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Airlines

Name: KMV
7JetSet7 Code: KMV
Status: Currently Not Operational
Region: CIS
City: STAVROPOL
Country: RUSSIA
Employees 2976
Web: kmvavia.ru
Email: ak_mi@itc.intra.tch.ru; man@avia.cmw.ru
Telephone: +7 (86531) 58 535
Fax: +7 (86531) 57 228
Sita: MRVAPKV
Background
(definitions)

Click below for data links:
KMV-LOGO
KMV-SEP04

ESTABLISHED IN 1961. A K A KAVMINVODYAVIA & KAVKAZSKIE MINERALNYE VODY. DOMESTIC AND INTERNATIONAL, CHARTER, PASSENGER AND CARGO, JET AIRPLANE SERVICES.

ADDRESS:
AIRPORT MINERALNYE VODY 5
MINERALNYE VODY
STAVROPOL 357205, RUSSIA

Russia (Russian Federation) was established in 1991, it covers an area of 17,075,400 sq km, its population is 148.4 million, its capital city is Moscow, and its official language is Russian.

MAY 1997: 3,500 EMPLOYEES.

TO MAJOR CITIES IN RUSSIA & LOCAL REGIONAL CITIES, INCLUDING BERLIN, DUBAI, & SHARJAH.

HQ AT MINERALNYE VODY (STAVROPOL REGION).

TELEPHONE: (86531) 58 535. FAX: (86531) 57 228.

APRIL 1998: 3,500 EMPLOYEES.

APRIL 1999: 3,117 EMPLOYEES. (man@avia.cmw.ru).

SITA: MRVAPKV.

APRIL 2000: 3,117 EMPLOYEES (INCLUDING 305 FLIGHT CREW (FC), 160 CABIN ATTENDANTS (CA), & 385 MAINTENANCE TECHNICIANS (MT)).

(http://www.avia.cmw.ru).

SERVICE TO 20 DESTINATIONS WITHIN THE NORTHERN CAUCASUS REGION OF RUSSIA AND ABROAD.

APRIL 2001: 2,976 EMPLOYEES (INCLUDING 309 FC, 153 CA, & 987 MT).

(http://www.resort.ru/kmvavia). (ak_mi@itc.intra.tch).

AUGUST 2001: TU-204-100 (RA-64016) WITH LARGE RED "KMV" ON FORWARD FUSELAGE OBSERVED AT MALAGA.

3,360 EMPLOYEES.

April 2002: 2,976 employees (including 309 FC; 153 CA; & 987 MT).

(Telephone: +7 86531 8535). (FAX: +7 87922 59824). SITA: MRVAPKV.

Main Base: Mineralnye Vody (MRV).

Domestic, scheduled services: Ekaterinburg, Kazan, Khabarovsk, Krasnoyarsk, Moscow, Nizhnevartovsk, Norilsk, Novosibirsk, Novy Urengoy, St Petersburg, Surgut, & Tyumen.

International, scheduled services: Munich, Tashkent, & Yerevan.

Charter flights: Sharjah, Athens, Thessaloniki, Tel Aviv, Istanbul, Larnaka, Aleppo (all year round) and to Malta, Varna, & Antalya (summer).

July 2004: 2003 = 1.05B RPK (-16.7%); 70.4% LF; 522K PAX (-9.7%); 7.12M FTK (-15.7%).

October 2004: Kavminvodyavia (KMV) operates scheduled services to over 40 destinations throughout Russia and the (CIS). Charter flights are also operated to Sharjah, Athens, Thessaloniki, Tel Aviv, Istanbul, Larnaka, Aleppo, Malta, Varna, & Antalya.

(Telephone: +7 87922 58535). (http://www.kmvavia.ru).

Main Base: Mineralvody (MRV).

Domestic, Scheduled Destinations: Chelyabinsk; Chita; Ekaterinburg; Ishevsk; Kaliningrad; Kazan; Khabarovski; Krasnoyarsk; Magnitogorsk; Makhachkala; Mineralnye Vody; Moscow; Murmansk; Naberezhnye Chelny; Nizhny Novogoroad; Nizhevartovsk; Novosibirsk; Norilsk; Novy Urengoy; Noyabrsk; Omsk; Orenburg; Penza; Samara; St Petersburg; Saransk; Sochi; Surgut; Syktyvkar; Tyumen; Ufa; & Ulyanovsk.

