may threaten the programmes, such as the airport, currently underway.

Article ID: 2050