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2004

December

In December Aeroflot introduced a new service standard for flights to London.

On December 6 a group of auditors representing SkyTeam Alliance made its first Aeroflot flight safety audit according to IOSA (International Operational Safety Audit adopted by IATA). Due to IATA demands, all members of this international association were to be certificated according to IOSA standards by 2006. At Aeroflot, the certification audit of our company took place at the end of 2005.

On December 9 Aeroflot airline Company established a new Internet site: Aeroflot Junior at junior.aeroflot.ru, specially for young passengers.

On December 23 Aeroflot Air Technical Center (ATC) received certification and started independent C-check maintenance of A320 planes produced by Airbus Company. This increased the efficiency of fleet utilization, reducing maintenance time and decreasing the cost of planned aeroplane maintenance.

Over 2004, Aeroflot carried 6.862 million passengers (up 17.4% against 2003) and 146 700 tons of post and freight; this amounted to 21.001 billion passenger-kilometers and 2.745 billion ton-kilometers (up 21.8% against 2003). The passenger seat occupancy rate was 69.0 %. The percentage of enplaned traffic was 58.2 %; this exceeded the level in 2003 by 1.2 %.

November

In November Aeroflot introduced a new service standard for flights to Shanghai and Seoul.

On November 23, summing up the results of the t”The Best Accounts Department in Russia-2004” competition, the Committee of the International Forum of Accountants and Auditors declared Aeroflot - Russian Airlines Accounting Department to be the winner. Andrey Trusov, Aeroflot Chief Accountant, received the honorary ”Russian Accounting System Honoured Member- 2004” award.

On November 30 in Hanger 1 of the Air Technical Centre there took place a grand meeting dedicated to the completion of deliveries to Aeroflot as part of the programme of restructuring its air fleet of A320 aircraft. The project with Airbus Company, started in 2002, was completed with the delivery of the 18th plane, an А321 (“Musorgsky”).

October

On October 7 Valery Okulov, Director General of Aeroflot - Russian Airlines, and Vidas Zvinys, Director General of Lithuanian Airlines, signed a Code-Sharing Agreement on the joint operation of the Moscow- Vilnius route.

On October 15 the “Sincerely Yours, Aeroflot!” image advertising campaign was launched on Russian TV. Press and outdoor advertising were also carried out. As part of a rebranding project, ongoing since 2001, Aerflot carefully framed its values and mission statement, which have become a driving force for change at the company.

On October 23 Aeroflot - Russian Airlines held a special stockholders meeting. A new Board of Directors and Auditing Commission were elected at the meeting.

On October 28 Aeroflot began offering a new service to its customers—road feeder service—freight delivery by trucks to/from Hahn Airport (Germany) across Europe connected to regular freight flights by the company. This service provides delivery of freight (flown in to Hahn by Aeroflot) to Milan, Paris, Brussels, Amsterdam, and Frankfurt by road. Likewise, from these European cities, cargo can be delivered to Hahn for shipping by regular freight flights to Moscow and destinations in the Far East and South-Eastern Asia (SEA). The system is provided by advanced information technology that allows freight movement to be tracked online.

September

On September 3 work to modernize the Tu-154, Il-86 and Il-96 complex simulators at the Aircraft Personnel Training Centre was completed. To increase flight safety and the quality of Aeroflot air crew training, these simulators were equipped with the Traffic Alert and Collision Avoidance System (TCAS) for the first time in Russia.

On September 7 Aeroflot, the largest Russian airline company, announced the successful completion of a project to establish a state-of-the-art Data Centre based on Hewlett Packard technologies. The telecommunications part of the project is serviced by Equant, a global communications provider . The Data Centre controls and operates the corporate information systems and functions of Aeroflot’smain business processes.

On September 20 the Russian Association of Managers published a rating of the best directors across various sectors. Sergey Kiryushin, Deputy Director General and IT Department Director, was recognized as the best IT director. Among the best financial directors was Mikhail Poluboyarinov, Deputy Director General for Finance and Planning; among the best commercial directors was Yevgeny Bachurin, Commercial Director; among the best personnel directors was Oleg Osobenkov, Deputy Director General and Personnel Department Chief.

On September 23 Aeroflot-Russian Airlines and Spain’s Iberia signed a special commercial prorate agreement that provides special sales terms for routes from Moscow to cities in Latin America, where previously Aeroflot made no regular flights.

