7jetset7

Sign Up Now for
7J7 Updates and
Exclusive Content !
only $27 /year

Receive thousands of updates and pertinent information for all airlines, especially the ones that matter most to you!

We take the guess work out of flight and airport data — we are the most up-to-date resource for international airline information.

Airlines

Name: AIR SERBIA
7JetSet7 Code: JAT
Status: Operational
Region: EUROPE
City: BELGRADE
Country: SERBIA
Employees 2450
Web: airserbia.com
Email: info@airserbia.com
Telephone: +381 11 311 4 2123
Fax: +381 11 137 756
Sita: BEGDYJU
Background
(definitions)

Click below for data links:
JAT-2003-11-NEWS
JAT-2003-A
JAT-2003-B
JAT-2003-C
JAT-2003-D
JAT-2003-E
JAT-2003-F
JAT-2003-G
JAT-2004-02-NEWS
JAT-2004-04-NEWS
JAT-2004-08
JAT-2007-STATS
JAT-2008-06-NEWS
JAT-2010-01
JAT-2013-08 - AIRSERBIA FROM JAT A319
JAT-2013-11 - A320NEO ORDER
JAT-2013-12 - TOP 12 AIRLINES AT BELGRADE
JAT-2013-12 - TOP COUNTRY MKTS
JAT-2014-09 - FLIGHT CREW AD
JAT-2014-10 - ETIHAD AIRWAYS PARTNERS
JAT-2014-12 - TO ZAGREB
JAT-2015-04 - UPDATE-A.jpg
JAT-2015-04 - UPDATE-B.jpg
JAT-2015-04 - UPDATE-C.jpgc
JAT-2015-04 - UPDATE-D.jpg
JAT-LOGO-2014-05

FORMED AND STARTED OPERATIONS IN 1947. FOUNDED AS AEROPUT (JUNE 17 1927), AS (JAT) APRIL 1, 1947, AND AS (AIR SERBIA) OCTOBER 26, 2013. DOMESTIC AND INTERNATIONAL, SCHEDULED & CHARTER, PASSENGER & CARGO, JET AIRPLANE SERVICES.

ADDRESS:
Jurija Gagarina 12
11070 Belgrade, Serbia

SERBIA WAS ESTABLISHED IN 1918, COVERS AN AREA OF 102,173 SQ KM, IT HAS A POPULATION OF 10.5 MILLION, ITS CAPITAL CITY IS BELGRADE, AND ITS OFFICIAL LANGUAGE IS SERBIAN. THE FEDERATION CONSISTS OF THE 2 FEDERAL UNITS SERBIA AND MONTENEGRO. SERBIA INCLUDES THE AUTONOMOUS PROVINCES OF KOSOVO & METOHIJA AND OF VOJVODINA (INCLUDED IN THE TOTAL FIGURES).

APRIL 1993: FORMERLY STATE OWNED. A K A YUGOSLAV AIRLINES. SERBIA TOOK CONTROL WITH 51%, REMAINDER FOR PUBLIC.

SERVICES TO 10 DOMESTIC, AND 61 CITIES, INCLUDING AMMAN, NEW YORK, CHICAGO (ORD), SINGAPORE, AND SYDNEY, AND MAJOR EUROPEAN DESTINATIONS: ATHENS, BUCHAREST, LARNACA, LONDON, MOSCOW, PARIS, & ROME.

2 727'S AND 2 737-300'S, PREVIOUSLY WET-LEASED TO TUNISAIR (TUN) NOW OUT OF SERVICE, AND STORED SINCE NOVEMBER 1992, WITH PRESERVATION MAINTENANCE BY 5 (JAT) AIRWAYS MECHANICS. THESE (JAT) MECHANICS MADE 3 VISITS TO LIBYAN ARAB (LAA) IN MARCH 1993 FOR ENGINEERING SUPPORT FOR A (LAA) 727 "D" CHECK.

OCTOBER 1994: AFTER 4 YEARS SUSPENSION OF INTERNATIONAL FLIGHTS BY UNITED NATIONS (UN) SANCTIONS, RE-STARTED LIMITED INTERNATIONAL OPERATIONS.

MARCH 1996: TO RESTART OPERATIONS TO USA (SUSPENDED IN 1992). FROM FEDERAL REPUBLIC OF YUGOSLAVIA (SERBIA & MONTENEGRO), BELGRADE TO NEW YORK & CHICAGO (ORD) (WEEKLY DC-10-30, 271 PAX), IN MAY 1996.

JUNE 1996: 2ND 737-300 (PP779) FERRIED TO BELGRADE FROM TUNISAIR (TUN), AND 2 727-200'S (QD148; QD149) DELIVERIES.

OCTOBER 1996: 1 737-300 (CFM56-3B1), EX-CONSTELLATION (COT).

FEBRUARY 1997: APPLIES TO RESTART USA SERVICE TO NEW YORK AND CHICAGO (ORD) WITH DC-10-30, 271 PAX. 1 DC-9-32 (47567) LEASED TO MACEDONIAN AIRLINES.

AUGUST 1997: FORMS 3 CHARTER OPERATIONS WITH AIR YUGOSLAVIA OUT OF BELGRADE, AS "AIR PRISTINA" (NAMED AFTER CAPITAL CITY OF PROVINCE OF KOSOVO), & AIR BUDA, REPUBLIC OF MONTENEGRO, FOR ADRIATIC COAST TOURISTS.

737-3H9 RETURNED FROM BOSPHOROS (AWY).

SEPTEMBER 1997: 737-3H9 (23716) LEASED TO MAT-MACEDONIAN AIRLINES. MADE ERROR OF LANDING, IN ATHENS (GREECE DOES NOT RECOGNIZE MACEDONIA), SO HAD 3 HOUR DELAY, PAINTING OVER NAME.

PLANS TO EXPAND SERVICES TO USA, CANADA, & MIDDLE EAST IN NOVEMBER 1997. ALSO, TO ABU DHABI, CAIRO, BEIRUT, AMMAN, DAMASCUS, AND DUBAI. THIS SUMMER BEGAN SERVICE TO BRATISLAVA, + RESORTS IN GREECE, & SPAIN.

OCTOBER 1997: DECIDES TO UPGRADE 8 727-200'S & 9 DC-9-32'S WITH NEW AVIONICS & HUSHKITS @ $3 MILLION EACH.

NEW COLOR SCHEME WITH LARGE (JAT) AIRWAYS TITLES ON FORWARD FUSELAGE, AND "www.jat.com."

JANUARY 1998: 1 727-2H9 (YU-AKK), LEASED TO (ADN).

APRIL 1998: VELJKO BASARIC TECHNICAL DIRECTOR & VP ENGINEERING.

6,400 EMPLOYEES.

SELECTS CANADIAN MARCONI, CMA-900 (GPS)-BASED (FMS), FOR 19 727/DC-9'S.

LEASES DC-9-32 TO ALLIANCE AIR (ALF), TANZANIA. (LOI) 8 ORDERS (/05) A319'S. 2/7 ORDERS ABS PARTNERSHIP, HUSHKITS, FOR 2 DC-9'S.

MAY 1998: DC-10-30 SERVICE TO BEIJING. PLANS FOR >1 MILLION PASSENGERS (PAX), AND >8,000 TONS CARGO, IN 1998.

SEPTEMBER 1998: IN RETALIATION OF YUGOSLAV MILITARY RAIDS ON PROVINCE OF KOSOVO, EUROPEAN UNION (EU) BANS (JAT) AIRWAYS FLIGHTS TO SWEDEN, & GERMANY.

OCTOBER 1998: 1ST 6 MONTHS = 428 MILLION (RPK) TRAFFIC (+15.3%), 2.81 MILLION (FTK) FREIGHT TRAFFIC (+60.5%), 462,000 PASSENGERS (PAX) (+15.2%).

NOVEMBER 1998: DC-9-32 (47567) RETURNED FROM MACEDONIAN (MDA). DC-9-32 (47568) RETURNED FROM TUNINTER (TUI), AND LEASED TO (MDA).

DECEMBER 1998: DC-9-32 (47562) LEASED TO BELLVIEW (BEB).

APRIL 1999: 5,640 EMPLOYEES (INCLUDING 376 FLIGHT CREW (FC) & 628 CABIN ATTENDANTS (CA)).

(http://www.jat.co.yu). (jat.ipc@eunet.yu). SITA: BEGDYJU.

EUROPEAN UNION (EU) BAN STILL IN EFFECT FOR FLIGHTS BETWEEN YUGOSLAVIA & (EU).

737-3H9 (24141, YU-ANW) LEASED TO AIR AFRIQUE (AFR).

JUNE 1999: RESUMES FLIGHTS.

51% OWNED BY THE SERBIAN GOVERNMENT.

JULY 1999: DC-9-32 (47571, YU-AJL) LEASED TO MACEDONIAN.

SEPTEMBER 1999: TO TRIPOLI.

ATR 72-202 (189, YU-ALP), LEASED INTERNATIONAL CIVIL AVIATION ORGANIZATION (ICAO), TO AIR SRPSKA. 727-2H9 (22393, YU-AKI) LEASED TO BELLVIEW (BEB), TIL JANUARY 2000.

OCTOBER 1999: TECHNICAL DIVISION: CONTACT: RADOJE DJUKIC PROJECT MANAGER, HAS HANGARS FOR 3 WIDE BODIES & 4 NARROW BODIES FOR 727'S, 737'S, DC-9'S, DC-10'S, & ATR 72'S "A" - "D" CHECKS.

FEBRUARY 2000: EUROPEAN UNION (EU) LIFTS ITS BAN ON (JAT)'S FLIGHTS INTO ITS MEMBER COUNTRIES.

APRIL 2000: ZIKA PETROVIC, DIRECTOR GENERAL, KILLED (POLITICAL SLAYING - ALLY OF PRESIDENT SLOBODAN MILOSEVIC).

5,640 EMPLOYEES (INCLUDING 376 FLIGHT CREW (FC), & 628 CABIN ATTENDANTS (CA)).

OCTOBER 2000: MIHAILO VUJNOVIC (CEO).

NOVEMBER 2000: 1999 = -$40.25 MILLION.

1 727-2H9 (22666, YU-AKL) WET-LEASED TO NIGERIA (NIA).

DECEMBER 2000: PROPOSES THAT THE AIRLINES OF THE BALKANS FORM AN ALLIANCE TO COVER MAINTENANCE AND SUPPORT, ASWELL AS COORDINATION OF SCHEDULES. INCLUDED AIR BOSNA (BOS) AND AIR SRPSKA.

727-2H9 (22665, YU-AKK), WET-LEASED TO SOSOLISO AIRLINES (SSL).

JANUARY 2001: 1 727-2H9 (22393, YU-AKI), WET-LEASED TO (SSL).

FEBRUARY 2001: YUGOSLAVIA BECOMES 186TH MEMBER STATE OF THE EUROPEAN UNION (EU).

MARCH 2001: MIHAJLO VUJNOVIC IS NO LONGER PRESIDENT.

TO START SLOVENIA/SERBIA FLIGHTS IN 5/01.

APRIL 2001: DUSAN KOSTIC, ACTING PRESIDENT.

4,447 EMPLOYEES (INCLUDING 379 FC, & 533 CA).

MAY 2001: TO MILAN (MALPENSA). IN 6/01, TO RESUME SERVICES TO SARAJEVO, SKOPJE, SOFIA, AND NEW YORK. TO NEW YORK (DC-10-30, 3/WEEK), & TO TORONTO (DC-10-30, 2/WEEK).

DUSAN KOSTI ALSO ACTING GENERAL DIRECTOR.

1 DC-9-32 (47563) LEASED TO SOSOLISO (SSL). 1 727-2H9 (22393) RETURNED FROM (SSL).

JUNE 2001: SRDJAN VUKCEVIC (CEO) & GENERAL MANAGER.

SUMMER SERVICE FROM COASTAL AIRPORT IN TIVAT, MONTENEGRO, TO BERLIN, DUSSELDORF, FRANKFURT, MOSCOW, AND ST PETERSBURG. TARGET MARKETS ARE PRIMARILY REGIONS WHERE (JAT)'S NON-HUSHKITTED AIRPLANES CAN FLY, SUCH AS AFRICA. 727-200'S, AND 737-300'S, ARE TO BE LEASED TO OPERATORS IN MOZAMBIQUE, SENEGAL, TANZANIA, AND TUNISIA. 2 DC-9-30'S ARE IN A 3RD YEAR OF A WET-LEASE TO BELLVIEW (BEB), WHICH HAS NETTED $14.5 MILLION OVER 28 MONTHS. MONGOLIAN STARTUP OPERATOR, "JUSTICE," HAS SHOWN INTEREST IN LEASING 737 AND ATR AIRPLANES.

737-3H9 (24140) WET-LEASED TO TRAVEL SERVICE (TSF). 10 AIRPLANES ARE WET-LEASED TO SEVERAL OPERATORS.

JULY 2001: STARTS SEASONAL SERVICE FROM TIVAT, TO BERLIN, FRANKFURT, DUSSELDORF, MOSCOW, AND ST PETERSBURG.

SEPTEMBER 2001: 5,000 EMPLOYEES. SITA: BEGDYJU.

(http://www.jat.com). (jat.jpc@eunet.yu).

DC-9-32 (688-47567, YU-AJJ), RETURNED FROM MACEDONIAN (MCC).

NOVEMBER 2001: 1ST 9 MONTHS = -$2 Million: 70.9 Million RPK (+2.4%); -19.2% ASK; 60.7% LF (+12.8); 350,000 FTK (-59.3%).

DRASKO VUJOVIC PRESIDENT.

TO BERLIN (SCHOENEFELD) - HAMBURG (WEEKLY).

FEBRUARY 2002: TO DELAY ORDERS FOR 8 A321'S BY 2 YEARS.

April 2002: 5,255 employees.

Owner/shareholders: Serbian Government (51%).

(Telephone: +381 11 311 4 222). (FAX: +381 11 311 2 853).

July 2002: 2001 = -$2.83 Million (-$11.84 Million).

1 737-3Q4 (24208), Titan (TIA) leased.

November 2002: 2 727-2H90's (22393; 22665) wet-leased to AIR ALIZES AFRIQUE, initially for 5 months with a possibility to extend for a further 3 months. For the 1st 3 months will also provide cabin staff (CA).

Resumes service to Ljubljana in cooperation with Adria Airways (ADR).

Government gave OK for (JAT) Airways to sell 6 727's, and 3 DC-9's. All are un-airworthy, most since 1992, and have been used for spare parts. 1 order 737-400, leased from Italy.

December 2002: Donates 1 727-200 to the air museum, at Belgrade. Will be moved to the museum in summer 2003.

Resumes service to Ljubliana (ATR 72, 3/week) in cooperation with Air Adriatic (ADR). To Tirana (ATR 72, 3/week).

737-3H9 (24121) wet-leased to Macedonian (MCC). 1 737-4Q8 (1665-24070, YU-AOO), ex-Air One (ADH), (ILF) leased. 1 DC-9-32 (685-47562, YU-AJH), wet-leased 3 years to Sosoliso (YNQ), then (YNQ) will buy it.

January 2003: 2 727-2H9's wet-leased 1 year to West African Airlines, Cotonou, Benin.

