Recovery in sight for Adria?

Adria flying into profits and losses

Adria Airways posted an 800.000 Euro profit in the third quarter, its first profit in 2009. However, the airline expects a full year loss. This is despite the fact that the airline is expected to post another profit in the, current, fourth quarter. Speaking to the Slovenian News Agency, Adria Arways’ CEO, Tadej Tufek, said that the airline saw a decline in revenue due to the global financial crisis, which has led to a passenger decline as well as a financial deficit in other sectors Adria gains revenue from, such as cargo and aircraft maintenance. Tufek also mentions that the passenger structure has changed and that the airline has seen the transition of many business class passengers to economy, which in turn has seen finances tumble.

Nevertheless, the airline maintains that even with an avarage 15% passenger decrease in the first 9 months of 2009, it is still competitive. Adria is one of the rare European airlines which enjoys little competition on most of its services.

In a statement, Adria also confirmed that it will become a full member of Star Alliance in January. The group announced the elimination of the regional member designation (with Finland’s Blue1 and Croatia Airlines being the other 2 members) in June.

Adria removed a Boeing B737-500 from service this month. Next year it will withdraw one Airbus A320 from service and add 2 Airbus A319s. By next summer it plans to operate one A320, two A319s, four CRJ900s, six CRJ200s and one CRJ100.