On September 24 Valery Okulov, Director General of Aeroflot-Russian Airlines, and Jean-Cyril Spinetta, President of Air France, signed an agreement on Aeroflot’s accession to SkyTeam Global Alliance, a union of air carriers. The agreement was a standard procedure to officially confirm that Aeroflot had met all the requirements on joining the Alliance.

On September 24 Vladimir Putin, President of the Russian Federation, and Jacques Chirac, President of France, congratulated Aeroflot-Russian Airlines and Air France on the 50th anniversary of commercial flights between Moscow and Paris.

August

In August Aeroflot introduced a new service standard for flights to Hong Kong.

On August 11 Aeroflot-Nord, owned by Aeroflot-Russian Airlines (51 %) and Aviainvest Ltd. (49%), won an auction to acquire the federal state unitary enterprise Arkhangelsk Airlines Company. The main purpose of the acquisition was market consolidation, strengthening Aeroflot’s position on domestic routes and integrating the company’s resources to optimize its network and and sales channels..

On August 23 Aeroflot’s Air Technical Center (ATC) started preparing for an independent C-check of A320 planes manufactured by Airbus. Certification will provide Aeroflot with annual revenue of several million dollars and increase air fleet turnover due to reduced time on maintenance. Study of this new type of airliner will contribute to further development of Aeroflot’s ATC as the largest centre in the CIS for servicing Russian and foreign airplanes and equipment.

On August 23 Aeroflot - Russian Airlines increased the frequency of flights on the Moscow - Chelyabinsk - Moscow route to five a week.

July

On July 24 Aeroflot held a special stockholders meeting. The meeting elected new members to the Board of Directors and Auditing Commission.

On July 27 an international audit of the Quality Management System (QMS) of Aeroflot’s production complex was completed. The Commission recommended that Aeroflot receive the TUV CERT international certificate for compliance with the requirements of ISO 9001-2000.

On July 27 Aeroflot announced a tender for the acquisition of regional planes.

On July 29 Aeroflot - Russian Airlines announced a new slogan to reflect the essence of the company’ s new brand: «Sincerely Yours, Aeroflot».

On July 29 Aeroflot - Russian Airlines was included in the list of 25 top global airline companies according to financial results. In the July issue of Air Transport World magazine, Aeroflot was listed in 13th place according to net revenue and in 20th place according to operating revenue.

June

On June 1 Aeroflot introduced a new service standard in business class for flights on the following routes: Moscow - Helsinki - Moscow, Moscow - Munich - Moscow, Moscow - Zurich - Moscow, Moscow - Geneva - Moscow, Moscow - Brussels - Moscow. Providing maximum comfort for business class passengers, Aeroflot was set to increase significantly its passenger traffic in higher classes on flights to Europe.

On June 5 Aeroflot held its annual stockholders meeting on the company’s operating results in 2003. The company’s annual report, balance sheet, P&L accounts, and profit distribution for 2003 were approved; the new Board of Directors and Auditing Commission were elected and a new auditor was approved.

June 11 saw the tenyear anniversary of Aeroflot’s first flight to Kiev was made. Over this period about 240 000 passengers were carried on the Moscow - Kiev – Moscow route.

From June 15 to August 15 Aeroflot provided discounts to gold and silver medalists from secondary schools in Russia’s provinces planning to enter Moscow universities.

On June 16 Aeroflot wrapped up the results of the first year of its “Air Bridge Kaliningrad-Moscow” social project. From June 2003 to June 2004 Aeroflot carried 266 000 passengers.

On June 19-20 the Aeroflot - Media Open Billiard Tournament for mass media in Russia took place; it was organized by Aeroflot.

On June 28 Aeroflot began to expand its new service standard for flights to Washington.

On June 29 Aeroflot and Finnair signed a Code-Sharing Agreement. Regular joint flights are now made by both carriers on the Moscow - Helsinki - Moscow route seven times a week.

May

From May 5 to May 27 the traditional “Friends in Combat” meeting” was held. More than five thousand Russian war veterans had a chance to acquire free Aeroflot tickets.

On May 12 Aeroflot started regular flights to the capital of Belarus. Three daily flights are made on the Moscow - Minsk Moscow route.