March 2003: Resumes service to Beirut and Dubai. In 6/03, Belgrade - Gothenburg (Landvetter) (2/week).

2002 = 971.50 MILLION RPK (+19.1%); 1.1 MILLION PAX (+3.4%); 4.43 MILLION FTK (-30.2%).

Non-airline assets are being sold, including its Belgrade handling agency, 2 Belgrade hotels, apartment buildings, catering, fuel supply, and general aviation, and agricultural divisions. Over the next 4 years, employees will be reduced from 6,200 to 4,700.

Changes its name from JAT YUGOSLAV AIRLINES to JAT AIRWAYS to reflect that Yugoslavia is now called Serbia & Montenegro.

4,897 employees. (jatpr@jat.com).

June 2003: 2 727-2H9's wet-leased to West African Airlines, Cotonou.

September 2003: 2002 = 972 MILLION RPK (+16.5%); 1 MILLION PASSENGERS (PAX) (-.6%).

2002 TOP WORLD AIRLINES TRAFFIC (RPK) (MILLION):
203 (ACE) 1,087; 204 (BMR) 1,051; 205 (TRX) 1,000; 206 (CRH) 983; 207 (NOD) 972; 208 (JAT) 972; 209 (ASY) 969; 210 (GHN) 942; 211 (TRANS STATES A/L) 861M; 212 (SAS) COMMUTER) 854M; 213 (PORTUGALIA) 827; 214 (ADR) 794; 215 (PIE) 789; 216 (MIB) 771.

October 2003: Forms a low-cost subsidiary called Interair Link to operate intra-Balkan services.

2 orders (5/04) 737-400's.

November 2003: 727-200 wet-leased to West African, starts service, Cotonou-Lagos.

737-3H9 (23415) wet-leased to Aero Contractors (Nigeria). 737-4S3 (1720-24165, YU-AOQ) returned to Hanway Corp, leased to Transaero (TRX). DC-9-30 wet-leased to Albanian Airlines (LBC). 4th ATR 72.

December 2003: 2 round trip charters from Zurich to Nis (Serbia). The recently restored Nis Airport in Serbia has been renamed Konstantin Veliki (Constantine the Great).

In 2004, (JAT) will start using 2 Aviogenex (AVG) 727-200's on its own charter services. A (LOI) has been signed with (AVTG) parent, International (CG), to form a joint charter company, and (JAT) will maintain the 727's.

In May, Belgrade - Kuwait (2/week).

2 orders (2/04) 737-400, US Airways (USA) leased. ATR 72-202 (357, YU-ALR), (ATR) leased.

February 2004: 2 DC-9-32's (47568; 47571) wet-leased to Cameroon (CAM).

March 2004: Code share with Austrian (AUL), Begrade - Vienna.

737-4B7 (1795-24551, YU-AOS), CIT (TCI) leased.

April 2004: Plans to retire 2 727-200's, 6 DC-9's and 1 DC-10-30 upon their return from leases in Africa.

May 2004: 4,455 employees (including 228 Flight Crew (FC), 428 Cain Attendants (CA), & 1,107 Maintenance Technicians (MT)).

May 2004: Cancels 8 orders Airbus (EDS) airplanes and substitutes 8 orders 737-700's.

June 2004: 2 727-2H9's (22393; 22665) returned from West African (WSF) and retired.

July 2004: 2003 = -$9.27 Million (-$10.03 Million): 1.22 Billion (RPK) traffic (+14%); 60.8% LF; 1.14 Million passengers (+5.8%); 4.76 Million (FTK) freight (+.5%).

August 2004: Nis to Paris and Zurich, plus charters to Tivat and Turkey.

DC-9-32 (47563, YU-AJI) leased to Government of Trinidad & Tobago.

September 2004: Is offering 5 727-200's & 3 DC-9's, all un-airworthy, for sale. Plans to lease 2 767-200ER's next March to resume trans-Atlantic operations.

October 2004: In December, Belgrade - Basel (737-300, 2/week).

8 orders (2005-06) 737-800's.

November 2004: 737-3H9 (23415, YU-ANH) returned from AeroContractors and exchanged for 737-3H9 (24140, YU-ANV), wet-leased.

December 2004: In April, resume Belgrade - Skopje - Ohrid. Belgrade - New York (JFK).

Changed its livery, which includes a red tail, although its logo is unchanged.

2 orders Embraer E170's.

May 2005: 3,258 employees.

737-3H9 (24141, YU-ANW), wet-leased to Cameroon Airlines (CAM) who had just gone bankrupt.

June 2005: Tivat to St Petersburg & London (weekly).

July 2005: Intends to spin off its Technical operation into a separate company called Jat Tehnika, which would employ 950. Plans to obtain the necessary licenses and authorities to perform 3rd-party maintenance.

August 2005: In October, code share with Aeroflot (ARO), Belgrade - Moscow (13/week).

737-3H9 (23416) returned from Macedonian Airlines (MCC).

October 2005: 737-3H9 (24140), returned from Aero (NIG). DC-9-32 (47568, YU-AJK), wet-leased to Eastern SkyJets.

November 2005: JAT Airways (JAT) added Ohrid and Kuwait to its network. (JAT) also increased its Belgrade - Vienna service to 11 per week and Belgrade - Zurich to 9.

December 2005: 1st 11 months = Passenger traffic 902.1 Million (RPK) (-11.1%); Freight traffic 4.5 Million (FTK) (-14.9%); 854,000 passengers (-14.2%).

JAT Airways (JAT) plans to take delivery of 2 Embraer E170s in January for use on services from Belgrade to Podgoroca, Vienna and Sarajevo.

January 2006: JAT Airways (JAT) will become a member of the SkyTeam (STM) alliance with sponsorship from Air France (AFA), according to media reports in Serbia citing (JAT) Commercial Director Milutin Popovic.

(JAT) announced plans to resume service from Belgrade to New York and Toronto. (JAT) would use a leased 767-200 with 3x-weekly to New York from May 15th and 2x-weekly to Toronto from July 1st. (JAT) Airways launched 2x-weekly Belgrade - Sharm el Sheikh service.

(JAT) Airways reported a loss of -€20 million/-$24.5 million in 2005. (CEO) Nebojsa Starcevic told Serbian news agency "Tanjzg" that 2006 will be a make-or-break year for the struggling carrier. "This year will see either the rebirth of (JAT) or we will have to shut down the airline," he said.

737-3H9 (24140, YU-ANV), wet-leased to Bellview Airlines (BEB).

March 2006: (JAT) is expected to decide by the end of this month that it will restart transatlantic service to New York and Toronto. It plans to use 2 767-200ERs on the routes. It is also in the final phase of negotiations for the purchase of two Embraer E170s, sources close to the airline said. It will operate 2 737-400s, 5 737-300s and 4 ATR 72s on 177 weekly flights to 36 international and 3 domestic destinations during its summer schedule.

April 2006: Jat Airways (JAT) and Alitalia (ALI) begin code sharing between Belgrade and Milan with 3x-daily flights from April 24 using Alitalia Express Embraer E170s.

767-2Q8ER (24448), (ILF) leased. DC-9-32 (47568, YU-AJK), returned from Eastern SkyJets (ESJ).

May 2006: As national carrier, JAT Airways (JAT), provides international jet airplane flights weekly to 36 destinations in Europe, the Middle East, and North Africa, plus regional services in
SE Europe.

3,525 employees.

(IATA) Code: JU. (ICAO) Code: JAT.

(http://www.jat.com). (jat@jat.com).

Parent organization/shareholders: Serbian Government (100%).

Owns: Air Srpska (50%).

Alliances: Aeroflot Russian Airlines (ARO); Air France (AFA); Austrian Airlines (AUL); (CSA) Czech Airlines; & Lufthansa (DLH).

Domestic, Scheduled Destinations: Belgrade; Nis; Podgorica; & Tivat.

International, Scheduled Destinations: Amsterdam; Athens; Berlin; Brussels; Copenhagen; Dubai; Dusseldorf; Frankfurt; Gothenburg; Istanbul; Kuwait; Larnaca; Ljubljana; London; Malta; Moscow; Munich; Ohrid; Paris; Prague; Rome; Sarajevo; Skopje; Stockholm; Stuttgart; Tel Aviv Yafo; Tirana; Trieste; Tripoli; Tunis; Vienna; & Zurich.

(JAT) resumed nonstop service from Belgrade to Cairo. It is now operating a weekly flight departing Belgrade on Sundays and Cairo on Mondays using a 737-300. (JAT) will inaugurate nonstop service from Belgrade to Monastir on May 18th. (JAT) will operate 2x-weekly on Thursdays & Fridays, using a 737-300.

In comparison to the same period in 2005, +38% increase of passengers carried during the 1st 3 months this year, enabled (JAT) to be the most successful air carrier in Europe. In mid-May, (JAT) also recorded a positive result amounting to 3.3 million euros in revenues. From January to March 2006, the revenue was up by +19% in comparison to 2005 - +29% higher than previously planned, said Nebojša Starcevic, (JAT)’s Acting Director General.

In the period from January to March this year (JAT) carried 199.6 thousand passengers which is a +38% increase in comparison to the 1st quarter of the year-ago period. Positive results in April, when the number of passengers carried rose by +91%, and the 1st 2 weeks of May, when the company recorded +48% increase in comparison to the spring period in 2005, witness stable business relations within the Company and definitive rationalization of Jat Airways (JAT)’s traffic net.

(JAT)’s business success is so much better as the 1st 3 calendar months are the most problematic for any air carrier worldwide due to the globally lowest rate of travels in the period.

As the public service enterprise which must make sure to abide by the scheduled time table (JAT) managed to increase its operations via the Belgrade Airport by +10% in comparison to the previous year, retain positive results in almost all markets where it flies to competing with other air carriers, increase number of passengers carried by +48% in domestic and by +6% in international traffic, record LF increase by 51.1% and enhance on-time performance by 80.6%. The company achieved these results with the fleet of 14 airplanes.

The European professional magazine "Aviation Industry" pronounced Jat Airways (JAT) the air carrier which achieved the highest business and success jump in the 1st 3 months 2006 in comparison to the same period in 2005.

June 2006: (JAT) Airways resumed weekly flights from Belgrade to Monastir and Tunis. It will add a 2x-weekly Belgrade - Cairo service this summer. Flights will be operated with 2 CRJ-200s leased from Adria Airways (ADR) that eventually will be replaced by 2 purchased CRJ-700s.

Belgrade Nikola Tesla Airport opened its refurbished Terminal 2 (T2) last month, after 2 years of construction and €17 million/$21.4 million of investment. T2 will handle just international flights and has 3 levels and covers 24,000 sq m. Annual passenger capacity is 5 million, and the baggage conveyor system in departure can handle about 1,500 pieces per hour. T2 holds 33 check-in desks running on (CUTE) equipment.

There are 5 passport control booths placed in departures and 5 in arrivals. The retail zone has room for 28 shops, 2 restaurants and 3e coffee bars. T1 will handle domestic operations.

September 2006: Jat Airways (JAT) will open a 2nd base in Pristina, where it will operate flights to its Belgrade hub and other European destinations.

October 2006: In 1st 9 months, (JAT) Airways had 861.8 million (RPK)s (+16.7%); 3.3 million passengers (-3.1), and 870,000 passengers (+23.1%).

(JAT) Airways will launch operations next month from its secondary hub Nis, the 3rd-largest city in Serbia, to Zurich, Vienna, Frankfurt, Basel and Dusseldorf.

(JAT) will increase the frequency on its Nis to Zurich route from 1x- to 2x-weekly on November 17th. The current Saturday flight will be replaced with flights on Fridays & Sundays, using a 737-300.

January 2007: Jat Airways (JAT) and BH Airlines (BOS), formerly Air Bosna, signed a code share agreement covering flights between Belgrade and Sarajevo.

March 2007: Starting May 14th, Belgrade - Ohrid, using ATR 72s.

April 2007: Jat Airways (JAT) said it expects 2007 to be "the most successful business year over the past 17 years" based on traffic trends through the 1st 100 days. It transported 237,201 passengers during the period, a +5.6% increase from a year ago, with a +2.5-point rise in load factor to 51.8% LF.

May 2007: Aeroflot (ARO), which remains alive in the bidding for SkyTeam (STM) partner Alitalia (ALI), also has made an offer to buy Serbia's Jat Airways (JAT), according to press reports. Serbian Minister of Infrastructure, Velimir Ilic told reporters in Belgrade that (ARO) offered to settle (JAT)'s debts, purchase new airplanes and maintain (JAT)'s workforce. (ARO) reportedly is not the only interested buyer. "So far, (ARO) has made the best and the most concrete offer," a Jat (JAT) official told "Reuters." (ARO) reported a +$5 million profit in 2006, according to the news agency.

Starts Belgrade - Ohrid, using ATR 72s.

(JAT) Airways reached agreement with Portoroz Airport in Slovenia to operate a seasonal weekly ATR 42 charter frequency to the Adriatic resort area from Belgrade beginning June 16, and running through September. Belgrade outbound flights will continue to Rome Fiumicino.

June 2007: Aeroflot (ARO) denied Italian media reports that it plans to drop out of the bidding for Alitalia (ALI), while revealing that it is working with the (EU) on maintaining (ALI)'s European traffic rights, if its consortium beats out Air One (ADH) and wins the privatization tender. "There is no hesitation to leave the bidding. There is no question of dropping out," Lev Koshliakov, an (ARO) Deputy Director General, told Thomson Financial. He said Italian bank Unicredit, which only holds a 5% stake in the consortium, could be the "nominal" owner of the traffic rights, but he would not explain further. Koshliakov said (ARO) wants to invest to develop (ALI), rather than just own it. "(ALI) and (ARO) are network companies, not like (ADH) that is point-to-point.

A combination of the networks would give synergies," he insisted. He said (ARO) is "confident" it will have the resources to renew (ALI)'s aging fleet, after receiving proposals from several international banks, noting that (ARO) has ordered 50 Sukhoi SuperJet 100s. Italy's Alenia Aeronautica holds 25% of Sukhoi Civil Aircraft. "This can be an interesting option and can be lucrative in terms of economics. (ARO) has special conditions as a launch customer," he said.

Meanwhile, (RIA) Novosti shed more light on Aeroflot (ARO)'s interest in Jat Airways (JAT). (ARO) signed a Memo of Understanding (MOU) with (JAT) to acquire up to 75% of (JAT) and commit $100 million toward the purchase of short-haul and/or regional airplanes.

June 2007: Air-India (AIN) is in a "wait-and-see" position regarding its interest in taking a stake in Serbian flag carrier Jat Airways (JAT), which also has caught the eye of Aeroflot (ARO). "We were talking with the [Serbian] government, but we haven't taken any clear decision" on whether to invest in Jat (JAT), (AIN) Chairman & Managing Director V Thulasidas said.

Belgrade does not appear to be targeted as a European hub for the carrier. "We already have hubs in Europe, and Frankfurt will be developed as our hub in the future," he said, adding that Air-India (AIN) is more concerned with its merger with Indian Airlines (IND), than investing in foreign carriers or making an alliance decision, although it is exploring adding services to countries such as Switzerland and Italy. Integration is expected to be completed in 18 to 24 months. "After the merger, we will become 1 of the biggest airlines in Asia," Thulasidas said.

