Aeroflot Profits Up, Routes Cut

Aeroflot Russian International Airlines boosted profits by 10 to 15 percent in the first five months of 1994, but will cut some routes to save money in the second half, the airline's general director said.Vladimir Tikhonov told a news conference that the airline made $190 million in 1993. Officials have said they expect similar profits in 1994. But Tikhonov said Aeroflot made $30 million losses on scheduled flights to Gothenburg, Dublin, Lima, Katmandu, Kigali, Dar-es-Salaam, Harare and the United Arab Emirates. "We will cut all such lines this year," he said. The airline has just been transformed into a joint-stock company in preparation for a privatization auction this year for 49 percent of the shares, which will be open only to the company's workers. The government plans to retain a controlling share of the company's stock for at least three years.Western travelers are wary of the airline's safety record after a European-built Airbus 310 crashed over Siberia earlier this year. Service is traditionally bad, with surly staff and poor food. Tikhonov said Aeroflot was determined to change all this. "We want to develop the quality of our service and ensure the safety of our flights," he said. He said the investigation into the airbus crash was continuing. Other officials have said the investigation has been difficult and they can give no final date for the release of a report into the accident, which killed 75 people. (Reuters, MT)