On May 12 Aeroflot started regular flights to Kemerovo, the capital of Kuzbass. Daily regular flights are made by Tu-154М planes with improved business-class compartments.

On May 17 Aeroflot and Vietnam Airlines signed an agreement on stimulating and expanding cooperation of the two airline companies. The parties agreed to increase the frequency of flights between Moscow, Hanoi and Ho Chi Minh to seven a week on various aircraft types.

On May 18 Aeroflot started regular flights to Barnaul, the capital of the Altai region. A daily regular flight is made by a Tu-154М aircraft with an improved business-class compartment.

On May 20 Aeroflot started regular flights to Tyumen. Daily regular flights are made by a Tu-154М aircraft with an improved business-class compartment. The flight schedule provides different planes on Aeroflot’s international and federal flights from Moscow to southern regions of Russia, Europe and North America.

On May 24 Valery Okulov, Director General of Aeroflot - Russian Airlines,and Jean-Cyril Spinetta, President of Air France—acting on behalf of the airline companies in the SkyTeam Global Alliance, Aeromexico, Air France, AlItalia, CSA - Czech Airlines, Delta Airlines, and Korean Air—signed an agreement to start negotiations on the accession of Russia’s national air carrier to the alliance.

April

On April 23 Aeroflot and Sabre Airline Solutions concluded a contract on their portfolio of advanced technological products. Sabre Airline Solutions provides more flexible sales operations, reservations and ticketing, and offers maximum efficiency for agents.

On April 28 Aeroflot received two prestigious rewards for achievements in flight safety: the state prize “For strengthening Russia’ s safety” and the “Motherland’ s Shield” order, a social reward for providing economic safety.

March

On March 18 a new service standard for the Moscow- Vienna-Moscow route was announced in Vienna; an increase in the frequency of regular flights along this route made on the new Airbus A319 was also announced.

On March 22 Aeroflot and Cathay Pacific (Hong Kong) signed a Code-Sharing Agreement. This was the first Code-Sharing Agreement signed by Aeroflot and an airline company from the Asian-Pacific region.

On March 25 Aeroflot-Russian Airlines was declared the winner of the “Wings of Russia” competition in two categories: “Airline company of the year - passenger carrier on international routes” 1st place; “Airline company of the year - passenger carrier on domestic routes” - 2nd place.

On March 31 a new waiting room for first and business class passengers of Aeroflot - Russian Airlines was opened at Sheremetyevo Terminal 1. The partner in this contract was Aeropit Company that provides airport catering.

February

On February 5 five years passed since Aeroflot started its first flights to Nizhnevartovsk. Nizhnevartovsk is one of Aeroflot’s priority destinations on the domestic market.

On February 16 Aeroflot’s Open 2004 Chess Tournament with a prize fund of $150 000 began in Moscow. For the third time Aeroflot was the organizer and financial sponsor of the tournament, held together with the Chess Federation Association and Tourism Committee under the Government of Moscow. In terms of the number of participants, the tournament entered the Russian Guinness Books of Records.

On February 16 Aeroflot and Bulgaria Air signed a Code-Sharing Agreement on a free sale basis. Regular joint flights are made by the two carriers on the Moscow - Sophia – Moscow route.

On February 17 in Nizhniy Novgorod, Aeroflot conducted an informational forum "Aeroflot policy on the Russian market of air carriage within Russia’s transport strategy. Opportunities and problems of development of the air carriage infrastructure in the Privolzhsk region. Sergei Kirienko, Plenipotentiary of the Russian President in the Privolzhsk federal region, participated in the forum.

On February 20 Aeroflot, the Olympic Committee of Russia, and the State Committee on Physical Training, Sports and Tourism of Russia signed a trilateral agreement on transporting Russian athletes, official representatives and guests to the XXVIII Olympic Games to Athens.

On February 26 a ceremony to launch a new А320 flight simulator took place in at the Simulator Department of the Pilots’ Training Centre. The deal to purchase the complex for Aeroflot was made under a trilateral agreement with Airbus and the Canada’s САЕ.

On February 26 the winners of Person of the Year −2003 were announced at the Patriarshy Palace of the Moscow Kremlin. The “Top Manager” category for outstanding achievements in corporate competitiveness on the world market was won by Valery Okulov, Aeroflot’s Director General.

January

On January 24 Aeroflot began regular flights on the Moscow-Mumbai-Moscow route five times a week.