July 2007: Skyways Aviation announced the arrangement of an ATR 72 lease to Jat Airways (JAT). The airplane will be leased for 4 years from ATR Leasing. It is Jat (JAT)'s 5th ATR 72.

737-4B7 (24550), returned to (CIT) Group (TCI), leased to Adam Air (DHI).

September 2007: Jat Airways (JAT) carried 186,480 passengers in July, up +11% from the year-ago month. Load factor soared +8.5 points to 77% LF.

Air-India (AIN) is looking at possible tie-up with Serbia's national airline Jat Airways (JAT) for expanding European operations. Meanwhile, 20 (JAT) flight crew (FC) have joined Air-India (AIN) Express for 737-800 operations.

November 2007: 1st 6 months = 514.1 million (RPK)s (+9.4%) traffic; 2 million (FTK)s (-4%) freight traffic; 498,000 passengers (+5.1%).

Jat Airways (JAT) named Sasa Vlaisavljevic, its Ground Operations Director since 1995, as (CEO).

December 2007: Dunlop Aerospace will provide wheel and brake maintenance and support for Jat Airways (JAT)'s fleet of 5 ATR 72-200s.

January 2008: 2007 statistics: 1.17 billion (RPK)s passenger traffic +5.3%; +3.4% capacity (ASK)s; +1.1 load factor for 59.9% LF.

SEE ATTACHED COMPARISON CHART TO SELECTED OPERATORS:
"JAT-2007-STATS."

February 2008: Jat Airways (JAT) reported a +RSD300 million/+$5.2 million profit in 2007, which it said was +50% higher than forecast and its best result in 17 years. It credited its "stable, market-oriented business policy, that generated earnings on its own merit, without any government assistance." It did not provide a year-ago result. (JAT) transported 1.3 million passengers last year, up +8.3% from 2006, and load factor climbed +4 points to 62% LF. It said it achieved these results despite an "obsolete fleet" and added that its profitability allowed it put $12 million toward acquisition of an additional airplane this year. It said 2008 is expected "to be even more successful than the previous 2," with 1.5 million passengers anticipated and expansion to Croatia, Romania, and Bulgaria targeted.

June 2008: Serbia considers privatization of Jat Airways (JAT).

SEE ATTACHED ARTICLE - - "JAT-2008-06-NEWS."

The Serbian government said that it will offer for sale a 51% stake in Jat Airways (JAT) for a starting price of €150 million/$231.9 million. The tender, set to published July 15, according to press reports, will include an option to acquire up to 75% of the airline. "Anyone can bid, but bidders outside the European Union (EU) will have to run in a consortium," Economy Minister Mladjan Dinkic said. "Our main request is to keep Jat (JAT) as the national carrier and keep the Serbian flag on it." It reportedly has assets worth $150 million and is carrying €209 million in debt. Independent Maintenance Repair & Overhaul (MRO) concern Jat Technika also will be put up for bid.

July 2008: Jat Airways (JAT) transported 141,000 passengers in June, up +11% year-over-year, as load factor rose +4 points to a record 65% LF. 6-month passenger numbers climbed +9% to 578,781.

(JAT) launched 2x-weekly, Belgrade - Pula flights aboard an ATR 72, re-establishing air service to Croatia after 17 years. Service will continue to August 21, and Jat (JAT) said it is "prepared" to extend it if it remains popular.

The Serbian government plans to reduce the minimum price it will accept for the sale of flag carrier Jat Airways (JAT) to compensate for rising fuel prices, Deputy Prime Minister Mladjan Dinkic said. According to "Reuters," the government initially priced the airline at €150 million and said it would sell a 51% stake in a tender expected to be called by the end of this month. Dinkic said there is a "reserve plan" if the government is unsatisfied with the tender's outcome. (JAT) is carrying €209 million in debt and flies a relatively old fleet of 16 737 Classics and ATRs. Local media reported that Aeroflot (ARO) no longer is interested in bidding. (ARO), Icelandair (ICE), and Air One (ADH) all have shown interest in the past, and now AirBerlin (BER) and Aegean Airlines (CRM) reportedly also are possible candidates.

September 2008: Jat Airways (JAT) is nearing bankruptcy, President Sasa Vlaisavljevic told Serbia's "Press" newspaper. The Serbian government has been attempting to sell a 51% stake in the troubled carrier since late June to raise money to revitalize it. But no buyers have come forward and Vlaisavljevic said (JAT) can afford to operate only nine if its 15 airplanes. It already has reduced onboard food service to lower costs, and has laid off employees based outside Serbia. It reportedly has €250 million/$355.4 million in debt.

Later, Jat Airways (JAT) countered assertions that it is in serious financial trouble, insisting in a statement that "the situation is stable and there are no signs of bankruptcy." (JAT) claimed that President Sasa Vlaisavljevic was describing "significant and comprehensive cost-cutting measures [the airline is taking] in order to be competitive in the years to come in the environment with high fuel prices" but did not mean to imply (JAT) was on the verge of bankruptcy. Among the cost-cutting steps, the airline said, are "significantly reducing representative offices abroad," slashing management salaries by -5% to -15%, "slightly" cutting onboard food service, and lowering the number of airplanes it will operate during the winter season. "The airplanes not operated by (JAT) will be leased out in Africa, and this business arrangement will secure a continuous and significant cash flow," it said, adding that it will not increase fares for at least 3 months.

October 2008: Jat Airways (JAT), which the Serbian government put up for sale over the summer, has not found an investor willing to purchase the state's 51% stake and now must depend on the government for a rescue, (CEO) Sasa Vlaisavljevic said. He said the state will have to assume Jat (JAT)'s €250 million debt.

December 2008: World nations currently rated Category 2 by the USA (FAA) under the agency's International Aviation Safety Assessment (IASA) program are: Bangladesh, Belize, Ivory Coast, Croatia, Democratic Republic of Congo, Gambia, Ghana, Guyana, Haiti, Honduras, Indonesia, Israel, Kiribati, Montenegro, Nauru, Nicaragua, Paraguay, Philippines, Serbia, Swaziland, Ukraine, Uruguay and Zimbabwe. The (FAA) rating prevents nation's airlines being allowed to fly into the USA. They have the option to fly to the USA with an airline who is approved under Category 1.

The (FAA) states that a Category 2 rating "may involve a country lacking laws or regulations necessary to oversee air carriers in accordance with international standards, or that its civil aviation authority does not meet international standards in one or more areas such as technical expertise, trained personnel, record keeping, or inspection procedures."

January 2009: Jat Airways (JAT) transported 1.4 million passengers in 2008, up +4% from 2007, while cargo fell -13% to 2,829 tonnes. Passenger load factor rose +2 points to 64% LF.

May 2009: Jat Airways (JAT) intends to change its name, Chairman Sasa Vlaisavljevic told "Vecernje Novosti." Names under consideration are Air Serbia, Serbia Airlines and Serbia Airways, the newspaper reported.

July 2009: Jat Airways (JAT) announced plans to lease 2 737-700s. It already has 1 737-300 and 1 737-400 on lease. No timetable for the 737-700s' arrival was announced.

737-3H9 (23416, YU-ANI), wet-leased to Air Ivoire (VUN) until October 2009.

September 2009: Jat Airways (JAT) said it presented a business plan to the Serbian government outlining its program "to regain its position as the regional leader in air transport" and stated that it would need to transport 1.5 million passengers per year aboard its 16 airplanes to accomplish the goal. It carried 1.4 million in 2008. (JAT) said it planned to join an alliance, reconfigure its schedule to facilitate better connections, "upgrade the quality of service" and implement "intensive marketing" initiatives to boost traffic. It said it also is considering establishing its own maintenance operation or selling off non-core units.

October 2009: Jat Airways (JAT) (CEO) Srdjan Radovanovic told the "Associated Press" (AP) that (JAT) will be forced to cut one-third of its staff, or around -550 people, in order to complete its reorganization. It expects to lose around -€20 million/-$30 million this year and will have to transport some 1.5 million people in 2010 in order to avoid a loss, he said.

(JAT)'s winter schedule, which began Sunday and runs through March 27, will feature 163 weekly flights to 36 destinations in 25 countries. A Belgrade - Gothenburg service is set to launch on December 19.

(JAT) Airways said that its fleet was grounded owing to a strike by (JAT) Tehnika mechanics (MT) that service its airplanes. The mechanics (MT) reportedly are protesting (JAT)'s failure to make payments to (JAT) Tehnika in a timely manner. "We are negotiating and expect to find a solution," a spokesperson for (JAT) told "Reuters." "Our debt to (JAT) Tehnika is $1.5 million and we never disputed that. We are a month behind in paying it." (JAT) Tehnika has 900 employees.

Later, JAT Airways (JAT) resumed flying after reaching an agreement with (JAT) Tehnika to begin paying debt it owes to the Maintenance Repair & Overhaul (MRO) company. (JAT) Tehnika's mechanics (MT), which service (JAT) airplanes, stopped working for 2 days to protest the airline's failure to pay the maintenance company in a timely fashion, forcing (JAT) to ground its fleet temporarily. (JAT) has admitted that it owes (JAT) Tehnika about $1.5 million and is a month behind in making payments. (JAT) Tehnika said that (JAT) promised to begin making partial payments.

December 2009: Jat Airways (JAT) expects to lose -€15 million/-$22.3 million this year, lower than the -€20 to -€25 million anticipated previously, but will need €20 to €32 million in loans to maintain operations, (CEO) Srdjan Radovanovic told the "Associated Press." He also said that Turkish Airlines (THY) has shown "the most serious" interest in investing in the carrier.

February 2010: Jat Airways (JAT) will move its services to Portoroz, between April 7 and April 20 when Ljubljana airport, Slovenia will be closed for runway renovation works.

(JAT) has made more network changes:
Belgrade - Larnaca - Dubai: 3x-weekly 737-300 service resuming on April 1;
Belgrade - Ljubljana: 4x-weekly ATR 72-200 service (already launched);

After the announcement of its new Dubai service, (JAT) has announced that it will stop serving Abu Dhabi on February 4. The Abu Dhabi route had been launched after (JAT) had failed to renew a favorable interline agreement with Emirates (EAD) for the large amount of traffic between Serbia and Australia that it then unsuccessfully tried to replace with a similar agreement with Etihad Airways (EHD). It has temporarily suspended its Belgrade - Banja Luka services until March 28 when 3x-weekly ATR 72-200 flights will be resumed on the route. It has announced that it was considering adding direct flights from Banja Luka to several Western European destinations if it is able to secure sufficient traffic rights. Similar plans to launch a new subsidiary in Macedonia, tentatively called Aeromak, seem to have failed after it has not received an operating license. (JAT) has entered into a bilateral code share agreement with Austrian Airlines (AUL) for the Belgrade - Vienna route allowing the carriers to offer up to 5x-daily services. It has announced -550 job cuts as part of a plan to return back to profitability by 2011. The plan also includes the replacement of its 1 737-400 by a 737-700 later in 2010. According to several news reports over the last 2 months, Olympic Air (OLY) parent, the Marfin Investment Group (MIG), Aeroflot (ARO) and Turkish Airlines (THY) have all declared their interest in taking over or partnering with Jat Airways (JAT) should (JAT) be privatized.

March 2010: Jat Airways (JAT) lost -€23.5 million/-$31.8 million in 2009 and expects another deficit this year, (CEO) Srdjan Radovanovic told reporters in Belgrade. (JAT) had expected a -€15 million/-$31.8 million loss in December. Full-year operating loss was -€16.5 million.

The Serbian government is looking at ways to make money-losing flag carrier, Jat Airways (JAT) more attractive to investors, such as assuming debt or funding redundancies, Prime Minister Mirko Cvetkovic said. The government intends to launch a tender next month in an attempt to revive the airline, "Reuters" reported. It is hoping to sell a 51% stake. (JAT) lost -€23.5 million/-$31.5 million last year.

July 2010: The governments of Serbia and Turkey have pledged to speed up talks that could result in indebted Serbian flag carrier Jat Airways (JAT) merging with Turkish Airlines (THY).

During a news conference, Turkish Prime Minister Tayyip Erdogan said, “We are ready for steps that will make that cooperation possible. I am promising to do my best [to provide] the people of Serbia with links to every corner of the world through our 2 companies.”

(THY) (CEO) Temel Kotil said in May that he was in talks with (JAT) about a possible merger. In March, Serbia announced it would split (JAT) into 2 separate companies. "Reuters" reported that 1 would assume the debt and the other the profitable assets.

(JAT) announced a -€16.5 million/-$21.97 million loss for 2009 and said it planned to borrow €51.5 million to renew its aging fleet and prepare for a potential partnership with (THY). It operates a fleet of 15 airplanes comprising 737-300s, 737-400s and ATR 72-200s.

August 2010: Montenegro Airlines (MNO) will give up its Podgorica - Belgrade and Tivat - Belgrade routes by the end of October in favor of a cooperation agreement with Jat Airways (JAT). The 2 carriers are also exploring cooperation on other routes.

August 2011: The Serbian government launched a tender to find investors to create a new airline to replace loss-making Jat Airways (JAT). A previous tender for the sale of a 51% stake in (JAT), priced at €51 million/$73 million, failed in 2008.

The government is looking mainly for airlines and/or financial backers with airline holdings to invest in the new Serbian carrier. A possible merger between (JAT) and Turkish Airlines (THY), discussed last year, didn't come to fruition. To cut losses, (JAT) sold its Belgrade headquarters building last year. (JAT) operates a fleet of 10 737-300s and 4 ATR 72s.

September 2011: The Serbian government is once again trying to sell financially troubled, state-owned Jat Airways (JAT) (or at least find an investor willing to operate and manage a "new" Belgrade-based airline). (JAT)'s total debt is estimated at about €300 million/$433 million, multiple Serbian media outlets reported.

The first tender for the sale of a 51% stake in (JAT), proffered in 2008, failed owing to a lack of interest, particularly given the government's high asking price of €51 million.

The new strategy calls for offering investors a holding in a "new" company called NewCo that would be free from debt. Presumably, (JAT)'s assets (which include an aging fleet comprised of 737-300s and ATR 72-200s) would form the basis for the airline. Bids will be accepted through September 30.

October 2011: The Serbian government has extended the deadline for bids for the financially troubled, state-owned JAT Airways (JAT) until October 31. No details have been released about potential investors interested in acquiring (JAT) or at least willing to operate and manage a "new" Belgrade-based airline.

(JAT) reported a loss of -€16.5 million/-$22 million in 2009 and borrowed €51.5million from the government to renew its fleet and prepare for a potential partnership with Turkish Airlines (THY), which was unsuccessful.

January 2012: (JAT) Airways has again not been privatized after another attempt to sell a major stake in the ailing Serbian national carrier has failed. The only remaining bidder Baltic Aviation Systems (BAS), the previous part owner of AirBaltic (BAU) has withdrawn its bid after its owner has been arrested in the UK being accused of alleged fraud and money laundering. The Serbian government is now working on a new restructuring plan to either reorganize (JAT) Airways itself or to set up a new airline that will only take over certain assets from (JAT). The plan foresees that (JAT)’s workforce would be reduced from around 1200 to 700 staff and a fleet renewal program.