International, Scheduled Destinations: Aktau; Almaty; Ashgabat; Baku; Gyummri; Kiev; Kishinev; Nucus; Tashkent; Tbilisi; & Yerevan.

March 2006: Russian airlines reported a combined -RUB2.2 billion/-$78.7 million drop in net profit in 2005, according to a statement from the Federal Air Transport Agency cited by Russian media. Revenues increased +10% to RUB180 billion against a +20% lift in costs. The number of passengers grew +3.9% to 35.1 million and passenger revenues rose +3.4%.

August 2007: 4 Tu-154Ms (706, LZ-HMI; 707, LZ-HMW; 743, LZ-HMQ; 832, LZ-HMN), from Balkan Holiday Air (BGH).

September 2007: Started merger talks with Rossiya (SDM).

October 2008: The new alliance created and controlled by the state and Russian Technologies (RT) to replace AiRUnion will comprise 10 regional airlines, be registered as a public corporation and eventually be called something other than Russia Airlines (a working name), (RT) head Sergei Chemezov told journalists, "The Moscow Times" reported. Moscow Vnukovo will be the carrier's principal base, with the Moscow city government holding the remaining 49% of the new company. It also will have bases in St Petersburg, Krasnoyarsk, and Khabarovsk. According to Kommersant, the 10 carriers are Atlant-Soyuz (AXX), Rossiya (SDM), Kavminvodyavia (KMV), Orenburg Airlines (ORB), Saratov Airlines (SOV), Vladivostok Avia (VLK), Dalavia (KHV), and former AiRUnion members KrasAir (ZXD), Domodedovo Airlines (DOD), and Samara (SMR). Director General nominee, Vitaly Vantsev said the airlines will begin codesharing in the upcoming winter schedule. He also said Atlant-Soyuz (AXX) and Vnukovo are negotiating with the government on reimbursement of RUB2 billion/$74.3 million spent transporting AiRUnion passengers, "Kommersant" reported.

November 2008: "Rosavia" is the official name of the new state-owned, Moscow-based airline, comprising 10 regional carriers (AXX), (SDM), (KMV), (ORB), (SOV), (VLK), (KHV), (ZXD), (DOD), (OMK), & (SMR), including the remnants of the AiRUnion alliance. Moscow Mayor, Yury Luzhkov said Rosavia "will be a large, serious company with a powerful potential and will rival Aeroflot (ARO)," "Interfax" reported.

December 2008: Russia's treasury is set to provide RUB30 billion/$1.08 billion in soft loans to the air transport industry to help it through the current credit squeeze. Last month, the government established a state-backed dedicated relief facility to finance the working capital needs of a few major airlines. According to sources, the five carriers that transport more than >1 million passengers per year, with at least half on scheduled flights, are eligible to receive funds. The recipients identified to date by First Deputy Prime Minister Igor Shuvalov are Aeroflot (ARO), newly formed Rosavia ((AXX)/(SDM)/(ZXD)), and Transaero (TRX), a private operator of Russia's largest long-haul fleet. KD avia (KGD) Director Business Development, Mikhail Baskov said that his airline also is on the list given its role in serving the Kaliningrad exclave. "We firmly count on receiving up to RUB4 billion at an affordable interest rate," he said.

Rosavia, the successor to the defunct KrasAir (ZXD)-led AiRUnion alliance, has applied for RUB5 billion to carry it through its formation and allow it to maintain operability and meet growth rate targets in 2009.

The government made a decision in principle to subsidize carriers that provide domestic air services to remote regions, with particular recipients still to be selected. At the same time, civil aviation agency, Rosaviatsiya plans to tighten supervision over airlines' financial and operational performance. "We'll request them to report results before each summer and winter season," Deputy Chief, Vladimir Chertok said. "If results worsen grossly, we'll consider suspending or annulling air licenses."

