what's happening at Azzurra?
 

There seem to have been developments at Azzurra over last weekend, apparently to the extent of its very existance.

Apparently the magiority shareholder (Seven Group) is bust. Not good news anyway

Does anyone have the latest? Are Manchester ops. affected?

Considering 5 out of 7 of the RJ fleet are sat at Exeter, with the other 2 out in Italy somewhere, might say something.

The 737-700's have been repossessed by GECAS.


:ooh: :rolleyes: :suspect:

Wasn't / isn't Air Malta a 49% shareholder in Azzurra?

Why weren't they able to do anything about this?

DesignerChappie, The RJs where made idle after they terminated a contract with Alitalia last October:

Quote: <<<<<<Azzurra Avro RJs idled by end of Alitalia contract
The seven Avro RJs of Italian airline Azzurra Air have been largely idled by the termination of the contract to provide services for Alitalia. In a cost-cutting move, Alitalia cancelled services to Hamburg, Copenhagen, Porto, and Stockholm from Milano's Malpensa Airport, as of October 26, 2003 -- services that Azzurra had provided. The move leaves Azzurra's Avro RJs with only one scheduled service: to Rotterdam, served once daily in a code-share arrangement with VLM. Azzurra operates four Avro RJ70s and three RJ85s. [2003-10-28]>>>>>>

JMC-Man, are you sure the 737-700 were reposessed as they were due to be returned to lessor anyway in lieu of new A320s, two of which have been delivered?


LGW Vulture, Air Malta have been bailing out Azzurra for possibly too long now. Besides it is still a mystery to me if they still own their 49%, as it has been rumoured to have been sold, just last week!

I wish not to hijack this thread but,

Isn't Azzura supposed to have bought Air Littoral and have failed to inject the promised capital in it ?

What happened there ?

Cheers

RobinZ, I don't think the two new A320s due to be delivered in lieu of the 737-700s have actually arrived. The leasing company has taken the 737-700s back early (apparently due to non-payment) and has cancelled the deal to lease them two A320s as replacements. This changeover was not due to take place until April/May.

A lot of Azzurra flights from the UK (especially to Lapland etc) have been replaced with other airlines because Azzurra now does not have the aircraft to operate. They have apparently told their charterers that they don't have the money to pay for the subcharter of a replacement aircraft from other airlines.

It does not look good......

Noticed today at work that they are booked into training/circuits at EMA tommorow on A320 if that's any more info

Shame if it's true. Flew with them during the summer - nice new shiny clean aircraft, pleasant cabin crew, on time departure & arrival both ways. Overall, gave a very good lasting impression and would have (had?) no hesitation in recommending them.

Perhaps it's only a rumour.............:)

I don't have any inside gossip, but we parked next to an Azzura A320 at Ivalo (Finland) on Sat. It was operating a day trip from Manchester.

SLF question
 

The title of this thread caught my eye as I just got my tickets yesterday to fly with Azzura from Manchester to Finland for a ski holiday first week in January. Do I need to be worried at all? (Not about safety I should add but about the company being able to getting me there).

Azzurra A320 (EI-DBD) just returned from East Midlands at 13.00 today

Gof India Bravo

Azzurra
 

Things are doing quite bad in ZS, as in most other Italian companies. To date (to answer Robin's question) KM still holds the 49% share holding. Problem is that KM seems to be facing some problems too !!

Lets hope that things get a turn for the better in Azzurra and littoral as there are hundreds of jobs at stake.

Avroliner
 

We're all hoping that Azzurra makes it through to better times and out thoughts are with you.

Yes indeed, KM is now hitting bad times, partly (read mainly) due to the losses at Azzurra. Why they lost LM 6 million ($US15 million) last announced financial year (was that 2002?) has still not been explained or even quantified. This years losses ( pre grounding of RJ fleet) are expected to be even higher. Why? Let alone current financial situation.

Not only this, but KM has also millions in capital tied up in loan guaranties for ZS, as well as lease guaranties on all the RJs, now sold to a bank, idle or not.

Nobody can go on throwing money into a bottomless pit, moreover when reasons for such are not fully comprehensible.

Well the last info I have is that KM is loosing loads of money due to pilfering!! Strange, no mention was made of ZS. Well it is obvious that the full truth is never made official so ZS could still be a factor. Yet I do have a feeling that ZS losses are KM's relief valve. After all ZS has been created by KM with such a scope !!