(JAT) Airways has given up its routes from Belgrade to Paphos on October 30 and its 2x-weekly, Tel Aviv Ben Gurion flights now again operate via Larnaca in both directions. It has also temporarily suspended its Belgrade - Larnaca - Dubai route between October 30 and March 26 and only serves Stuttgart between December 19 and January 16 this winter and then again from March.

(JAT) has announced other new routes:
Belgrade - Amsterdam: daily 737-300 service starting on March 25 (replaces triangular flights via Brussels National);
Belgrade - Brussels National: 6x-weekly 737-300 service starting on March 25 (replaces triangular flights via Amsterdam);
Belgrade - London Gatwick: 2x-weekly 737-300 service starting on March 29 (in addition to 9x-weekly services to London Heathrow);
Belgrade - Malta - Tripoli International - Belgrade: 2x-weekly 737-300 service resuming on March 26;
Belgrade - Pula: 2x-weekly seasonal ATR 72-200 service between July 2 and September 5;
Belgrade - Split: 2x-weekly seasonal ATR 72-200 service between July 3 and September 27;

(JAT) is considering launching St Petersburg as a new destination from Belgrade. It will very likely launch flights from Belgrade via Banja Luka to Vienna next summer in cooperation with the regional government of Republika Srpska.

February 2012: Although attempts by the Serbian government to part-privatize Belgrade (BEG) based Jat Airways (JAT) failed last year, after talks with foreign investors such as Turkish Airlines (THY) and Baltic Aviation Systems fell though, government officials have confirmed current talks with a consortium of Serbian business people. While the potential new owners’ strategy for the airline is unknown, business continues as usual at the Serbian national carrier, which plans for expansion this coming summer season.

April 2012: Jat Airways (JAT) plans to inaugurate scheduled passenger operations at Morava Kraljevo Ladevci airport (KVO) later this year by launching a new 2x-weekly ATR 72-200 service from Belgrade Nikola Tesla airport (BEG) via Morava to Istanbul Atatürk/Yesilköy International airport (IST). The airport in Morava has previously been solely used by the Serbian air force, but the construction of a new passenger terminal has been completed last year.

May 2012: Croatia Airlines (CRH) has hosted a 2 day meeting of the region's carriers including Adria Airways (ADR), Jat Airways (JAT) and Montenegro Airlines (MNO) to explore how the loss making carriers could cooperate better. The carriers have agreed to regularly meet and to come up with options to better utilize their fleets and to optimize schedules and pricing to allow for better connections between the airlines. Prior to this meeting, the Croatian government had more optimistically called on the carriers to come up with a plan to form a multinational holding company that would take control and centrally manage all of the carriers.

June 2012: Jat Airways (JAT) has re-introduced seasonal flights from Belgrade (BEG) to Pula (PUY) in Croatia. The 500 km route will be served 2x-weekly (Tuesdays and Saturdays) with ATR 72s until September 15. (JAT) previously operated the route in the summers of 2008 and 2009. This summer, (JAT) will be serving 3 destinations on the Croatian coast; Dubrovnik, Pula and Split. In May, (JAT) carried a total of 112,273 passengers on scheduled services which is +16% more than in the same month in 2011. The average load factor also rose from 70% LF last May to 78% LF this May.

July 2012: On July 12, Jat Airways (JAT) added London Gatwick (LGW) as the 2nd UK destination it serves from Belgrade (BEG). The seasonal service will be offered on a 2x-weekly basis in addition to the 9 weekly frequencies the airline already offers to London Heathrow. All flights will be operated until mid-September using 737-300s. There is no direct competition on either of the London routes operated by Jat Airways (JAT); however, Wizz Air (WZZ) operates 4x-weekly services from the Serbian capital to London Luton.

September 2012: Serbian officials have held “serious talks” with Malaysia’s low-cost carrier AirAsia (ASW) regarding the financially troubled state-owned (JAT) Airways, several media outlets reported, quoting Serbian Minister of Transport Milutin Mrkonjic.

However, (ASW), which operates no European flights, denies it is looking to buy any airline and was just exploring market opportunity in Belgrade. (ASW) (CEO) Tony Fernandes had said previously (ASW) will do a come-back to Europe when the A350-1000 arrives in 2015.

Financially troubled (JAT) posted a loss of -$34.1 million in 2011 and every attempt to sell (JAT) since 2008 has collapsed due to lack of interest, even with extended deadlines. In March, (JAT) secured government guarantees of $12.56 million for a loan to cover short-term liabilities.

October 2012: According to an article in "Reuters" Serbia is looking at the idea of carving a new airline out of the loss-making (JAT) Airways business, with the government to help with the leasing of new airplanes from (EADS)’s Airbus (EDS), Finance Minister Mladjan Dinkic told local newspaper "Blic."

Government guarantees would back the new leases but a rejuvenated airline could then link up with another carrier, such as the fast expanding (UAE) state-run airline Etihad (EHD), Dinkic said in the paper. “We have plans to lease 12 new airplanes from Airbus (EDS) and that new company would receive $140 million-worth of sovereign guarantees for that,” Dinkic was quoted as saying.

But he also said that during a recent official visit to Dubai an idea emerged that Serbia could offer a stake in a reformed airline to Etihad (EHD), which could then take over the lease guarantees. “This (teaming up with (EHD)) is still an idea, but the making of the new (JAT) and the renewal of its fleet are definite government decisions,” he was quoted as saying.

It was suggested that a new airline could be set up without any of (JAT)'s debts that would start operations with 12 newer A320 family airplanes, while Jat Airways (JAT) would instead suspend operations.

In March, (JAT), which operates 14 ageing airplanes, secured government guarantees of 10 million euros/$12.56 million for a loan to cover short-term liabilities and a year earlier it borrowed 51.5 million euros from the government to help renew its fleet.

Serbia, struggling with a budget deficit projected at 6.2% of gross domestic product (GDP) and public debt seen rising to 60% of (GDP) this year, has long wanted to sell (JAT), which last year made a loss of 3.2 billion dinar/27 million euros.

2 years ago, a deal to sell (JAT) to Turkish Airways (THY) and Latvia’s Baltic Aviation Systems failed to materialise and an auction in 2008 collapsed due to lack of interest.

Last month, Serbian officials said Belgrade was negotiating to sell the airline to AirAsia (ASW) but the Malaysian company denied that it was interested.

January 2013: (JAT) Airways is planning a fleet renewal. According to several Serbian media reports, the Serbian government announced a memorandum of understanding (MOU) to lease 4 A319s from International Lease Finance Corporation (ILFC). It is also looking to lease four ATR 72-600s. It is expected to order 4 A320s in February for deliveries beginning in 2015.

(JAT) operates 10 737-300s. It also operates 4 ATR 72-201s.

(JAT) carried 1.3 million passengers in 2012 and has been looking for a strategic investor since 2008. The government is considering launching a new carrier to replace state-owned (JAT), which posted a loss of -$34.1 million in 2011.

April 2013: Serbia’s (JAT) Airways has a new marketing alliance with (UAE)’s Etihad Airways (EHD). The deal stops short of an equity stake Serbia had hoped for.

* (JAT), Etihad (EHD) to team up on flights;

* Etihad (EHD) to start flights from Belgrade on June 15.

(Reuters) stated Serbia’s loss-making (JAT) Airways has secured a marketing alliance with Etihad Airways (EHD) to share route-booking codes, stopping short of the equity tie-up mooted by Serbia’s government.

Mired in recession and struggling to find investors in the crisis-hit European Union (EU), Serbia had hoped (EHD) would buy a stake in (JAT), with media reports suggesting 49% was up for sale. (EHD) (CEO) James Hogan said that any investment could be a long way off. “We have to look at (JAT) to see if that opportunity exists. It is still a very early stage of that process.”

(JAT) will add its (JU) code to flights to 21 destinations within (EHD)’s network, while (EHD) will put its (EY) code on all 23 (JAT) flights to Europe, Hogan said.

(EHD) will start operating flights between Abu Dhabi and Belgrade on June 15, following Gulf competitor Qatar Airways (QTA), which started flights between Doha and Belgrade via Ankara late last year.

Serbia has been trying to offload (JAT) for years.

Last month, the government said it was ready to take on 170 million euros/$222.66 million of (JAT)’s debt, pay leases for 6 new airplanes from Airbus (EDS) and secure severance payments for redundant workers.

July 2013: The outlook for troubled Serbian national carrier, Jat Airways (JAT) has improved significantly following the recent signing of an agreement with Etihad Airways (EHD).

The partnership will allow the modernization of (JAT)’s fleet and changes to its network, while also closely working with Etihad (EHD) to improve its efficiencies, revenue management and cost reduction measures. Etihad (EHD) is also negotiating to acquire an equity stake in the small Serbian carrier with a deal expected to be announced on July 22, 2013.

If consummated, this will be (EHD)'s 6th equity arrangement, following those with Aer Lingus (ARL), airberlin (BER), Jet Airways (JPL) (pending), Air Seychelles (ASY), and Virgin Australia (VOZ).

Air Berlin (BER) and (JAT) Airways will enter code share operations from August 1, subject to government approvals. Under the agreement, (BER) will add its code on (JAT) flights between Belgrade and Berlin, Dusseldorf, Frankfurt, and Stuttgart. (JAT) will add its code on Air Berlin (BER) flights from Berlin Tegel to prime destinations in Northern Europe.

“The code share with (JAT) supports our strategy of strengthening the network through targeted expansion of code shares. It will further expand our presence in the growing market of SE Europe,” (BER) (CEO) Wolfgang Prock-Schauer said.

“This step is also particularly important (for JAT) while ensuring sound business operation and repossession of the position of regional leader for itself,” (JAT) (CEO) Velibor Vukasinovic said.

737-322 (24655, YU-AOU), ex-(LZ-BOT), Bulgaria Air (LZB) leased.

August 2013: Etihad Airways (EHD) has extended its equity alliance network by taking a 49% stake in Serbian flag-carrier (JAT) Airways.

(JAT) has been re-branded as "AirSerbia."

(SEE ATTACHED - - "JAT-2013-08 - AIRSERBIA FROM JAT A319."

(IATA) Code: JU. (ICAO) Code: JAT.

Serbia and Etihad (EHD) are each investing $40 million in (JAT) and each has committed to provide up to $60 million in further funding.

(JAT)'s net work will include Banja Luka, Beruit, Bucharest, Budapest, Cairo, Kiev, Ljubljana, Prague, Sofia, Varna, and Warsaw.

Dane Kondic has been named as (CEO) of the newly named (JAT) (formerly Jat Airways) and will lead (JAT) upon completion of regulatory approvals. The appointment follows the deal by Etihad Airways (EHD) with the local government to acquire a 49% in (JAT) and form a strategic partnership. This will involve (EHD) investing in (JAT) and providing a cash injection (along with the government) to allow fleet renewal and network expansion.

Kondic (who has dual Australian and Serbian citizenship and speaks Serbian) has worked in the travel industry for >20 years. His airline experience includes positions at Malaysia Airlines (MAS) and Qantas (QAN). His most recent employment (since August last year) was as Regional Director for SE Asia at global distribution system provider, Sabre Airline Solutions.

Air Serbia (JAT) has made initial preparations for its planned transition to an all-Airbus Industrie (EDS) fleet after Belgrade recently approved a down payment for (JAT)'s 1st 5 of 10 A319-100 jets. According to "EX-YU Aviation News," the renewed Serbian national carrier will launch new routes in the following order: Abu Dhabi International (October 27), Banja Luka (December 1), Prague (December 1), Bucharest Otopeni (December 9) and Ljubljana (December 9). Flights to Budapest, Beirut, Cairo International, Varna, Kiev Borispol, and Warsaw Chopin will be launched later on as more airplanes arrive. As it currently stands, the 1st A319 in the Air Serbia (JAT) fleet will make its debut this winter season on Sunday, October 27, on the morning service to Moscow Sheremetyevo. Selected flights to Copenhagen Kastrup will be served by the new airplanes from late October as well. Throughout the winter season, the 737-300s will be phased out. In November, services to Zurich, Thessaloniki, Larnaca, Paris (CDG) (both daily frequencies), Athens International, Dusseldorf, and Berlin Tegel will move to the A319.

The transition will continue in December, as Stuttgart Echterdingen, London Heathrow, Rome Fiumicino, and Tel Aviv Ben Gurion (which will operate on a daily basis without the current stop in Larnaca) are all upgraded to the A319. A few days before the New Year holidays, flights to and from Milan Malpensa, Stockholm Arlanda, Amsterdam, Istanbul Atatürk, Frankfurt International, and Brussels National will also transition to the Airbus (EDS) airplanes.

The 1st ex-Yugoslavian city to receive the A319 will be Podgorica in November, with 1 of 3 daily flights this winter operating with the new jets. Next in line will be Sarajevo, which will be served by an ATR 72 in the 1st half of winter but will be upgraded to an A319 in March 2014. Athens, Moscow, Paris, Vienna, and Zurich will all be served 2x-daily this winter season.

October 2013: Air Serbia (JAT) expanded its international network as it refreshed its image under the new partnership with Etihad Airways (EHD). Beginning on October 27th, (JAT) added services from its Belgrade (BEG) base to both Istanbul Sabiha Gökçen (SAW) and Abu Dhabi (AUH). 737-300s are deployed on the Turkish route, while A319s will serve the Middle-Eastern hub of (EHD). Services to Istanbul, which will see a frequency increase to daily from January 1st, 2014, face competition from Pegasus Airlines (PGS)’ 4x-weekly schedule. On the route to Abu Dhabi, (EHD) already provides daily frequencies. Dane Kondic (JAT)’s (CEO), welcomed the launch of Abu Dhabi services: “The new (JAT) is good news for travellers, increasing route network choices regionally and across the globe. It is good news for the business, with new investment and a strict commercial mandate that will secure (JAT)’s long-term future. And it is good news for the Serbian economy, helping to develop tourism and trade routes over the long term.” (JAT) also plans to launch another 7 new routes between January and April 2014, in addition to rescheduling existing operations to optimize connections via its hub in Belgrade.

Air Serbia (JAT) on November 19 said it will take 10 Airbus A320neos from the order that shareholder Etihad Airways (EHD) unveiled November 17 at the Dubai Air Show. The A320neos, which are valued at >$1 billion, will be delivered over the period 2018 - 2020.

November 2013: Air Serbia (JAT) has signed a deal worth >$1 billion for 10 next generation A320neo airplanes. The deal forms part of the major fleet order by (JAT)’s equity partner, Etihad Airways (EHD).

The A320neos will replace the 8 A319 and 2 A320 airplanes currently being leased in order to progressively retire the aging 737-300 fleet. The new airplanes are due to be delivered between 2018 and 2020.

Dane Kondic (CEO), commented: “The new fleet of A320neo airplanes is a key part of the strategy to reposition (JAT) as best in class with the most modern and comfortable single aisle airplanes. “We will set the benchmark in both product and service excellence as we extend our network to more destinations across Europe.”

“The last delivery of a new jet to (JAT), the former national carrier of Serbia, was in 1988. Through our partnership with Etihad Airways (EHD), a previous deposit payment made by (JAT) has been credited against the pre-delivery payment for these airplanes.”

(JAT) is due to add Banja luka, Bucharest, Ljubljana, and Prague to its existing network of 25 destinations.

