Aegean : A3 : AEE

Aegean Airlines remained well in the black last year, although net profit fell 22% to €23 million ($31.1 million) from the €29.5 million earned in 2008 as a result of the recession and the decline of the Greek economy during the final four months of the year.

Revenue increased 2% to €622.7 million mainly due to what Aegean called a "significant" international network expansion, which included new routes from Athens to Brussels, Berlin Tegel, Barcelona, Venice, Istanbul Ataturk, Vienna and Madrid.

The Greek carrier, which was invited to join Star Alliance in May last year and which announced last month the launch of merger negotiations with rival Olympic Air, carried 6.6 million passengers in 2009, up 10%.

Domestic boardings rose 2% to 3.8 million while the number of passengers carried on international flights increased 22% to 2.8 million. It operates 32 aircraft.

MD Dimitris Gerogiannis warned that "the conditions that we are facing in 2010 are even more difficult [than in 2009] given the deteriorating economic conditions in Greece" and said Aegean hopes "to ensure the long-term prospects of
the company by effective cost management, maintaining the quality of services provided while improving the attractiveness of our fare offers and securing and implementing the necessary local and international cooperations and
alliances."

The merger with Olympic is expected to be completed in 2011 [Vous devez être inscrit et connecté pour voir ce lien].

by Cathy Buyck

Star Alliance grossit encore un peu. Au cours d’une cérémonie à Athènes, la plus grande alliance mondiale de compagnies aériennes a accueilli son 28e membre le 30 juin : Aegean Airlines.

La compagnie grecque n’a eu besoin que d’un an pour adapter ses procédures, ses systèmes et ses produits à ceux de l’alliance.

Star Alliance propose désormais plus de 1 500 vols hebdomadaires vers soixante-neuf destinations dans vingt-sept pays au départ de la Grèce.
L’entrée d’Aegean étoffe également son réseau de dix-sept destinations domestiques.

Aegean exploite une flotte de trente appareils, dix-huit Airbus A320, quatre A321, deux ATR72-200 et six Avro RJ100. Elle a transporté 6,6 millions de passagers en 2009.

Initial investigations into the proposal point to "serious competition concerns", says the Commission, particularly on the domestic market but also on several international routes.

It has chosen to open a 90-day in-depth inquiry into the agreement in order to assess the effects of the partnership.
"The Commission must make sure that consumers and businesses will continue to have a competitive choice of airline services in Greece," says European competition vice-president Joaquin Almunia, "in particular at a time of difficult economic circumstances."

Olympic Air and Aegean Airlines notified the Commission formally of their merger plan on 24 June.
While the competition situation on Greek routes is under scrutiny, the Commission says it also has "serious doubts" that the tie-up meets requirements regarding provision of public service obligation routes and ground-handling at Greek airports.
With regard to the PSO routes the merger would "bring together the two strongest and most credible bidders", it states. The inquiry is set to conclude by 7 December by which time the Commission will decide whether the merger poses a threat to competition.

Aegean Airlines reported a net loss of €32.6 million ($42 million) for the 2010 first half, citing the deteriorating Greek economy, a €6.6 million extraordinary social contribution charge and “overcapacity prevailing in certain markets.”

This compares with a €13.4 million profit in the year-ago period (ATW Daily News, Sept. 1, 2009).
Revenue declined 3% to €267.4 million as a result of the “significant” pressures on average revenue per flight due to the economic crisis, particularly as far as Greek-originated traffic is concerned.

Aegean transported 2.9 million passengers in the first half comprising 1.5 million domestic boardings, down 11%, and 1.4 million international boardings, up 18%. Load factor increased 4.2 points to 64.8%.

Aegean MD Dimitris Gerogiannis said the carrier will “proceed with the necessary adjustments on our network and costs, with immediate effect, so as to protect the company during the crisis. At the same time, our efforts concentrate on fully exploiting and completing our past strategic choices, such as our entry into the Star Alliance and the agreement with Marfin Investment Group/Olympic Air.” Shareholders of Aegean and OA in February agreed to merge the two airlines; the European Commission last month opened an investigation into the deal, citing competition concerns (ATW Daily News, Aug. 3).

Aegean reduced its fleet by three aircraft in the first half: It returned two RJ Avros to their owners in July and will return two ATR 72s in September. It will cut two domestic routes, from Athens to Ioannina and Kavala, and three international routes from ATH to Tirana, Belgrade and Vienna, which the company said “are particularly loss-making.”

Gerogiannis said, “We must focus on destinations where we maintain a competitive advantage either due to our new Airbus A320 fleet or due to our entry into the Star Alliance. A possible imminent approval of our agreement with OA could allow us to ably present on the summer of 2011 an expanding profile which is necessary for both our company and our country.”

Aegean Airlines posted a €24.1 million ($33 million) net profit for the third quarter, just slightly below the €24.3 million it earned in the year-ago period, on a year-over-year 3% decline in revenue to €198.8 million and an 8% fall in passengers carried.