February 2009: Russia's Federal Anti-monopoly Service (FAS) is intent on abolishing overflight fees charged to foreign airlines, which traditionally benefit Aeroflot (ARO). (FAS) Director, Igor Artemyev told reporters that his agency has prepared a relevant draft decree to be submitted for government approval shortly. Since the late 1970s, foreign operators have been paying pro-rate charges for transiting airspace over Siberia on routes between Europe or North America and Asia. Under this practice, Aeroflot (ARO) receives substantial additional revenue, which industry experts estimate at $200 to $400 million per year. "We don't mean to harm Aeroflot (ARO) in any way, but that system of imposing feudal royalties is an absurdity and should be eliminated," Artemyev said.

Discussing the matter with Russian counterparts in 2005, European aviation authorities claimed that payments for rights to fly on trans-siberian routes cost (EU)-based carriers more than >€250 million annually. Founders of newly formed aviation holding, Rosavia also are lobbying against overflight charges, citing the advantage gained by Aeroflot (ARO), which Rosavia is designed to rival. The Transport Ministry, however, is opposed to scrapping the charges in the short term. Minister, Igor Levitin told reporters that the fees should remain in place at least until after 2014, when Russia will host the Winter Olympics in Sochi.

March 2009: Reports from Russian media sources say the new mega-airline called "Rosavia" — not to be confused with Rossiya (SDM), won’t take flight until after the summer at the earliest.
Rosavia is being cobbled together from a slew of bankrupt, ill-financed or otherwise unstable outfits from throughout Russia’s
highly fragmented airline industry.

April 2009: Russian Technologies (RT), the state-owned controller of the newly established, Moscow Vnukovo-based "Russia Airlines" (or "Rosavia") plans to order 150 to 200 airplanes starting next year, (RT) head, Sergei Chemezov said, according to "Reuters." According to Chemezov, "Boeing (TBC) has promised to help us find credit in the USA. From next year, we would like to start buying airplanes . . . The most important question is where [we can] get the money."

February 2010: The Russian government announced plans to merge a series of smaller airlines, including St Petersburg-based Rossiya (SDM), into Aeroflot (ARO). Russian Transport Minister, Igor Levitin said the consolidation would lift (ARO)'s domestic market share to 30% to 35% from 15% to 20%, according to "RIA Novosti." Other carriers involved are Kavminvodyavia (KMV), Orenburg Airlines (ORB), Vladivostokavia (VLK), Saratov Airlines, and Sakhalin Airlines (SKH), according to "ITAR TASS." They originally were to be combined in a new state-owned carrier called Rosavia, plans for which now have been shelved.

Rossiya (SDM), Kavminvodyavia (KMV) and Orenburg Airlines (ORB), three of the six airlines scheduled to be combined with Aeroflot (ARO) under a Russian government plan announced this month, will be transitioned from state-owned enterprises into joint stock companies prior to the merger, "The Moscow Times" reported. The other three, Vladivostokavia (VLK), Saratov Airlines and Sakhalin Airlines (SKH), already are joint stock companies. Transport Minister, Igor Levitin said the stake sales will occur this year. He said the move is "compatible with the anti-monopoly regulations."

August 2010: Aeroflot (ARO)) is now taking over control over the airlines previously owned by Rostekhnologii that were supposed to be merged under the "Rosavia" brand. The Rosavia merger project has now been cancelled, but Rostekhnologii has ordered 50 737NG airplanes (and 15 options) regardless, that will then be leased to (ARO) and its new subsidiaries. (ARO) is planning to continue to operate the airlines under separate certificates and brands for now, similar to its subsidiaries, Donavia (DAU) and Nordavia (AEN) and has not yet published any final plan on what role the new subsidiaries will play, although it has indicated some of them might be turned into low-cost or charter carriers. The airlines included in the deal are (KMV) - Kavkazskie Mineralnye Vody, Orenair (ORB), Rossiya (SDM), Saravia, SAT Airlines (SKH), and Vladivostok Air (VLK) that are all under full or majority control of Rostekhnologii. Earlier this year, (ARO) also acquired the remaining 49% in Nordavia (AEN) held by Aviainvest and it now also controls 100% of the Northern Russian regional carrier. (ARO) and Rossiya (SDM) have already entered into a code share agreement on a wide range of domestic routes.