December 2013: Air Serbia (JAT), continued to expand its European network, as a result of the recent partnership with Etihad Airways (EHD). On December 1st, (JAT) commenced 2 services, both operated with daily flights, from its hub at Belgrade (BEG) to Prague (PRG) and Banja Luka (BNX) in Bosnia and Herzegovina. Both routes are operated by (JAT)’s 62-seat ATR 72s and face no direct competition from other carriers.

Etihad Airways (EHD) investment in (JAT) has helped traffic growth at Belgrade Airport. Located in the Balkans at the crossroads of Central and S Europe, Serbia borders Hungary to the north, Romania and Bulgaria to the east, Macedonia to the south, as well as Croatia, Bosnia and Montenegro to the west. The landlocked country is still disputing the region of Kosovo, which declared its independence from Serbia in 2008, which has since been recognised by 106 United Nations member states.

Serbia’s only international airports, which dominate the country’s passenger traffic, are Belgrade and Nis Airports, which handled a combined 3.39 million passengers in 2012. Belgrade is the main gateway to the country, and handled 3.02 million passengers in the 1st 10 months of 2013. During the 2006 and 2012 period, the country’s aviation market has recorded a yearly increase of +7% in traffic, rapidly recovering after the economic crisis that hit Europe in 2008. In the 1st 11 months of 2013, for which data is already available, the 2 airports recorded a traffic increase of +4.2% compared to the corresponding period of the previous year, with 3.29 million passengers achieved until end-November. If the airport continues on this growth trajectory, it will achieve close to 3.53 million passengers in 2013.

Unsurprisingly, (JAT), which has been undergoing a restructuring campaign since Etihad Airways (EHD) acquired a 49% stake in October, is by far the dominant airline at Belgrade, operating on 27 routes and commanding nearly 47% of weekly flights and seats (on that basis it has been excluded from the following ATTACHMENT). (JAT) has grown rapidly in 2013, increasing its seat capacity by +40% and flights by +34.3% when compared to 2012. A series of routes have been recently launched, such as the daily services to Prague in the Czech Republic and Banja Luka in Bosnia and Herzegovina on December 1st. In addition, (JAT), which has a fleet of 21 airplanes and another 16 on order is looking forward to expanding its European network with +2 more daily services on December 10th, this time to Bucharest and Ljubljana.

SEE ATTACHED - - "JAT-2013-12 - TOP 12 AIRLINES AT BELGRADE."

As of December 2013, (JAT) along with the top 12 airlines, represent a seat share of 95.3% at Belgrade. Both Wizz Air (WZZ) and Austrian Airlines (AUL) have strengthened their presence with annual growth in weekly seats of +38.8% and +13% respectively, while Alitalia (ALI) has recorded the greatest decrease (-34%), when compared to December 2012. Pegasus Airlines (PGS), easyJet (EZY) and Etihad (EHD) are new entrants in the Serbian market in 2013, the latter operating a 3,830 km daily service to Abu Dhabi, utilizing its 106-seat A319s.

Seat capacity has been increased by +23.6% at Belgrade, with 10 out of 13 country markets recording growth, when comparing data from December with the same week last year. The stand out performances are those emanating from Russia, Turkey and Greece, with all 3 experiencing annual growth of >70%. On the other hand, the services to Austria have provided the largest capacity decrease (-23.8%), as a result of NIKI (NKI) withdrawing from this market, along with (JAT) reducing its weekly seat offer by -18.1%.
SEE ATTACHED - - "JAT-2013-12 - TOP COUNTRY MARKETS AT BELGRADE."

Germany has managed to maintain its top position in 2013; however, 3 new entrants have made it to this year’s ranking, namely the Czech Republic, Hungary, and Israel. (JAT) started serving both Israel and Czech Republic in 2013, with 4x-weekly services to Tel Aviv and a daily service to Prague, while Budapest in Hungary has been launched by Belavia (BLV) with 2x-weekly services.

Since the start of the year, Belgrade has welcomed 16 new city pairs from 9 different carriers. Air Serbia (JAT) (with 5 services) and Wizz Air (WZZ) (with 4) are the only airlines that have launched >1 service so far in 2013. Out of the 16 destinations, Abu Dhabi is the most frequently served destination, as a result of Etihad (EHD)’s daily service and (JAT)’s 4x-weekly services.

Nis Airport, the 2nd largest airport in Serbia with 27,426 passengers handled in 2012, currently has no commercial services, as Darwin Airline and Montenegro Airlines (MNO) decided to terminate their operations in January and October, respectively. Darwin flew to Geneva and Zurich, while Montenegro Airlines (MNO) operated to Podgorica in Montenegro from Nis.

Pristina Airport, which handled 1.5 million passengers last year, serves the capital of Kosovo, a region still disputed by Serbia. The airport had served as a hub for Belle Air Europe (BAE) until this week, when the subsidiary of Belle Air (BEL) ceased its operations too, as a result of its parent’s demise. The low-cost carrier (LCC) was the dominant player at Pristina, serving 11 destinations and commanding 25.4% of weekly flights. As of December 2013, other notable carriers serving the airport are Turkish Airlines (THY), operating 2x-daily flights to Istanbul, and Austrian (AUL) which links Vienna with 10x-weekly services. This year, Germania (GER) launched 2x-weekly services to London Gatwick on June 29th, while, Pegasus Airlines (PGS) inaugurated the route to Antalya on May 20th, operated with 2x-weekly flights.

(JAT) continued to expand its European network with 2 new routes on December 10th. Both services are operated daily from (JAT)’s main base at Belgrade (BEG) to Bucharest (OTP) and Ljubljana (LJU). The 2 airport-pairs are operated by (JAT)’s 62Y-seat ATR 72s and face direct competition on both services. The 460 km sector to Romania’s capital will face direct competition from TAROM (TRM)’s daily services, while the 483 km route to Slovenia’s capital will be flown in direct competition with Adria Airways (ADR)’s 5x-weekly flights.

April 2014: Newly constituted Air Serbia (JAT) (formerly called (JAT) Airways) has reported its network has grown rapidly in the 5 months since its relaunch. (JAT) said a renewal of regional air links in the Balkans was 1 of the most important early facets of its expansion plans.

The rebranded national carrier is undergoing a renaissance following Etihad Airways (EHD)’s decision to take a 49% stake in the former (JAT) Airways last fall. (EHD) also has a 5-year management contract with (JAT).

In a progress report 5 months after its official relaunch as Air Serbia (JAT) (CEO) Dane Kondic; said he was pleased with improvements so far: “In a very short time we have reconnected the Balkan region.” Over the past 5 months, the network has grown rapidly to include regional destinations including Ljubljana, Sarajevo, Banja Luka, Bucharest, Podgorica, Tivat, Skopje, Budapest, and Sofia, he said.

“Some of these cities have not had the benefit of an air link for more than 2 decades; this is an important part of the value we can deliver,” Kondic said.

“(JAT)’s network will grow from 29 destinations at the end of 2013 to 38 destinations by the end of this year.” From June, (JAT)’s network will include Varna, Beirut, and Warsaw.

(JAT) has leased 8 A319s and 2 A320s as an interim fleet renewal program to replace its ageing fleet of 737-300s.

In November, (JAT) announced it would be acquiring 10 A320neos between 2018 and 2020.

May 2014: Air Serbia (JAT) launched its 2nd route to Bulgaria with the addition of 3x-weekly flights (Mondays, Thursdays and Sundays) from Belgrade (BEG) to Varna (VAR) on May 1st. The 628 km sector to the largest city and seaside resort on the Bulgarian Black Sea coast will be operated utilizing (JAT)’s 62-seat ATR 72s. No other carrier serves this airport pair. In addition, (JAT)’s new route will see a frequency increase to 4x-weekly from June 16th. Commenting on the route launch, Dane Kondic (CEO) said: “The launch of a new service to Varna is perfectly timed to help connecting passengers enjoy a seamless journey to this popular holiday destination. The increased frequency of service to 4x-weekly from June 16th will be of benefit to holidaymakers throughout the entire region, offering connectivity to mainland Europe and global destinations through our Belgrade hub.”

May 2014: Air Serbia (JAT) reported its passenger numbers jumped +66% to almost 365,000 in the 1st quarter, and it is on track to breakeven this year. The 1st-quarter rise in passengers was accompanied by a +47% increase in revenue and a +46% increase in cargo tonnage to 175 tonnes. 1st-quarter capacity (ASK)s were up +93% as 2 new Airbus A319s and an A320 joined the fleet.

(JAT), the former JAT Airways, was relaunched last summer after Etihad Airways (EHD) took a 49% stake in (JAT), for which it was awarded a 5-year management contract. (JAT) said the increase in passenger numbers is being seen across its route system, boosted by connectivity with (EHD)’s network.

(JAT) (CEO) Dane Kondic said (JAT) “has built a solid foundation in the 6 months since it was launched and is on track to breakeven in 2014. In addition to strong growth in passenger revenue, we are also growing very important cargo revenue, which provides more stability to the revenue base of the business.”

In the 1st quarter, (JAT) launched new routes to Sofia and Budapest; more destinations are planned by year end. (JAT) is improving its passenger numbers through a series of recent code share agreements. It has entered into code share agreements with Etihad (EHD), its equity partner airberlin (BER), as well as with Tarom (TRM), Adria Airways (ADR) and B&H Airlines (BOS).

In the 1st quarter, (EHD) finalized new code share agreements on (JAT) flights from Belgrade to Amsterdam, Stockholm, Banja Luka, Milan, Düsseldorf, Stuttgart, Frankfurt, and Berlin.

Air Serbia ((IATA) Code: JU, based at Belgrade) (JAT) will begin flights to the USA next year, Serbian Prime Minister Aleksandar Vucic has revealed. Following a meeting with Etihad Airways (EHD) Chairman James Hogan, in Belgrade, Vucic told the press: “I have some good news. By the end of 2015, Air Serbia (JAT) will fly to the USA.” He added, “That is excellent news in a sea of problems we are facing”.

The launch of the flights is dependent on Serbia being upgraded to Category 1 safety status by the USA Federal Aviation Administration.

Initial A330 services are expected to launch to Chicago O'Hare in late 2015/early 2016 followed by New York (JFK). "During the (FAA)’s latest assessment of Serbia’s aviation authorities last month, the (FAA) found it will have to undertake an additional check before upgrading the country from its current category two status to category one," "EX-YU Aviation News" said.

In January, Airlines For America (A4A), Delta Air Lines (DAL) and the Air Line Pilots Association (ALPA), successfully petitioned the USA Department of Transportation to reject the (JAT)'s application to code share with Etihad (EHD) on flights to the USA. In their petition, the group successfully argued that (EHD)'s 49% stake in (JAT) would allow (EHD) to control its operations, thereby violating the standard USA requirement that foreign airlines serving the USA be owned and controlled by (JAT)’s country or that country’s citizens.

Air Lease Corporation (ALE) announced the delivery of 1 used Airbus A320-200 to Air Serbia (JAT), a new customer. The A320 was delivered to (JAT) in March.

June 2014: Air Serbia (JAT) began daily, Belgrade - Warsaw A319 service.

Air Serbia (JAT) has launched a new charter subsidiary, Aviolet (AVU) - - SEE ATTACHED - - "AVU-737-400-2014-05." The new carrier, based at Belgrade’s Nikola Tesla International Airport, began services May 24 and is operating 3 single-class, 144Y-seat 737-300s on flights to leisure destinations in Greece, Turkey, Egypt, Spain, and Italy.

July 2014: The USA Department of Transportation's Federal Aviation Administration (FAA) announced that the Republic of Serbia complies with International Civil Aviation Organization (ICAO) safety standards and has been granted a Category 1 rating.

The Republic of Serbia has held a Category 2 rating since 2006. A Category 2 rating means a country either lacks laws or regulations necessary to oversee air carriers in accordance with minimum international standards, or that its Civil Aviation Authority (equivalent to the (FAA) for aviation safety matters) is deficient in one or more areas, such as technical expertise, trained personnel, record-keeping or inspection procedures.

The Category 1 status is based on a March 2014 (FAA) assessment of the safety oversight provided by the Civil Aviation Directorate of the Republic of Serbia, and an (FAA) verification of necessary corrective actions during a follow on visit to the Republic of Serbia this month. A Category 1 rating means the country's Civil Aviation Authority complies with (ICAO) standards. With the International Aviation Safety Assessment (IASA) Category 1 rating, the Republic of Serbia's air carriers, which are able to secure the requisite (FAA) and (DOT) authority, can establish service to the United States and carry the code of USA carriers. The Republic of Serbia currently has no carriers providing service to the United States.

As part of the (FAA)'s (IASA) program, the (FAA) assesses the Civil Aviation Authorities of all countries with air carriers that have applied to fly to the USA, currently conduct operations to the USA or participate in code sharing arrangements with USA partner airlines and makes that information available to the public. The assessments determine whether or not foreign civil aviation authorities are meeting (ICAO) safety standards, not (FAA) regulations.

In order to maintain a Category 1 rating, a country must adhere to the safety standards of (ICAO), the United Nations (UN)'s Technical Agency for aviation that establishes international standards and recommended practices for airplane operations and maintenance. (IASA) information is posted at:
http://www.faa.gov/about/initiatives/iasa

(AJW) Aviation has signed a contract with Air Serbia (JAT) for a 5-year power-by-the-hour contract covering the supply of spare parts for Air Serbia (JAT)’s 7 Airbus A319-100s and 2 A320-200s.

2 A319-132s (1159, YU-APJ; 2335, YU-APD), ex-(A6-SAB) & (EI-LIR), (CIT) Aerospace (TCI) leased.

September 2014: Air Serbia (JAT) has reported 1st-half revenue of €102 million/$139 million, up +82% compared to €56 million for the same period in 2013.

Passenger numbers for the 1st half also rose sharply, climbing almost +70% to 944,000. Capacity increased +85% to 1.6 million (ASK)s.

(JAT) is undergoing a major revitalization after Abu Dhabi-based Etihad Airways (EHD) acquired a 49% stake and a management contract in the former Jat Airways (JAT), which it rebranded in October 2013.

Air Serbia Cargo reported carrying 907 tonnes of freight in the 1st half, a +65% increase year-over-year. 1st-half cargo revenue grew +32%, which the carrier described as “an important and burgeoning service.”

Since (EHD) acquired its stake, Air Serbia (JAT) has introduced 9 Airbus A320s, replacing older Boeing 737-300s, some of which have been transferred to new charter sister company, Aviolet (AVO).

Air Serbia (JAT) (CEO) Dane Kondic said the results “demonstrate how effectively the (JAT) team is working to deliver on the strategy of sustainable growth. We are on track to deliver a profitable, strong airline by the end of the current financial year,” he said. “We expect to maintain the momentum for the 2nd half of 2014, as we continue to reconnect the Balkan region and new markets through a combination of direct flights as well as expanding our code share partnerships.”

Air Serbia (JAT) launched 11 new routes in the 1st half of 2014 and benefited from hooking into the network of code share agreements that mesh together the equity partnerships headed by (EHD).

A code share with Romanian national airline, Tarom (TRM) was also expanded to include Chisinau, Moldova.

October 2014: Etihad Airways (EHD) has launched a new brand that envelops (EHD) and 5 of its partner airlines in a group that will synchronize schedules and frequent flyer benefits in a similar way to the 3 global alliances.

