January 15, 2020 – Ahead of the final stage of the Croatia Airlines privatization process, which is slated for June 2020, the Croatian national carrier confirmed that it would expand its fleet and route network this year.
Namely, Ex Yu Aviation News reported that the national carrier is currently speaking with Montenegro Airlines about a service between Zagreb and Podgorica, which should run three times per week. Recall, back in 2019, Supervisory Board president Zlatko Mateša said that Croatia Airlines was focused on launching services to Sofia and Podgorica.
Croatia Airlines will also boost operations on a number of flights this summer, which is confirmed by the larger Airbus A319 aircraft that will service several destinations on select days. This is an upgrade from the wet-leased Air Nostrum Bombardier CRJ1000. Furthermore, Croatia Airlines has said it will again use the 100-seat CRJ1000 jets on selected routes.
“The future structure of the country’s Public Service Obligation (PSO) flights will also have an impact on Croatia Airlines’ network. A new four-year contract for the upkeep of subsidized domestic flights will come into force this year, with the Croatian government looking to increase funding in order to include more services,” Ex Yu Aviation News added.
Aegean Airlines and Air Nostrum have submitted non-binding bids for Croatia Airlines thus far. Furthermore, last week, Prime Minister Andrej Plenković and Executive Vice President of the European Commission, Margrethe Vestager discussed the government’s efforts to privatize the national carrier.
In 2019, the Croatian government granted Croatia Airlines EUER 33.7 million. Just over 20 million of this amount will be available this year, that is, only if Croatia Airlines successfully sells or recapitalizes the airline by the middle of 2020, Ex Yu Aviation News added.
The European Commission has said it was in touch with Croatian authorities and was monitoring developments regarding this process.
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