100% Turkish

B&H sell off soon

The national carrier of Bosnia and Herzegovina will sell its remaining 51% government owned stake to Turkish Airlines. As a result, Turkish Airlines will own the full 100% of the airline. The “Dnevni Avaz” newspaper reported last week that the sale would go ahead after the new Federation government takes office, though this process has been slow and power sharing negotiations are still ongoing, three months after the general election. If the process drags on, the sale may be approved by the outgoing government in order to avoid the company’s closure, the paper quoted an unnamed source as saying. Despite rising passenger numbers B&H is still operating with multi million Euro losses.

Turkish Airlines bought 49% of the airline in 2008 and promised to spend 5 million Euros for the lease of 2 jet engine aircraft and make a further 5 million Euro investment. Since Turkish Airlines’ takeover, B&H Airlines has opened several new routes. According to plans drafted back in 2009, B&H should receive another new aircraft during the 2011 summer season, bringing its total fleet size to 4. Turkish Airlines is expected to make some major management changes and name B&H’s CEO after the takeover.