Bulgarian civil aviation has lost about $120 million after withdrawing from regular international routes, with the collapse of Balkan Airlines accounting for most of the losses.
Air Transport Institute director Svetoslav Stanulov, one of the authors of a report unveiled at a news conference last Friday, said Bulgarian air carriers were operating on about 20 per cent of international routes.
This was a reduction of about 200,000 to 300,000 passengers a year. Before the Balkan collapse, Bulgarian air carriers were operating on about 60 per cent of routes out of the country.
Bulgaria also lost profits of more than 30 million leva because of the migration of 230 aviation staff, Stanulov said.
But he was optimistic the country could restore its pre-1990 position, when local carriers had 63 per cent of annual passenger traffic and served more than two million people on domestic and international routes.
Bulgarian aviation was developing and now had a fleet of 105 planes compared to 60 in 1990.
Meanwhile, local media quoted Balkan receivers representative Olga Milenkova as saying the new assessment of the airlines assets was higher than the previous evaluation prepared by KPMG.
The committee of creditors was briefed on Monday on the new assessment and discussed a rehabilitation program for the company.
The companys trustees had until today to submit a recovery plan for Balkan to the Sofia City Court.
Iliev & Co. was asked to do the new assessment so that a rehabilitation program could be drafted and a strategic investor found for the national carrier.
Earlier this year KPMG assessed the company at 128 million leva.
Last week, Balkan Airlines receivers signed a $4 million tentative credit agreement with two Bulgarian banks, the names of which were not made public.
The loans will be used for the first payments on the leasing of two Boeing 737-300 planes from Germanys Lufthansa.
According to official information, the credit will be guaranteed with the receipts from the 2002 charter program, which are expected to be $3.5 million.
According to one of the companys creditors, given Balkans current state and unclear rehabilitation plan, the banks would hardly accept the charter receipts alone as collateral and would most probably require additional guarantees.
Air Transport Institute director Svetoslav Stanulov, one of the authors of a report unveiled at a news conference last Friday, said Bulgarian air carriers were operating on about 20 per cent of international routes.
This was a reduction of about 200,000 to 300,000 passengers a year. Before the Balkan collapse, Bulgarian air carriers were operating on about 60 per cent of routes out of the country.
Bulgaria also lost profits of more than 30 million leva because of the migration of 230 aviation staff, Stanulov said.
But he was optimistic the country could restore its pre-1990 position, when local carriers had 63 per cent of annual passenger traffic and served more than two million people on domestic and international routes.
Bulgarian aviation was developing and now had a fleet of 105 planes compared to 60 in 1990.
Meanwhile, local media quoted Balkan receivers representative Olga Milenkova as saying the new assessment of the airlines assets was higher than the previous evaluation prepared by KPMG.
The committee of creditors was briefed on Monday on the new assessment and discussed a rehabilitation program for the company.
The companys trustees had until today to submit a recovery plan for Balkan to the Sofia City Court.
Iliev & Co. was asked to do the new assessment so that a rehabilitation program could be drafted and a strategic investor found for the national carrier.
Earlier this year KPMG assessed the company at 128 million leva.
Last week, Balkan Airlines receivers signed a $4 million tentative credit agreement with two Bulgarian banks, the names of which were not made public.
The loans will be used for the first payments on the leasing of two Boeing 737-300 planes from Germanys Lufthansa.
According to official information, the credit will be guaranteed with the receipts from the 2002 charter program, which are expected to be $3.5 million.
According to one of the companys creditors, given Balkans current state and unclear rehabilitation plan, the banks would hardly accept the charter receipts alone as collateral and would most probably require additional guarantees.
