Jat’s revival plan

Better financial handling in 2009

From February 2009, Jat Airways will undergo a major reorganisation with 12.5 million Euros provided by the government in the first stage. The revival plan should see Jat operating with a profit in 2009. 7.5 million Euros will be invested in a collective programme for all 600 workers that will lose their jobs, which will decrease the number of employed in the airline from 1.800 to 1.200. Jat’s pilots will be unaffected by the airline’s reorganisation. Fleet renewal will have to wait until 2010, with the purchase of smaller aircraft set to begin next year. Meanwhile during 2009, 4 million Euros will be invested in the current fleet mostly in the 6 Boeing 737 aircraft which are currently out of service due to the fact that they cannot be fixed because of insufficient funds. Some of the Boeings will be leased to carriers in Africa. When these aircraft are fixed Jat will stop using the recently overhauled Aviogenex Boeing 737-200, currently operating from Belgrade to London Heathrow. The opening and closing of new destinations will be more flexible in 2009 (with services to one destination ending in February – more about this soon) while ticket prices will be more competitive, meaning they will be lower.

The Jat Flight Academy in Vršac will continue to be a part of the airline while there will be major reorganisation in Jat’s Agricultural Aviation subsidiary.