9 Nov 2017 09:19

Russia to additionally monitor finances of airlines that ramp up fleet - PM

GORKI. Nov 9 (Interfax) - The indicators of airlines that rapidly expand their fleets will be additionally monitored, Russian Prime Minister Dmitry Medvedev said.

"We will additionally monitor the indicators of companies that rapidly expand their air fleet," Medvedev said at a meeting on improving regulation of passenger air services.

Sometimes such expansion does not point to the development of an airline, but rather indicates that it is constantly leasing new planes and selling tickets on them in order to cover the operating costs of existing planes, he said.

"Thus, a pyramid arises that ultimately ends quite regrettably. Therefore, this indicator must certainly be analysed," Medvedev said.

After the crisis with failed airline VIM Avia, President Vladimir Putin issued orders to draft proposals to monitor the financial and economic condition of airlines.

Medvedev said that, as part of these efforts, a plan has been prepared, the first part of which is aimed at improving the quality of control over airlines. The second part calls for protecting the rights of passengers who are at airports abroad when flights are delayed.

"We need to do everything possible so that airlines meet their obligations to passengers," Medvedev said.