Armenia’s international airport suspends Armavia’s flights over debts

YEREVAN, October 23./ARKA/. Armenia’s International Airport Zvartnots has since morning suspended the flights of Armavia national air carrier for the latter’s debts, spokesman for the airport Gevorg Abrahamyan said.

He noted that Armavia’s debt to Zvarnots is 3.3 million dollars, whereas the debt threshold in the contract is 2 million 360 thousand.

It is the fifth time in October, the airport has suspended Armavia’s flights, according to him.

The suspension of services is just the latest in a series of disputes between Armavia and Zvartnots, concerning the level of service charges set by the airport. Flights have been suspended several times – in November 2011, March and most recently in September. 

Armavia argues that the service charges at Zvartnots, Armenia’s main international airport are unreasonably high. Mikhail Baghdasarov, the airline’s majority shareholder since 2005, has several times said that Armavia might be forced to file for bankruptcy unless the charges are reduced.  After the September suspension the sides were said to have signed a new debt-restructuring deal. In case of breach of the agreement the airport reserves the right to sue the airline.

Armavia operates more than 100 flights a week to 40 destinations in 20 countries. In April 2011, it became the first commercial airline to put a Russian-made Sukhoi Superjet 100 into operation, but later cancelled its order for a second Superjet and tried to return the first. However, on October 5, Sukhoi announced that it had reached a new six-month leasing agreement with Armavia on the Superjet. 

Zvartnots airport is run by Armenia - International Airports Company under a 30-year concession agreement signed with the Armenian government in 2001. The owner of the company is the Argentine American International Airports, owned by Argentine citizen of Armenian origin Eduardo Eurnekian. -0-