Etihad Airways Partners will initially include Etihad Airways (EHD), airberlin (BER), Air Serbia (JAT), Air Seychelles (ASY), India’s Jet Airways (JPL), and Darwin Airline, (EHD) announced October 8th.

(EHD) has equity stakes in each of these partner carriers. However, it said any airline can become an Etihad Airways Partner even if it is part of an existing alliance. Airberlin (BER) is a member of the Oneworld (ONW) Alliance.

The key emphasis for Etihad Airways Partners is a strong commercial partnership and shared values, (EHD) said. “We are broadening our business model to articulate and define a partner proposition for like-minded airlines, which will result in synergies and efficiencies for participating airlines on the one side, and enhanced network choice, service and frequent flyer benefits for the consumer on the other,” (EHD) President & (CEO) James Hogan said.

“The Etihad Airways Partners logo is a seal of excellence and global cooperation. It will be displayed on airplanes and on branded materials by a group of airlines working together to connect travelers around the world, and increasingly to harmonize standards in the air and on the ground. “The potential for network alignment to maximize flight connectivity for passengers, together with a shared passion for superior service, are central to the ethos of the Etihad Airways Partner concept,” he said.

Benefits will include standardized mileage and tier benefits across all partners, no blackout periods and priority services.

Etihad Airways Partners will also have access to economies of scale and operational synergies such as centers of excellence, shared sales teams in certain destinations, joint procurement of services and supplies, and shared pilot (FC) and cabin crew (CA) training at the Etihad Airways (EHD) facilities in Abu Dhabi.

SEE ATTACHED PHOTO - - "JAT-2014-10 - ETIHAD AIRWAYS PARTNERS" which
shows L - R: Maurizio Merlo (CEO) Darwin Airline; Wolfgang Prock-Schauer (CEO) airberlin (BER); James Hogan President & (CEO) Etihad Airways (EHD); Cramer Ball (CEO) Jet Airways (JPL); Dane Kondic (CEO) Air Serbia (JAT); and Manoj Papa (CEO) Air Seychelles (ASY).

(EHD)’s objective with its new "Partners" initiative is not to compete with the three global alliances but to link members’ frequent flier programs, synchronize networks and see cost efficiencies, (EHD) President & (CEO) James Hogan said.

November 2014: Air Serbia (JAT) said it is on track to reach profitability by the end of the year, as it continues to make substantial improvements in its financial results in the 3rd quarter.

(JAT) reported 3rd-quarter revenue jumped +54%, to €57 million/$75.2 million from €37 million for year-ago period.

Passenger numbers increased +74%, from 419,000 to 730,000, while cargo carried rose +64%, to 669 tonnes.

(JAT) has shown steady improvement since Etihad Airways (EHD) took a 49% stake in loss-making Yugoslav flag-carrier, (JAT) in August 2013 and rebranded it. A substantial part of the improvement is due to benefits of (EHD)’s equity partnership.

During the third quarter, Air Serbia (JAT) signed a new code share agreement with Switzerland-based Etihad Regional, providing passengers with greater access and connectivity to Swiss destinations.

A special pro-rata agreement between Jet Airways (JPL) of India and Air Serbia (JAT) has been further expanded to include Indian destinations including Ahmedabad and Goa. Outside, the Etihad group of carriers, (JAT) also agreed to expand its existing code share cooperation with Aeroflot (ARO) from this winter, enabling it to fly to the Black Sea resort of Sochi via Moscow.

August, the height of the European summer vacation season, was (JAT)’s busiest-ever month, with 239,000 passengers carried, +71% up on the same period last year.

Capacity rose to 967 million (ASK) by the end of (Q3) 2014, an increase of +62% from a year ago.

Air Serbia Cargo also achieved +64% growth over 2013, carrying 669 tonnes of freight during the third quarter of 2014.

Aviolet, Air Serbia’s charter brand launched in May this year, carried out >520 flights during the season and transported 90,000 passengers to mostly Mediterranean vacation destinations.

(CEO) Dane Kondic said: “Our focus on organic growth and code share partnerships is delivering strong results, notwithstanding strong competition and subdued economic growth in the region. We have committed to deliver a profit by the end of 2014 and we are on track to do that. Between January and September (JAT) carried a total of 1.8 million passengers and 2,000 tonnes of cargo, in each case reflecting an increase of +66% over the same period in 2013. These are impressive numbers and, importantly, revenue is following this trend closely.”

December 2014: Air Serbia (JAT) flight JU230, touched down at Zagreb International Airport on the morning of December 12, 2014, marking the start of its double daily service between Belgrade and Zagreb, the airline's 4th destination in Croatia.

A high-ranking delegation comprising government officials of the Republic of Serbia, the entire executive management team of Air Serbia (JAT), as well as various other leaders from the travel trade, together with representatives of the media, joined the 1st passengers on the inaugural flight to Zagreb. The flight was operated by (JAT)'s Airbus A319 "Novak Ejokovic;" airplane, named after Serbia's most famous tennis player and piloted by Air Serbia's Chief Operating Officer (COO) Davor Mišelijic, while the First Officer was Ms Biljana Savic (1 of Air Serbia (JAT)'s 3 female pilots (FC)).

Upon landing at Zagreb International Airport, the flight was greeted with a traditional water cannon salute and the visitors from Serbia were welcomed by Bruno Mazurkiewicz, Chief Executive Officer (CEO) of the Zagreb International Airport, leading representatives from Croatia's travel trade and local media, to celebrate the inaugural flight.

Dane Kondic, Air Serbia (JAT)'s (CEO) said: "Zagreb is an important addition to (JAT)'s regional network. After 23 years, the air bridge between the 2 capitals is once again reestablished. We are proud to be able to help bring closer the people and economies of the two countries. We are confident that the flights will enhance travel options and will further contribute to the development of bilateral trade and tourism.

"Zagreb is Air Serbia (JAT)'s 4th destination in Croatia, after Dubrovnik, Split, and Pula, which have thus far operated as seasonal routes. Just this past summer, we were pleased to have carried close to 50,000 guests to these attractive summer destinations. With the introduction of Zagreb, our intention is to further develop year round inbound tourism, by offering our guests all of these destinations in Croatia, especially through our equity partner, Etihad Airways (EHD)."

Bruno Mazurkiewicz (CEO) of Zagreb International Airport, said: "The arrival of a new airline is always a reason for satisfaction as it enriches the offer and service of the Zagreb Intarnational Airport and enables wider choice for our passengers. (JAT) is introducing year round double daily flights today, which will introduce an additional transport connection between Croatia and Serbia. We are pleased to welcome (JAT) to Zagreb International Airport and we look forward to a successful cooperation."

Both morning and evening services from and into (JAT)'s Belgrade hub at Nikola Tesla Airport, have been timed to maximize connections and drive traffic to and from destinations in the Middle East, Asia, Africa, and Australia, with the support of (JAT)'s equity partner, Etihad Airways (EHD), as well as other members of the (EHD) Partners grouping: airberlin (BER), Jet Airways (JPL) and Etihad Regional. Additionally, (JAT) has established code share partnerships with Adria Airways (ADR), Aeroflot (ARO), Tarom (TRM), Air France (AFA), (KLM), Alitalia (ALI), Bulgaria Air (LZB) and BH Airlines (BGH).

In line with the Air Serbia (JAT) brand, (JAT)'s modern airplane offer an unparalleled on-board service proposition, including appetizing menu options and a complimentary bar service.

January 2015: "Air Serbia (JAT) will be mainly focusing on our intra-Europe and regional growth for the time being, due to the fact that we don't have any wide body airplanes at this stage, but we are very keen in attracting more Chinese travelers and providing as much convenience as possible. Consequently, we have worked very closely with our equity partner Etihad Airways (EHD) in terms of streamlining flight connections between Belgrade and Chinese destinations via Abu Dhabi. Additionally, we are actively following up on expanding our collaboration with Air China (BEJ)," Dane Kondic (CEO) of Air Serbia (JAT) said in December 2014.

According to Kondic, (JAT) has signed a new Special Prorate Agreement (SPA) with Air China (BEJ), which went into effect since September 2014. Meanwhile, (JAT) the Serbian flag carrier is in the middle of serious discussions around establishing a serious code share relationship with (BEJ), and "it should only be a matter of time before all details can be finalized".

Kondic did also confirm that he will visit China in the 1st quarter of 2015 to meet representatives of the civil aviation and banking sectors. "Our collaboration with Chinese air transport entities has just been proceeding recently and we are always open to look for areas of further cooperation with our Chinese brothers," Kondic said.

March 2015: Air Serbia (JAT), the rebranded former (JAT) Airways, marked its 1st full year of operation with a net profit of +€2.7 million/+$3 million, a sharp reversal of its 2013 -€73 million loss.

Revenues jumped +87% to €262 million, reflecting what (JAT) described as strong growth in both passenger traffic and cargo volumes. Passenger numbers reached 2.3 million in 2014, up +68% on 2013. Capacity jumped +74% to 3.3 billion (ASK)s. Load factor rose +3 points to 67% from 64% in 2013, the last year of operation as (JAT).

Air Serbia Cargo also performed significantly better last year, carrying 2,700 tonnes of freight, a +67% increase on 2013. (JAT) said cargo services continued to be a major area of growth.

The increases follow on from Etihad Airways (EHD) taking a 49% shareholding in the company, plus a management contract, in August 2013. Since then, (JAT) has undergone a root-and-branch renewal of its fleet, training processes and operating philosophy. The government of Serbia retains a 51% majority stake.

“These results are a great achievement validating the effectiveness of our strategy,” (CEO) Dane Kondic said. “We are proud to have been able to deliver on our mandate, which was to achieve strong growth, to become the region’s leading carrier and (most importantly) to do so as a commercially viable and profitable enterprise, while becoming a key driver of economic growth in Serbia.”

His comments were echoed by the Air Serbia (JAT) President supervisory board, Siniša Mali: “Air Serbia (JAT) has enhanced the image of our country,” Mali said. “Our national airline is often the first contact for visitors and investors who come to Belgrade and Serbia. The level and quality of service, the look and ambiance of the airplanes, are the images of a modern Serbia we would like to send to the world.”

Etihad (EHD) President & (CEO) James Hogan added: “We are delighted with the progress Air Serbia (JAT) has made in delivering on its performance objectives in the very competitive European market.”

ATR 72-212A (727, YU-ALV), ex-(F-GRPK) delivery.

June 2015: "Air Serbia (JAT), & (LOT) Polish Airlines Announce Code Share" by (ATW) Alan Dron, June 12, 2015.

Air Serbia (JAT) and (LOT) Polish Airlines have signed a code share agreement to provide enhanced connections within Europe, and to the Middle East. The agreement was signed in Miami during (IATA)'s (AGM) by the (CEO)s of the 2 partnering airlines, Dane Kondic of (JAT) and Sebastian Mikosz of (LOT).

(JAT) will place its JU code on (LOT)'s flights to Vilnius, Tallinn and Riga, allowing travelers to book round trips between Belgrade and the Baltic States’ capitals via Warsaw.

(LOT)’s LO code will be placed on (JAT)’s flights to Podgorica and Tivat in Montenegro, as well as its daily service to Abu Dhabi.

The code share agreement became operational already, although both sets of flights awaited regulatory approval.

“Code share agreements are an important pillar of our strategy to continuously offer our guests greater choice and flexibility to key destinations, and our commercial partnership with (LOT) is a crucial step in further enhancing our presence in Northern Europe via Warsaw,” Kondic said.

“We are very happy that, together with Air Serbia (JAT), we are now able to offer our passengers new exciting destinations and extend even more travel opportunities,” Mikosz said. “Passengers traveling from Warsaw gain the possibility to reach the capital city of the (UAE), and 2 major cities in Montenegro.”

August 2015: Air Serbia ((IATA) Code: JU, based at Belgrade) (JAT) has applied to the USA Department of Transportation (DOT) for a Foreign Air Carrier Permit (FACP) and route exemption as it once more attempts to enter the North American market.

In its application to operate scheduled and charter, passenger and cargo flights between Serbia and the USA via any intermediate points, the Serbian national carrier said it would initially code share on fellow Etihad Airways (EHD) equity partner Air Berlin (BER) flights between Germany and the USA, before operating its own direct services between the 2 countries.

It is recalled that Airlines For America (A4A), Delta Air Lines (DAL), and the Air Line Pilots Association (ALPA) successfully lobbied the (DOT) to reject Air Serbia (JAT)'s 2013 application to code share on Etihad (EHD) flights from Abu Dhabi International to Washington Dulles, Chicago O'Hare, and New York (JFK). Back then, the (DOT) agreed that it was "highly unlikely that a rational consumer [routed from Belgrade] would seek out itineraries via Abu Dhabi unless fares were artificially low”.

The extent of (EHD)'s say in Air Serbia (JAT)'s operations was also called into question given (JAT)'s 49% stake in the airline.

This time round, however, (JAT) says it intends to code share on Air Berlin (BER)'s Dusseldorf - New York (JFK) route as well as flights from Berlin Tegel to New York (JFK), Chicago O'Hare and Miami International. It has also underlined the role the Serbian government and Serb citizens play in determining the airline's course of action in relation to (EHD)'s shareholding.

Following Serbia's Category 1 rating by the USA Federal Aviation Authority in 2014, (JAT) indicated plans to employ A330 machinery on direct flights to Chicago and New York at some point in early 2016.

February 2016: News Item A-1: Air Serbia (JAT) has set June 23 as the date for its inaugural Belgrade - New York (JFK) direct service. The 5x-weekly service will operate on-board A330-200 equipment, leased from fellow Etihad Airways (EHD) equity partner, Jet Airways (JPL).

“Our flight schedule has been carefully designed to offer travelers in the USA convenient onward connections from Belgrade to popular cities in the region," Dane Kondic (CEO) of (JAT), said. “This vital air bridge has significant historical importance, which is reflected in the fact that Air Serbia (JAT) has retained its flight numbers from 1992, the year of the last transatlantic flight between Serbia and the USA."

News Item A-2: Air Serbia (JAT) begins 5x-weekly, New York (JFK) - Belgrade Airbus A330 service on June 23.

March 2016: Air Serbia (JAT) has posted what it describes as “strong operational results” for 2015, increasing passenger and freight carriage.

The figures do not include the Serbian national carrier’s financial results, which are due in the next few weeks.

(JAT), the Belgrade-based airline said its passenger numbers were up +11% to 2.55 million compared to 2014, while cargo rose +39% to 3,756 tonnes.

(ASK)s grew +3% to 3.65 billion, while passenger load factor rose +4% to 71% LF. Relatively low by standards elsewhere in Europe, North America or the Middle East, the load factor figure indicates the depths to which (JAT) had fallen, when it was still known as (JAT) Airways, the former Yugoslav state airline.

(JAT) was rebranded as Air Serbia (JAT) after Etihad Airways (EHD) took a 49% stake in the Balkan carrier in 2013, and it joined (EHD), the Abu Dhabi-based airline’s network of "equity partner" airlines. Since then it has acquired new airplanes and in 2015 announced a small profit for the first time in many years.