Russian state corporation Rostechnology has completed the asset transfer of five regional carriers to Aeroflot (ARO), in a previously announced deal worth RUB2.5 billion/$81 million.

(ARO)’s sister company, Aeroflot-Finance, received 52.156% of Vladivostok Avia (VLK), 51% of Saravia Airlines, 75% minus one share of Rossiya Airlines (SDM), 100% of Yuzhno-Sakhalinsk-based SAT Airlines (SKH) and 100% of OrenAir (ORB). Rostechnology received 3.55% of Aeroflot (ARO) shares.

In 2010, the Russian government decided (ARO) would get six airlines belonging to Rostechnology. The sixth carrier, Mineralnye vody-based KMV (KMV), ceased operations this summer and became a part of Donavia (DAU), which is also an (ARO) sister company. (KMV)'s sister carrier Donavia (DAU) and Aeroflot (ARO) have committed to take over some operations from Mineralnye Vody and to hire KMV staff. (ARO) has announced plans to re-brand at least some of the airlines and to replace their remaining old generation Russian airplanes by A320 family or SSJ 100 airplanes.

According to an (ARO) statement, the group plans to take 45.5% of the market by 2025. Transport Clearing House VP, Marina Bukalova said the company has nearly reached this target. During the first nine months of 2010, (ARO) and its two sister companies (Donavia (DAU) and Nordavia (AEN)) had 30% of the market share. During the first nine months of 2011, (ARO) (with (DAU), (VLK), Saravia, (SDM), (SKH) and (ORB), excluding (AEN)) had a 40% of the market.

During the same period in 2011, the S7 Group (S7 Airlines (SBR) and Globus (WEG)) had a 13% share, Transaero (TRX) 12%, UTair Group (UTair (TYU) and UTair-Express), 10%. All together, the four biggest airline groups have a 75% share. Bukalova said the continuing monopolization and declining competition will have a negative effect on the market.

October 2011: (KMV) lost its air operator certificate (AOC) on October 1 because of financial difficulties and has been forced to suspend all operations. It had operated scheduled services from its base in Mineralnye Vody as well as a wide range of passenger charters using a fleet of Tu-154Ms and Tu-204-100s. (KMV) was one of the several subsidiaries Aeroflot (ARO) had inherited as part of a transaction with Rostekhnologii in 2010. Its sister carrier Donavia (DAU) and (ARO) have committed to take over some operations from Mineralnye Vody and to hire (KMV) staff.

Fleet:
(definitions)

Click below for photos:
KMV-TU-154M-2011-09

October 2011:

3 TU-134A (D-30-II) (60915, /78 RA-65139; 18125, /74 RA-65844).

2 TU-134A-3 (D-30-III) (49987, /77 RA-65074; 60588, /78 RA-65126)
76Y.

0 TU-154B (NK-8-2U) (226, /77 RA-85226), COMBI 60Y & F.
36170, /75 87), 226 PARTED OUT 2005-02. 76Y.

9 TU-154B-2 (NK-8-2U) (303, /78 RA-85303; 307, /78 RA-85307; 330,
/79 RA-85330; 340, /79 RA-85340; 371, /79 RA-85371; 373, /79 RA-85373; 382, /79 RA-85382; 393, /79 RA-85393; 457, /80 RA-85457; 494, /81 RA-85494), 303; PARTED OUT 2005-02. 164Y.

4 TU-154M (D-30KU-154-II) (706, /84 LZ-HMI; 707, /85 LZ-HMW; 743, /86, LZ-HMQ; 832, /90 LZ-HMN), (HMS) LSD. FROM (BGH) 2007-08. 157Y.

3 TU-154M (D-30KU-154-II) (891, /91 RA-85715; 904, /92 RA-85722;
929, /92 RA-85746), 164Y.

2 +5 ORDERS TU-204-110 (PS-90A) (1450742364016, /93 RA-64016; 145073164022, /99 RA-64022), 36C, 136Y.

Management:
(definitions)

VASILY BABASKIN, DIRECTOR GENERAL (T: 7-86531) 57828).

BORIS LEIKIN, DEPUTY DIRECTOR GENERAL, FLIGHT OPERATIONS.

ALEXANDER GOSSEN, CHIEF OF MAINTENANCE.

 
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