warning!You useInternet Explorer. Certain functions may not work correctly. We recommend that you use a different browser.

Company News

25 December 2008


December 25, 2008, Moscow. – On the scheduled meeting on December 24th, 2008, the Board of Directors of the JSC «Aeroflot-Russian Airlines» considered and adopted the Plan of production and financial-economic activity and the Company’s budget for 2009.

Te considered draft plan and budget were developed taking into account the anti-crisis management program aimed at increasing the efficiency of the operational and commercial activity. The activities and initiatives, stipulated by the programs, are directed to reducing the expenses, increasing the productivity, introducing new technologies, minimizing the profit losses from the expected fall in the air transportation demand, raised by the decline in the business activity.

The main economic effect from the implementation of the anti-crisis management program in 2009 is expected, first of all, on the account of the introduction of the new technologies in the production and increase of the productivity, decrease of the costs for supporting the management and administrative personnel, replace of the fuel-consuming and expired aircrafts by economically effective ones (the fuel saving will exceed 100 thousand tons).

The fleet of the Aeroflot aircraft will be refilled in 2009 by 24 modern airplanes, including six A330 far-distance liners. This will allow the company to increase the airborne hours by 3.5%, transport 9531.7 thousand passengers.

The increase of productivity and decrease of the expenses will be facilitated by the introduction of the new Aeroflot office in the district of Sheremetievo air point and transference of the company’s divisions there. Besides, the introduction of the Sheremetievo-3 terminal in 2009 will benefit the amount of the Aeroflot flights and profit by attracting additional transit passengers. The 2009 budget stipulates the growth of the operational income by 19%, the growth of the expenses by 16% (in rubles).

In 2009 the listed number of the personnel is to grow by 5.6% taking into consideration the received new aircrafts and operation of Sheremetievo-3. At the same time, the administrative and management personnel is to be reduced. The productivity growth compared to 2008 is planned to grow by 3.5%, which is higher than the expected growth rate in the Russian Federation.

As a result of the operation in 2009 the planned profit is to be 9 295.7 mln rubles, higher than the expected level of 2008.

The Board of Directors adopted the presented by the Auditing and Rewarding Committee the Provision to reward and compensate for the expenses to the members of the Board of Directors of the JSC «Aeroflot», developed in accordance with the Federal Law «About the Joint Stock Companies».

In order to minimize the Company’s expenses, while discussing the Provision, the member of the Board of Directors took a decision to confine themselves to the basic reward for the participation in the meetings and refuse the additional reward for the results of work.