“2015 was a year of strong operational growth at Air Serbia (JAT), which clearly demonstrated that our development strategy is working and we are continuing to strengthen our business model,” (CEO) Dane Kondic said. “We continued to meet our growth objectives, carrying 250,000 more passengers and 1,000 additional tonnes of cargo, and at the same time made a substantial contribution to the Serbian economy through increased trade and tourism.”

“We set a very solid foundation in 2015 for continued growth this year, the pinnacle of which will be the launch of nonstop services to New York.”

Over the year, (JAT) increased its connections for passengers by signing code share deals with Aegean Airlines (CRM), airBaltic (BAU), Air China (BEJ), Air Europa (ARE), and (LOT) Polish Airlines, taking the number of such agreements to 15.

It also introduced “Wi-Fly” in-flight Internet and mobile connectivity, debuted online check-in at its Belgrade hub, and opened a new premium lounge at Belgrade’s Nikola Tesla Airport.

May 2016: Belgrade-based Air Serbia (JAT) has taken delivery of its 1st wide body aircraft, an Airbus A330, which will be used to launch long-haul services between Belgrade and New York.

(JAT), the Serbian carrier, which is 49%-owned by Etihad Airways (EHD), will launch the 5x-weekly transatlantic route on June 23. It has been 24 years since Serbia had a direct USA link. “This is a massive milestone for (JAT) and for our nation. Our 1st wide body aircraft, the A330 is a sound investment choice that will reconnect Serbia and the USA in a few short weeks, opening new channels of tourism and trade for the economy,” Air Serbia (JAT) Chairman & Mayor of Belgrade Siniša Mali said.

Over the coming weeks, the A330 will have its interior refurbished in Abu Dhabi. It will be configured with 18C business-class seats and 236Y in economy. “The A330 is a modern and a fuel-efficient aircraft that opens up many growth opportunities for the airline,” Air Serbia (CEO) Dane Kondic said.

Upon arrival in Belgrade, the aircraft (which was captained by Air Serbia (JAT) (COO) Captain Davor Mišeljic was greeted with a traditional water cannon salute.

(JAT) was launched in October 2013. It has a network of 44 planned or active passenger and cargo destinations, served by its fleet of 14 narrow bodies and 6 turboprops.

June 2016: "Air Serbia Launches Historic Belgrade - New York Service"
by (ATW) Editor Karen Walker, June 22, 2016.

Air Serbia (JAT) begins Belgrade - New York (JFK) service on June 23, providing the first direct flights between Serbia and the USA in 24 years.

(JAT), the Serbian carrier is using a 2-class Airbus A330-200 leased from Jet Airways (JPL) of India, on the 5x-weekly service. (JAT) and (JPL) are part of Etihad Airways (EHD)’s group of equity partner airlines.

The service was made possible after a series of events: the (FAA) restored (JAT)’s category one status in 2014; a bilateral air service agreement was reached between Serbia and the USA; and Air Serbia (JAT) (formerly (Jat) Airways) was rebranded, re-fleeted and restructured after Abu Dhabi-based, Etihad (EHD) took a 49% stake in (JAT).

With its 90-year history through "Jat," Air Serbia (JAT) is the world’s 2nd oldest airline and had a long legacy of success. But the civil wars through the 1990s devastated travel demand and saw sanctions placed on the country, that restricted flying.

Dane Kondic, the Australian-Serb (CEO) of Air Serbia (JAT), stated what it means to reinstate direct USA service. “With the breakup of the country and the decaying of its aviation, Serbia slipped from Category one to Category two, so that had to be addressed before we could even contemplate service and it was all hand to glove,” he said. “Twenty-four long years with no direct service is essentially a generation. But Etihad (EHD) was the white horse; if not for them, there would have been no talks whatsoever of this happening; (EHD) was the enabler.

The first pillar of Air Serbia (JAT)’s USA network strategy was to code share with airberlin (BER), Germany’s 2nd-largest carrier and another Etihad (EHD) partner airline, on 7 USA routes: — (JFK), Boston, Chicago, Los Angeles, Miami, San Francisco, and Fort Meyers, Florida.

The second pillar was the June 23 launch of (JAT)’s own 5x-weekly service to (JFK). (JAT) also has relationships (not code shares) with American Airlines (AAL) and New York-based, JetBlue Airways (JBL) that provide preferential rates within the USA and other services. “Launching flights to New York was the logical start because of its large catchment area,” Kondit said. “It’s a new brand, not just a new service. Americans don’t know much about Serbia beyond the war, so we know it will take time, and the easiest way to go initially, is with the low-hanging fruit (ethnic Serbians in that catchment area). So that’s the first place you go hunting. But in the long term, we are looking to re-establish Serbia and Belgrade as a destination. It’s also a gateway to the Adriatic and many Americans are going there. We are also hearing from business people, and their first question is ‘how the hell do we get there?,’ so there will be a halo effect, as we make it easier for them to get there. The money will follow and, on the cargo side, there will also be opportunities for exporters.”

Kondit also noted the strong student ties between the two countries, providing the basis for a young, future market.

Air Serbia (JAT) is fully utilizing "Etihad (EHD) partner" assets, leasing the A330 from Jet (JPL) and training its pilots (FC) at Alitalia (ALI) simulator facilities and cabin crew (CA) at Etihad (EHD) academies. “It’s the best example of embodying the story of the partnership,” Kondic said. “This is not just marketing talk, it’s synergy in action.”

Operating a single aircraft on the route is a risk, Kondic acknowledges, but the Etihad (EHD) partnership also helps to mitigate that risk. There are resources that can be brought into play from Alitalia (ALI), airberlin (BER), and Etihad (EHD) if needed, as well as from European code share airlines like Polish (LOT).

The A330 has been fitted with 18 seats in business (C) class in a herringbone, 1-1-1 configuration, and 236 seats in economy in a 2-4-2 configuration. Borrowing an Etihad (EHD) concept, there will be an on board "au pair" to assist families with young children.

Air Serbia (JAT), which is still 50% owned by the Serbian government, reported a 2015 net profit of +€3.9 million/+$4.4 million, up +44% compared to a +€2.7 million net profit in 2014, and is being held up as a poster child for public-private partnerships. “We came back from the brink, and we are very confident in the future,” Kondic said.

August 2016: The national carriers of Balkan countries Serbia and Montenegro have signed a codeshare agreement that substantially broadens options for Montenegro Airlines (MNO) passengers.

Subject to governmental approvals, the agreement will allow Montenegro Airlines (MNO) to connect its network to the significantly larger route map of Air Serbia (JAT).

(JAT) will strengthen its air links to neighboring Montenegro by placing its JU code on Montenegro Airlines (MNO)’s flights from the Serbian capital Belgrade to Podgorica and Tivat. In addition, Air Serbia (JAT) will code share on services between Podgorica and Rome.

Montenegro Airlines (MNO), meanwhile, will tap into (JAT)’s network by adding its YM code on Air Serbia (JAT)’s flights between Belgrade and 32 destinations, including Tivat and Podgorica.

The deal will allow Montenegro-originating passengers access to a wider range of European destinations and, through (JAT)’s service to Abu Dhabi, to Etihad Airways (EHD)’s global network. Abu Dhabi-based Etihad (EHD) owns 49% of Air Serbia (JAT), which is one of the Arab carrier’s partner airlines.

“With this agreement, travelers in Montenegro can take advantage of seamless connections over Belgrade to key cities in Europe, the Middle East, and North America that are now within much closer reach,” Air Serbia (JAT) (CEO) Dane Kondic; said. (JAT) recently began a Belgrade - New York (JFK) service.

“In turn, Air Serbia (JAT) will deepen its network footprint in Montenegro, a country with many historical, cultural and religious links to Serbia and a popular summer hotspot, making it a win-win deal for both airlines,” Kondic said.

Montenegro Airlines (MNG) Chairman, Daliborka Pejovic said, “We have opened the door of our national airline to enter Etihad Airways Partners, with airlines such as Alitalia (ALI) and airberlin (BER), which was an objective of the meeting held with representatives of Etihad Airways (EHD) in Abu Dhabi in February this year.”

“By opening 32 new destinations for passengers from and to Montenegro, (MNO), the national carrier is significantly contributing to the transportation accessibility of Montenegro, particularly by air, and establishing links between our country and new markets.

“The agreement with Air Serbia (JAT) is an exceptional opportunity for helping find a future strategic partner for the Montenegrin carrier, which is the objective of the Privatization Council of the government of Montenegro."

August 2017: News Item A-1: Air Serbia (JAT) saw its net profit for 2016 drop sharply to +€0.9 million/+$1.1 million compared to +€3.9 million in 2015. (JAT) achieved the result on revenue up +5% at €320 million, compared to €305 million the previous year.

(JAT) said it made considerable investments in its product over the year. (JAT) pointed to the delivery of its 1st wide body aircraft (a leased Airbus A330) and the reintroduction of USA services, which were halted >20 years ago following (JAT)’s financial misfortunes in its previous guise of (JAT) Airways, the former Yugoslav national carrier.

Passenger numbers grew +3% to 2.6 million in 2016, while cargo carried rose +31% to 4,900 tonnes.

The Serbian government sold a 49% stake in (JAT), the national airline to Etihad Airways (EHD) in 2013 and (EHD) is now 1 of several (EHD) partner carriers. Code share partnerships with (EHD) and airberlin (BER) contributed €26.7 million to its revenues last year. New code share agreements were signed with Air Seychelles (ASY) (another (EHD) partner airline) and Montenegro Airlines, with code share income rising +24% to €26.7 million. “We are pleased to have recorded a net profit of close to +€1 million in 2016 despite the considerable investment in our operations, Air Serbia (JAT) (CEO) Dane Kondić said.

“This year our focus is on strengthening our commercial results, improving the efficiency of our operations and maintaining our focus on cost control and balance sheet discipline,” Kondit; said. “On the fleet side, we have recently refitted our narrow body Airbus A319 and A320 fleet with 1,500 new Recaro seats, increasing capacity across our short-haul network and making (JAT) more competitive as a result.”

He said the competitive landscape is “changing rapidly, not only as a result of the greater number of airlines flying to our hub in Belgrade, but also from the growth of alternative secondary airports in the region. In order to ensure that we continue to deliver positive results into the future, we must maintain the ability to respond and to continue to make the necessary adjustments to our business. This includes leveraging our investment in technology to drive revenue and offer the customer more choice whilst ensuring we work more efficiently and effectively to reduce our cost base,” Kondit; said.

Chairman Siniša Mali added, “Posting an annual net profit for 2016 is a great achievement for (JAT), considering the substantial investment made in its fleet and network. Launching a long-haul route on a wide body aircraft (as Air Serbia (JAT) did by connecting Belgrade to New York last year) is always a costly undertaking. The service has now been operational for 1 year and is already delivering strong benefits to Serbia in terms of increasing inbound tourism numbers from the USA and strengthening our business ties.”

News Item A-2: From Airways magazine coverage" Air Serbia, "Resetting Aviation in the Balkans" by Andreas Spaeth.

Main Base: Belgrade Nikola Tesla International Airport.

Destinations: Amsterdam, Athens, Banja Luka, Beirut; Belgrade; Berlin; Brussels, Bucharest, Budapest, Copenhagen, Dubrovnik, Dusseldorf, Frankfurt, Hamburg, Istanbul (IST)/(SAW), Kiev, Larnaca, Ljubljana, London (LHR), Malta, Milan, Moscow, New York (JFK), Ohrid, Paris (CDG), Podgorica, Prague, Pula, Rome, Saint Petersburg, Sarajevo, Skopje, Sochi, Sofia, Split, Stockholm, Stuttgart, Tel Aviv, Thessaloniki, Tirana, Tivat, Varna, Vienna, Warsaw, Zagreb, and Zurich.

Ownership: Government of Serbia (51%); Etihad Airways (EHD) Group (49%).

Frequent Flyer Program: "Etihad Guest."

Fleet:
(definitions)

Click below for photos:
JAT-727-2H9
JAT-727-200
JAT-727-2H9-I
JAT-737
JAT-737-300
JAT-737-3H9
JAT-A319 - 2014-05
JAT-A319-100-2014-05
JAT-A319-132 2296 YU-APB - 2016-06.jpg
JAT-A330-200 - 2016-05.jpg
JAT-DC-9-32

October 2017:

0 707-320C (JT3D-3B), GROUNDED, PARTED OUT.

0 707-351C (JT3D-3B) (540-19411, /66 5X-JET), EX-(NWA), LST (DAR) 1994-01.

0 727-2H9 (JT8D-9A), 1 TO (ADN), (1045-20931, /74) (1681-22393, YU-AKI RTND FROM (BEB) 2000-01) (1790-22666, /81 YU-AKL, LST (NIA) 2000-11); YU-AKK WET-LST (SSL) 2000-12; 22393 WET-LST (SSL) 2001-01 RTND 2001-05. 22393; 22665; WET-LST AIR ALIZES AFRIQUE TIL 2003-04. 5 IN SVC. 22665 ST FLF 2002-10. 22393; & 22665; WET-LST 1 YR (WSF) 2003-05 THEN RETIRED. ALL 5 FOR SALE. 22393; & 22665; LST AIR HORIZON TOGO 2004-12. 151Y.

0 737-2K3 (JT8D-15 HK) (1401-23912, /87 YU-ANP), (AVG) LSD 2001-08; (AGAIN) FOR SUMMER 2007-07. RTND. 125Y.

3 737-3H9 (CFM56-3B1) (23415 RETURNED FROM BOSPHOROS AWYS), (1134-23329, /85 YU-AND "CITY OF KRUSEVAC; 1175-23416, YU-ANI; 1526-24141, /88 YU-ANW; LST (AFR) 1999-04. 24140 WET-LST (TSF) 2001-06. 1 LST (CAM), 1 LST (MDA). 24140 RTND 2002-01. 24141 WET-LST (MCC) 2002-12. 7 IN SVC. 23415 WET-LST (NIG) 2003-11. RF (NIG) 2004-11. 24140 WET-LST (NIG) 2004-11. 24141; WET-LST (CAM) 2005-05. 23416 RF (MCC) 2005-08. 24140; RF (NIG) 2005-10. 24140; WET-LST (BEB) 2006-01. 23330; WET-LST (NIG) 2006-02. 23416; WET-LST (VUN) 2009-07 - 2009-10. 124Y.

0 737-3Q4 (CFM56-3B2) (1490-24208, /87 YU-AON), (TIA) LSD 2002-07. 124Y.

0 737-322 (CFM56-3C1) (1889-24665, /90 YU-AOU), EX-(LZ-BOT), BULGARIA AIR (LZB) LSD 2013-07. 12C, 110Y.

0 737-4Q8 (CFM56-3C1) (1665-24070, /89 YU-AOO), EX-(ADH), (ILF) LSD 2002-12. RTND. 156Y.

0 737-4B7 (CFM56-3) (1793-24550, /04 YU-AOR; 1795-24551, /04 YU-AOS), (TCI) LSD. 24550; RTND, LST TO (DHI) 2007-07.

0 737-700 (CFM56-7B), LSD 2010-03.

8 ORDERS 737-800 (CFM56-7B), LSD:

0 767-2Q8ER (272-24448, N330LF, 2006-04), (ILF) LSD. RTND.

