Armavia owner denies debt to Sukhoi Civil Aircraft Company

The owner of Armavia Mikhail Bagdasarov denied the aircompany’s debt to Sukhoi Civil Aircraft Company (SCAC) for Sukhoi SuperJet 100 plane.
"The jet cost $20 million. We paid $16 million in advance, with $4 to be added. However, later we returned the plane. We believe we owe nothing for technical services, yet SCAC insists we are indebted $1 million in encumbrance charges," he said, noting the latters to be the responsibility of SCAC.
In August SCAC reported that Armavia owed $4million for the jet. As the Company noted, Armavia cannot return the plane the latter being encumbered by an Armenian bank, media sources say.

Source: panarmenian.net

Armavia has nothing except computers and premises

Hraparak daily reports, that Mika Baghdasarov has no other choice but to sell Armavia. However, rumors suggesting that this or that company is interested in Armavia prove not to be true later. One of the businessmen explained the reason; it is senseless to invest several million dollars in something which costs maximum several hundred thousand dollars.

“The thing is that the license of Armenia's national air carrier is expiring and those who wish to buy it can do it several months later, after buying a license. But Armavia has nothing significant except for premises, threadbare computers and office furniture,” the paper writes.

Source: aysor.am

Baghdasarov is considering to finish the sale of "Armavia" in the coming weeks

The owner of "Armavia" National Airlines Mikhail Baghdasarov is considering finishing the sale of the company in the upcoming 2-3 weeks. As reports "Armenpress" Baghdasarov has announced this in the interview to RBK daily. Among other things Mikhail Baghdasarov emphasized two main reasons, which served as the basis for selling the company. According to Mikhail Baghdasarov the main reason is the economic crisis. As to the second reason Baghdasarov underlined the damage of the company, which arouse from the exploitation of the new Russian plane SuperJet.
Baghdasarov stated: "There is nobody from the Russian Federation, who would like to buy the company, but among the potential buyers there are Italians and businessmen from the East as well."
At the same time the official representative of the CJSC Sukhoi Civil Aircraft announced that in accordance with the agreement “Armavia” will continue paying off the debt for SuperJet in frames of the present leasing relations of the two companies.

Source:  armenpress.am

Paper says Armavia’s license to operate flights expiring

Armavia air company continues operation of flights with Zvartnots airport no more suspending them, Zhamanak daily reported.
Armavia has ceased reiterating that the company is on sale, with the reports claiming an Italian enterprise has expressed readiness to buy it not clarified.
Perhaps, Zvartnots-Armavia conflict is said to be the reason behind Italian side’s reluctance to purchase the Armenian air company.
However, Armavia owner Mikhail Bagdasarov had better consider selling the company, given the fact that Armavia’s license to operate flights expires next year.
Meanwhile, Armenian national air carrier’s bankruptcy wouldn’t benefit Zvartnots due to Armavia’s large number of debts, the paper says.

Source: panarmenian.net

Zvartnots airport resumes services to Armavia

Armenia International Airports CJSC (Zvartnots) resumed services to Armavia company 4:30 pm, local time, the airport’s spokesman said.
“Armavia has transferred AMD 90 mln to Zvartnots. Details on the airport’s servicing of the air company flights will be clarified tomorrow, 11:00 am,” Gevorg Abrahamyan told a PanARMENIAN.Net reporter.
Dwelling on Armavia’s statement suggesting Zvartnots disapproves of the company’s new shareholder, the spokesman said the airport is unaware who the shareholder is.
“We ourselves would like to know his name to specify further relations with the air company,” he said.
Armenian national carrier Armavia has refused to reveal the name of the new shareholder of the company.
“That’s a business secret. We will announce the name when the time comes,” the company’s representative told a PanARMENIAN.Net reporter, conditioning the suspension of Zvartnots airport’s services to Armavia by the airport’s disapproval of the new shareholder.
Meanwhile, Zvartnots noted Armavia’s debts as the main reason behind the airport’s decision to halt servicing of the air company flights. The amount of Armavia’s debt exceeded the sum agreed on for over $1 million, bringing the total debt to $3,360 million.
As Armenian media outlets reported earlier, either owner of Zvartnots airport, Argentinean Armenian entrepreneur Eduardo Eurnekian, or Armenian president’s son-in-law Mikael Minasyan planned to purchase Armavia.

Source: panarmenian.net

Baghdasarov: Armavia’s potential buyer is not from Armenia

Panorama.am has interviewed Armavia Air Company owner Mikhail Baghdasarov. Below we present some excerpts from the interview.

- Rumors say Mikayel Minasyan plans to buy Armavia. Are you really negotiating with him? Who is the potential buyer of the airline?

- No, I am not negotiating with him…. I am negotiating with some people from Australia, Italy and Russia. We have 3-4 variants. This is a commercial secret. I cannot tell you who is the buyer until he buys the company, because it could be insulting for the buyer.

- You said they are Italians, Australians. Isn’t there some businessman in Armenia who would wish and would be able to buy the airline?

- There is no businessman of that level in Armenia. They even have no idea that there are deep business processes and problems in this field.

- I think you have sufficient potential to “fix up” Armavia independently. Why are you selling it?

- I am not able to “fix it up” because very large sums are required for this. The crisis forced us to return all planes and buy new ones. These things are not so easy.

Source: Panorama.am

Mikhail Baghdasarov negotiates sale of Armavia Air Company

Armavia Air Company owner Mikhail Baghdasarov negotiates the company’s sale. Nana Avetisova, a spokesperson for the company, confirmed this information to Panorama.am. However, she did not specify the volume of shares to be sold.  Armenian media reports say Armavia Air Company will be sold out to Italians.  Mrs Avetisova noted that there is no final decision yet as to whom to sell the company to.  “There are some companies that want to buy Armavia. I cannot tell you whether their number is large or small, but I can say that we have choice and alternative to select among them.”  Armavia Air Company frequently has financial problems with Zvartnots Airport, as a result of which Zvartnots refuses to operate Armavia flights.

Source: panorama.am

Armavia given time to repay the debt because of Independence Day

Although Armavia air company did not repay the debt on Thursday,  “Armenia” International Airports CJSC, taking into account the interests of its customers and the upcoming Independence Day, decided to resume serving Armavia flights staring from 6 p.m., the company said in a press statement.
As reported earlier, Armavia-Zvartnots conflict continues for several months. Earlier Zvartnots suspended the flights because of air company’s debts but then the sides started talks and seemed to reach an agreement.
Owner of Armavia Mikhail Baghdasarov said the company will go into bankruptcy and shut down unless Zvartnots Airport changes its price policy.
“Unless we come to an agreement we will declare bankruptcy, return the air-tickets, sell the airplanes and settle the debts,” said Baghdasarov.

Source: news.am

Armavia denies information about its sale

Armenia’s national air carrier, Armavia, considers the widespread news about the sale of the company absurd and announced the company is expanding the geography of flights and continues its normal work.

As Armavia’s spokesperson told Armenpress, the airline is launching Amman and Milan summer flights.

Russian media is awash with reports that Armavia may be sold to former MP Harutyun Pambukyan, who is reportedly ready to offer $55 million for acquiring it from Mikhail Bagdasarov. According to sources, Armavia has serious financial problems and debts.

Armavia is the only Armenia-based airline. Its aircraft fleet includes 11 airplanes. It carries out 100 flights a week in more than 40 destinations.

Source: armenianow.com