The fall in boardings was caused by a notable 19% dive in domestic passengers to 948,812 while enplanements on international routes rose by 6% to 1.1 million.

“Our financial performance continues to be adversely affected by the severe recession of the Greek economy,” said MD Dimitris Gerogiannis.

“Our investment in strengthening our international network helped our third-quarter results.”

He said the carrier’s network and fleet adjustments, its efforts to improve costs and productivity, and investment in new systems have helped “to mitigate the severe consequences of the Greek economic crisis.” But he warned that the seasonally weak fourth quarter is expected to be loss making, “leading with certainty to a substantially negative result for the year as a whole.”
A3’s third—and seasonally most important—quarter helped contain net loss for the nine months through Sept. 30 to €8.4 million.
Greece’s largest carrier, which is aiming to merge with its smaller rival Olympic Air, stressed it remains confident that its strategy is “sound” and said its “commitment in quality is a given,” but “we are well aware of the fact that Greek consumers are increasingly price sensitive.” Therefore, A3 said it will continue to intensify its efforts to “further improve our productivity and competitiveness to secure our long-term objectives.”
It did not give an update on its proposed merger.

The European Commission in August confirmed it opened an investigation into the planned tie-up, citing serious competition concerns on mainly domestic routes ([Vous devez être inscrit et connecté pour voir ce lien]).

The parties are in talks on suitable remedies to address the regulator’s concerns and the EC has set a deadline of Jan. 12, 2011 to reach a final decision.

Aegean Airlines (A3) reported a net loss of €27.2 million ($36.3 million) in 2011, 17% down from the €23.3 million deficit in 2010 when results were negatively affected by one-off social contribution tax charges of €8 million.

Revenue rose 13% to €668 million, driven by international network expansion and international traffic growth, which helped offset weak demand in the domestic market.

A3’s international network of scheduled and charter routes expanded to 102 routes; passenger numbers on
international routes rose 15% to 3.5 million, but passengers carried on domestic routes fell 6% to 3 million ([Vous devez être inscrit et connecté pour voir ce lien]). Total passenger numbers rose 4% to 6.5 million.

MD Dimitris Gerogiannis said that “cost containment efforts through the fleet homogeneity and productivity gains comma were not enough to offset the consequences of the crisis and the effect of oil prices that rose by 39%.

In addition, international expansion yielded commercial benefits but had a short-term burden on financial results, as is the case for any new investment.”

He warned that the environment continues to be weak with a further drop in demand in the first quarter of the year.

“Within this deteriorating environment, our efforts concentrate on cost cutting initiatives, the improvement of our competitiveness through the offering of attractive fares and the continuous adjustment of our network depending on market conditions, our strategy and any opportunities that arise,” he said.

Erwan a écrit:Notons que la flotte est passée à

3 A 319 contre 4 sur le précédent tableau

22 A 320 contre 27

4 A 321 identique

Tous IAE V-2500

AEGEAN agrees with MIG to acquire OLYMPIC AIR
Source: Aegean Airlines
22/10/2012
Aegean Airlines and Marfin Investment Group agreed today on the sale of 100% of Olympic Air to Aegean.

Following the completion of the transaction, Olympic Air will become a subsidiary of the listed Aegean.

The brand names and logos of the two companies will be maintained and each will have distinct aircraft and flight staff.

The unification of administrative, planning, purchasing and commercial functions will lead to substantial economies of scale, in buying power and elimination of duplicate systems.

Fleet usage and network planning will be optimized to improve efficiencies and connectivity while improving coverage and product offer.

The deal is subject to approval by the Competition Authorities, a process which will also determine the timing of its execution.

The consideration for 100% of Olympic Air has been set at €72 mil with payment in installments to MIG by Aegean.

The shareholding structure of Aegean is not affected by the transaction.

Theodoros Vassilakis, Chairman of Aegean Airlines, commented on the deal: «Aegean Airlines and Olympic Air in recent years have invested $2 billion in a brand new fleet.

Their service quality has been recognized with the receipt of numerous industry Awards.

The two companies contribute in excess of €270 million to the Greek state revenues in airport taxes, fees, social security contributions.

However, our subscale size, combined with the effects of the unprecedented Greek crisis, restrict our ability to successfully compete within the European and Global Aviation market leading us to further losses and further reductions of size and scope.

As a result we are faced with the immediate danger of Greek Tourism, an industry essential for the country’s recovery, becoming entirely dependent on foreign carriers with permanent losses in local employment and state revenues.


Aegean still possesses the financial reserves to lead the consolidation of aviation in Greece to the benefit of tourism and state revenues as well as our employees and shareholders.

The synergies from this agreement will allow us to reduce unit costs and offer enhanced network coverage with competitive prices to the consumers.

We hope that all Greeks will support us in this challenging, ambitious and necessary endeavor»