Jat and Montenegro join forces

Montenegro Airlines in Niš
Jat Airways’ CEO, Srdjan Radovanović, announced that the Serbian national carrier has struck a deal with Montenegro Airlines, which will see the two co-operate on key routes between Serbia and Montenegro. In a vague press conference on Wednesday, Radovanović said that the two airlines would no longer overlap each other on routes between Belgrade, Niš, Tivat and Podgorica. This way the airlines would cut costs on fuel and fees and as a result ticket prices between Serbia and Montenegro would be significantly reduced. It is unclear whether the new agreement will lead to the cancelation of some Montenegro bound flights.

Montenegro Airlines has suffered a big passenger decrease on flights to and from Serbia. On the other hand, Jat has managed to claw back passengers on the route and report a big passenger increase. Last year, Jat suffered badly on the route when the airline’s previous management signed a damaging agreement with Montenegro Airlines, which saw Jat practically hand passengers over to its rival. In a recent industry evaluation, Serbian tour operators ranked Jat ahead of Montenegro Airlines on flights to Podgorica and Tivat. While Montenegro was firmly ahead in the evaluation when it came to aircraft, comfort and scheduling, Jat moved ahead with connecting flights and additional services.

Most of Jat’s and Montenegro Airlines’ flights between Serbia and Montenegro depart within a ten minute interval from each other. The two airlines have held a monopoly on the route and have had matching prices, around 110 Euros (return ticket with taxes). Radovanović says that the new agreement is the first step in the formation of a regional alliance and called upon all interested to join.

The new look Montenegro schedule will step into force on October 31, for the 2010/11 winter season. Both airlines are yet to release their winter schedules.

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