AZAL faces tough cost-cutting task

Just as restructuring of many Europe's state carriers reflects increasing competition, Azerbaijan Airlines (Azal) faces a tough challenge if it is to survive sweeping economic changes in central Asia. The restructuring of Azerbaijan's state enterprises remains far behind most transitional...

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Published in:Airfinance journal 1997-01 (191), p.10
Main Author: Collett, Naomi
Format: Article
Language:English
Subjects:
Air travel
Aircraft industry
Airlines
Airports
Alliances
Aviation
Business conditions
Case studies
Cost reduction
Crude oil prices
Economic reform
Foreign investment
Infrastructure
Political appointments
Privatization
Public enterprise
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description Just as restructuring of many Europe's state carriers reflects increasing competition, Azerbaijan Airlines (Azal) faces a tough challenge if it is to survive sweeping economic changes in central Asia. The restructuring of Azerbaijan's state enterprises remains far behind most transitional economies and it is no secret that many of them, including Azal, are burdened by high levels of debt and high-profile political appointments. Formed out of Aeroflot, the former USSR's national carrier, when Azerbaijan won independence in 1991, Azal has seen happier days and it is not yet clear if it will survive the country's transition to a market system. With economic activity shrinking by an alarming 60% since independence, demand for air travel has suffered.
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ispartof Airfinance journal, 1997-01 (191), p.10
issn 0143-2257
language eng
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source ABI/INFORM Global (ProQuest)
subjects Air travel
Aircraft industry
Airlines
Airports
Alliances
Aviation
Business conditions
Case studies
Cost reduction
Crude oil prices
Economic reform
Foreign investment
Infrastructure
Political appointments
Privatization
Public enterprise
title AZAL faces tough cost-cutting task
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