0 DC-9-32 (JT8D-9A), (591-47470, /70 YU-AHN, 626-47532, /71 YU-AHU), 3 OTHERS LSD OUT, 1 TO (ALF). 685-47562, /72 YU-AJH; TO (BEB) 1998-12, 687-47563, YU-AJI; LST (YNQ) 2001-05. 47567; 47571; RF (MCC) 2001-09. 47562 LST (YNQ) 2002-12. 8 IN SVC. 1 LST (MCC). 1 WET-LST (LBC) 2003-11. 47568, YU-AJK; 47571; WET-LST (CAM) 2004-02. 6 RETIRED. 47563 LST GOVT OF TRINIDAD & TOBAGO. ALL 3 FOR SALE. 47568; WET-LST EASTERN SKYJETS 2005-10. 47562 W/O DESTROYED FLYING FOR (YNQ) 2005-12. 47568; RF EASTERN SKYJETS (ESJ), 2006-04. RTND. 104Y.

0 DC-10-30 (CF6-50C1) (278-46988, /79 YU-AMB "CITY OF BELGRADE"), WET-LST (GHN) TIL 2003-09. RETIRED. 308Y.

8 +2 ORDERS A319-132 (1159, YU-APJ "DEJAN STANKOVIC;" 2296, YU-APB; 2335, YU-APD), (ILF) LSD SEE ATTACHED - - "JAT-2013-08 - AIRSERBIA FROM JAT A319." 8C, 70Y.

4 ORDERS (2015-02) A320:

2 A320-200, (ALE) LSD 2014-03. 8C, 147Y.

10 ORDERS (2018-02) A320neo:

0 ORDERS A321 (CFM56-5A4), DELAYED 2 YRS > 2005-02. 8 CANCELED.

1 A330-200 (/07 YU-ARA), EX-JET AIRWAYS (JPL) & ETIHAD AIRWAYS (EHD), (JPL) LSD 2016-05, 18C (FLATBED SEATS), 236Y.

0 ATR 42, RTND.

3 ATR 72-202 (PW124B) (180, /90 YU-ALN; 186, /90 YU-ALO; 189, /90 YU-ALP; 357, /03 YU-ALR); ATR LSG LSD. 189 LST AIR SRPSKA 1999-09. INTERAIR LINK OPS. 66Y.

3 +1 ORDER ATR 72-500 (536, YU-ALU; 555, YU-ALT; 727, YU-ALV, 2015-05), NORDIC AVIATION CAPITAL LSD. 70Y.

0 CRJ-200, (ADR) LSD 2006-06, RTND.

2 ORDERS EMBRAER E170:

Management:
(definitions)

Click below for photos:
JAT-1-Dane Kondic - 2016-06.jpg
JAT-1-DANE KONDIC-2014-12

SINISA MALI, CHAIRMAN.

DANE KONDIC, CHIEF EXECUTIVE OFFICER (CEO), EX-(MAS)/(QAN) (2013-09).
Dane (who has dual Australian and Serbian citizenship and speaks Serbian) has worked in the travel industry for >20 years. His airline experience includes positions at Malaysia Airlines (MAS) and Qantas (QAN). His most recent employment (since August last year) was as Regional Director for SE Asia at global distribution system provider, Sabre Airline Solutions.

Ms Benet J Wilson (bw), Airways Magazine Interview 2016-07: "Dane Kondit (dk), Air Serbia (CEO)."

Kondit began his career with Qantas Airways (QAN), then became Regional Director, SE Asia, for Sabre Airline Solutions, where he was responsible for strategic management. He served as VP Commercial at Abacus International, the Asian-based (GDS) now owned by Sabre Inc, and was VP North Asia for (GTA) by Travelport, Managing Director Kuoni Travel China Ltd, and General Manager of worldwide sales for Malaysia Airlines (MAS).

After Etihad Airways (EHD) bought a 49% stake in Air Serbia (JAT)’s national airline in 2013, Kondit was appointed by the Republic of Serbia as (CEO) of Air Serbia (JAT), and since then, (JAT) has thrived. In 2014, it reported a net profit of +€2.7 million/+$3 million, which was a complete turnaround from its 2013 -€73 million net loss. (JAT) resumed service between New York and Belgrade on June 23.

Kondit spoke to Airways Magazine about the benefits of being an Etihad Airways (EHD) strategic partner, and how the future of the airline looks like in terms of fleet and markets.

bw: Air Serbia (JAT) and its predecessor carrier, JAT Airways, haven’t flown to the USA in 25 years. 1st, can you tell me why the service stopped? And secondly, can you tell me why you think now was the right time to restart service to the USA.?
DK: Much has changed from where we were 25 years ago to where we are today. The country doesn’t exist anymore. It was the Federation of Yugoslavia back then. During those days, Yugoslavia had regimes that implemented changes regularly, which had a devastating effect on the country and its economy.

In the past 3 or 4 years, Serbia has a new government and a new Prime Minister who has a very economic growth-oriented vision for the country. It is investing in the right sectors of the economy, 1 of which is aviation. It was his [Prime Minister’s Aleksandar Vucic’s] vision.

He began a relationship with the government of Abu Dhabi that led to Etihad (EHD)’s investment into our new airline back in 2013. Vucic had a commercial mandate, 1 that was growth orientated, economic oriented and job oriented. 1 of Air Serbia (JAT)’s great ambitions was to realize the goal of flying across the Atlantic. Our launch [on June 23] was able to happen because of record low-fuel prices, which allowed us to move forward with our growth plan.

But more importantly, we could do this because our airline is now part of the Etihad (EHD) family under the "Partner" program. That probably saved us more than the cost of fuel, which is what enabled us to bring all the elements together to fly across the Atlantic. Alone, it would have been impossible for a small airline like Air Serbia (JAT) to do this. But with help from Etihad Partners, Jet Airways (JPL), and Air Berlin (BER), we can use [the former’s] [Airbus A330] aircraft and the latter’s Crew Training facility, that’s infrastructure we didn’t have to pay to create by ourselves.

bw: You became an Etihad (EHD) strategic partner in 2013. How did Air Serbia (JAT) get connected with (EHD) and why did you feel it was a good idea to enter this partnership?
dk: Next year, we celebrate our 90th anniversary. There are few airlines that are still active today that can actually claim 90 years of continuous services. Look at the great glorious airlines of the past, like (TWA) and Pan Am, for example, that are no longer with us. The old government tried to privatize the airline twice and could never gain traction or interest. Prime Minister Vucic came in contact with the Grand Prince of Abu Dhabi, and a great friendship flourished between them. That led to a serious investment by Etihad (EHD) into Air Serbia (JAT). And what we’ve been able to accomplish in 3 short years in the airline space has been nothing short of miraculous.

bw: What benefits has Air Serbia (JAT) seen under the Etihad partnership?
dk: I think we all know how expensive aviation is as an industry. We have a lot to cultivate and margins are pretty thin. There’s only so much you can do. But when you’re part of a partnership with seven other airlines, then you can see how our combined resources can really make a difference. So as a small carrier, we are able to avail ourselves of the resources of our larger Etihad (EHD) airline partners. Because we are part of that bigger family, we were able to realize our ambition of flying across the Atlantic. We simply don’t have enough money to invest in things like cabin crew (CA) training [in house]. So it helps us get the best for our cabin crews (CA) and it helps our partners bring in more money for their services.

Our group (CEO) James Hogan always talks about what the partnership is about (energy, innovation and scale). They’re all things that, irrespective of what part of airline you are, you can avail yourself on. But we still make our own decisions, and the partnership has enabled us to do the things that we need to do to be healthy and profitable.

bw: What will Air Serbia (JAT)’s fleet look like in the future?
dk: We started (JAT) with a vision of exiting the broken and old fleet that we inherited. We are moving to a newer generation of Airbus A320neos. These will start entering our fleet in the 2nd half of 2018. It will give us more flexibility for our network. Based on where we’re located, there are good opportunities for us, and having a new aircraft is a big part of that.

We serve 43 destination in Europe and the Mediterranean, and that’s a good start for our network. We carried 2.6 million people last year, compared to 1.3 million before 2013. With many of the destinations that we fly today, we want to add frequencies. We don’t see a lot more opportunity for new destinations, because our network in Europe is set.

bw: What do you see as the potential travel population for people flying from the USA to Serbia, especially because the USA does have cities around the country that have pockets of people of Serbian descent?
dk: There’s a market there. But the competition across the Atlantic also exists. We’re a boutique airline that doesn’t have 50 aircraft flying across the Atlantic. That’s not our goal. We’re here to provide an alternative. We know we’re punching above our weight against bigger carriers. We’re not afraid of competition because we genuinely believe that we have something good to offer.

We are known for our hospitality and service that is far and away better than anyone else. I know it’s a boast, but it’s fact. When you get the chance to experience it, you’ll know exactly what I’m talking about. In flying to the USA, we will carve out our own niche with alternative routing outside of hubs like Frankfurt, London and Zurich. We know the USA market is competitive, but it still has space. A lot of people in the USA who have emigrated from or have roots in Serbia want to travel.

Part of the strategy is to develop Serbia as a tourist destination, and we want to bring more Americans here. I call our part of the world the "new Europe," and there’s a lot of interest for travelers to visit. Because of its location, Belgrade is a natural hub and gateway to the Adriatic region. There’s a lot of interesting things for people to see and visit.

bw: What do you hope Air Serbia will look like 5 years from now?
dk: I hope that we can have 8 continuous years of profit. We managed to do that in the 1st 2 years of our relaunch, which is an amazing achievement in this business. The most important thing is not to have an airline that isn’t making money. We need to keep our commercial mandate, because that’s important for our majority shareholder. But we’re also probably the best example, in terms of the economic agenda, for the economy in Serbia.

The country has a bunch of public companies, and we we're the 1st 1 that went into this public-private partnership. And the fact that it’s been successful has given the government the space to look for similar deals as they divest from those companies. As long as I can ensure that we keep to our commercial mandate, keep growing, keep expanding, and keep employing Serbs, no 1 can really ask for any more than that.

VELIBOR VUKASINOVIC, CHIEF EXECUTIVE OFFICER (CEO).

CAPTAIN DAVOR MISELJIC, CHIEF OPERATING OFFICER (COO), EX-(ACN)/(SLK).

NEBOJSA STARCEVIC, EXECUTIVE GENERAL DIRECTOR (ceo@jat.com).
Born on June 27th, 1964 in Belgrade. Graduated in law. Has been serving as Executive General Director since February 18th, 2005, when he assumed this title by decree from the Serbian government.

SRDAN DZUVER, DEPUTY GENERAL DIRECTOR (2005-06) (dzuvers@jat.com).
Born on January 18th, 1963 in Zagreb. Graduated from the Math Faculty in Belgrade. Has been with Jat (JAT) since June, 1986 and has been serving in this current position since June 15th, 2005.

DARKO BERBEROVIC, ASSISTANT GENERAL DIRECTOR (berberovicd@jat.com).
Born March 11th, 1957 in Belgrade. Graduated in the field of tourism. Has been at Jat (JAT) since March 15th, 2005, and has been in current position since March 18th of the same year.

DIMITRI CHRISTOPHER COURTELIS, CHIEF FINANCIAL OFFICER (CFO).

NOVICA VULIC, EXECUTIVE DIRECTOR MARKETING & SALES.

CAPTAIN NENAD PETROVIC, EXECUTIVE DIRECTOR (executive@jat.com).
Born February 2nd, 1966 in Belgrade. Captain for 737 since 2003. Graduated from Technical Faculty. Has been with Jat (JAT) since July 6th, 1989 and has been serving in current position since August 3rd, 2005.

ZORAN IVANCEVIC, EXECUTIVE DIRECTOR TRAFFIC.

VELIBOR SLAVUJ, SENIOR EXECUTIVE FLIGHT OPERATIONS.

SLOBODAN BABIC, SENIOR VP FLIGHT OPERATIONS & ENGINEERING.

BRANISLAV NOVCIC, SENIOR VP MARKETING.

ZIVOMIR NOVAKOVIC, SENIOR VP FINANCE & ASSISTANT TO GENERAL DIRECTOR
(novakovicz@jat.com).
Born August 30th, 1957 in Smederevo Palanka. Graduated in economy. Has been with Jat (JAT) since February 1st, 2003 and has been serving in this current position since March 24th, 2005.

ZIVKO MARKICEVIC, MAINTENANCE DIRECTOR.

ZORAN COLIC, DIRECTOR FLIGHT OPERATIONS (BEGDZJU)
(director-ops@jat-ops.com).

SLAVOLJUB DJORDJEVIC, MAINTENANCE & OVERHAUL DIRECTOR.

MRS DUBRAVKA JEREMIC, DIRECTOR GROUND OPERATIONS.

MILUTIN POPOVIC, DIRECTOR COMMERCIAL OPERATIONS (commercial@jat.com).

SLOBODAN BAKOCEVIC, DIRECTOR FINANCIAL OPERATIONS (bakocevics@jat.com).

GORAN TOMIC, DIRECTOR LEGAL (tomicg@jat.com).

MIRJANA SISOVIC, DIRECTOR HUMAN RESOURCES (HR) (kadrovski_poslovi@jat.com).

LJILJANA STEPANOVIC, DIRECTOR DEVELOPMENT & PLANNING (stepanoviclj@jat.com).

MILOS RAJKOVIC, DIRECTOR MEDIA CENTRE (media_centar@jat.com).

DRAGAN BUKATAREVIC, DIRECTOR INFORMATION SYSTEMS (IS@jat.com).

GORDANA BAJIC, DIRECTOR FOREIGN ECONOMIC TRADE (jat.trade@jat.com).

LJUBISA JOVANOVIC, DIRECTOR TRAINING (training@jat.com).

STEVAN ANDERJSKI, FLIGHT SAFETY CHIEF PILOT.

SAVA MIRIC, QUALITY ASSURANCE (QA) MANAGER.

ZORAN MATIJASEVIC, AIRCRAFT OVERHAUL DIRECTOR.

DEJAN CUKOVIC, ENGINE WORKSHOP DIRECTOR.

STANKO JEREMIC, PRODUCTION PLANNING & CONTROL DIRECTOR.

NIKOLA VOLAREVIC, LINE MAINTENANCE DIRECTOR.

VOJISLAV KOSANOVIC, LINE MAINTENANCE MANAGER.

JOVO REGODA, MANAGER MAINTENANCE.

ALESANDER MANIC, DEVELOPMENT ENGINEERING MANAGER.

SLOBODAN SOVILJ, MAINTENANCE SYSTEMS ENGINEERING MANAGER.

GORDANA DJUKIC, ELECTRICAL/ELECTRONICS ENGINEERING MANAGER.

VLADIMIR SIMIC, ENGINE ENGINEERING MANAGER.

NIKOLA LUKIC, MANAGER QUALITY CONTROL (QC) (2001-03).

BOSKO SEKULIC, CHIEF INSPECTOR.

VESELIN JANOSEVIC, TOOLS & EQUIPMENT MANAGER.

SLAVOLJUB DJORDJEVIC, MANAGER MAINTENANCE (2001-03).

ZORAN HUDAK, ROUTE MANAGER.

DRAGAN GORUNOVIC, (NDT) MANAGER.

 
Top of Page

 

Since you are not logged in, we can show you only live Airtran Airways data. This page will demonstrate the depth of data we have for every airline. Close and View Airtran Airways ›