Air Kazakhstan figures up despite overall industry figures being down (476 words)

Published: 4/5/2001

The Kazakhstan State Statistics Committee has reported that, in 2000, its 45 airlines carried 768,200 passengers (2.3% less than in 1999) and 14,200 tonnes of cargo (17.3% less than in 1999), the companies recording a combined loss of 4.7bn tenge ($32m). The national carrier of Kazakhstan, Air Kazakhstan, managed to improve its operating results carrying 481,000 passengers, an increase of 8% on 1999 and 4,900 tonnes of cargo, up by 41% on the previous year. According to Air Kazakhstan, the improvement in its performance has been due to its ability to attract passenger and cargo from other Kazak carriers. The carrier increased its share of passenger transportation from 57% in 1999 to 63% in 2000, and in cargo transportation from 20% in 1999 to 35% in 2000. The carrier however, remains heavily indebted both to the state and other creditors, with the effect of widening its losses for the period. The private airlines, currently with a 12.3% share of the market, in 2000 carried around 94,500 passengers (an increase of 24% on 1999), while the state-owned airlines, excluding Air Kazakhstan, saw their share fall by 27% to around 193,000 passengers. Private airlines continue to dominate cargo transportation, in 2000, with a share of 60%. The volume carried fell by 15% to 8,200 tonnes, although the airline did report that the increased distance of carriage for air cargo compensated for the decline. While Air Kazakhstan managed to attract cargo, the rest of the state airlines saw volumes fall by 73% in 2000. Despite the relative top line health of the private airlines they recorded losses of 113.9m tenge ($780,000). In 2000, azak airports served 30,900 aircraft (an increase of 5.9% on 1999), serving 839,900 passengers or 0.7% more than in 1999, generating a profit of 10.1m tenge. Most of the profit in the sector accrued to Kazairnavigation, the air navigation company, which recorded profits of 3.2bn tenge ($22m) in 2000, and revenues that increased 20.8% over 1999 to 7.3bn tenge. A 37.4% increase in costs to 4.2bn tenge for the modernisation of radio navigation equipment, did dampen the top line. Kazakhstan is also in the process of modernising and rebuilding its airports. The reconstruction of Astana International Airport is underway, assisted by the Japanese Fund of Economic Co-operation, and the Islamic Bank of Development is providing money to reconstruct the runway at Atyrau Airport. State statistics show that the major international destination for passengers is the CIS, with Russian airlines carrying 45% of those travelling, 34% by Kazak carriers and the 16% balance by Uzbekistan, Turkmenistan, Tajikistan, Azerbaijan and Kyrgyzstan carriers. Kazak airlines carry 63% of passengers to non-CIS destinations, with German airlines carrying 18% of passengers, and airlines from Iran, Turkey, the Netherlands and China being responsible for the balance.

Article ID: 2463