Marridx nohloq polemiki yet I think that we just know the tip of an iceberg and we are in the hands of politicians and heavyweights. :ouch:

For info Azzurra employed 600 people operating 12 aircraft. Airmalta employes around 2000 people operating 13 aircraft !!!!

I think you will find that Air Malta will be in dire straits when Malta joins the EU in May 2004. That will put an end to its monopoly in Malta. They are already busy trying to re-invent themselves as a low cost airline.

Just checked their website, and it has the following information: -

CG

Avroliner
 

Twan, Air Malta has it's problems, that's for sure. Pilfering and over staffing are just two of them. However the 2000 staff you mention is the Group's total employes, including staff at 3 hotels and several other companies. Notwithstanding, it is overstaffed as you mention. Hopefully new stratagies will be put in place sooner rather than later.

There is a similar here rumour here that KM's losses are hidden into ZS's balance sheets. This is probably because ZS's losses are so inexplicable. However it is not so easy to play around with figures like such, in seperate companies and in different countries, so one has to be level headed.

This topic is not about KM's problems.....it has many, as we know; But about Azzurra's change in fortunes over the last couple of years. There is nothing I would like more, than see Azzurra prosper, however many questions are still unanswered.

Why has it been loosing so much dosh with just ACMI contracts and charter flights? How was Alitalia allowed to play dirty like that? Could something have been done earlier? What is being done now? Is there a plan? Why did the management step down? Who is now 'in command'? Indeed, who owns it? Is ZS still flying Air Littoral's routes? I heard today that ZS Italy stopped it's only remining route to Rotterdam.......why? Will Manchester ops be affected if ZS Italy goes down?

Robin

Azzurra has been losing money from its schedule operation and not from its charter flights. According to 'Airline Business' monthly magazine, Azzurra has been ranked the 30th largest charter carrier in the WORLD with annual growth of over 50% in revenue passenger kms (RPK).

I my opinion Air Malta should not sell Azzurra. After all 'Group 7' are in a worst financial situation. Air Malta should transfer some of its 320's to Malta and use them for our charter operation and low cost service to Stansted. Image-wise it will be suicide for Air Malta to use aircraft wearing the 'Air Malta brand' on the low cost schedule.

Sahha ghalikhom.

Netset
 

I don't think KM should sell Azzurra either. Not with those balance sheets. It probably wouldn't even sell for a pound. I also agree that Azzurra should be made into KM's low cost carrier. However, (not sure if you insinuated it),I find that Air Malta's name is held in very good standing internationally, but it would be essential to de-identify any low cost operation. With proper management this company could then exploit niche markets within Europe.

The tip of the iceberg
 

I want to give a first hand account of some facts. I have flown Airmalta, Alitalia, and many other companies. Few airlines stand up to Airmalta's standard. Fly alitalia's milan malta route.... So if KM is low cost AZ is super low cost!! Azzurra (Italy) service equals Airmalta, yet with a bit of a struggle (due to tough competition). In fact Azzurra changed from Air Chef(alitalia catering) to Ligabue due to better standards.

ZS is no low cost airline. Airline fares are no cheaper than any other carrier!! On the contrary, being able to fly to FLR, LCY and many other short field airports, fares were relatively high.

Azzurra's operation for Alitalia were KM's decision!! ZS lost money, no doubt, but it was following orders by KM. Yet as I said before this is all political staff. (Maybe a passaport for skyteam??)

In my opinion KM should hang on to ZS and open a Milan based company in May. Needless to say, KM will suffer if companies like Ryan air will start to operate from Malta. So, having had this base in Milan for 7 years I do not see why KM should let go now.

ZS needs experienced KM staff here for starters..... Ops and admin.

Quote " Why did the management step down? Who is now 'in command'? Indeed, who owns it? Is ZS still flying Air Littoral's routes? I heard today that ZS Italy stopped it's only remining route to Rotterdam.......why? Will Manchester ops be affected if ZS Italy goes down? " Unquote.

1. Chairman surely had good reasons for doing so. Maybe Group 7 planned to turn ZS into low cost, or he knew that promises made by G7 could not be honoured. G7 now owns 50.83% of the company.

2. Good question! Seems like G7 is in command due to larger share holding.

3. No ZS does not fly Littoral any more.... pity. (Promises made by G7 did not materialize). Calvi and Figari were operated by avro.

4. ZS currently has 2 737 both of which are grounded due tech. A320 crew are still doing training. Yet could be that RTM has been lost due to other reasons.

5. Another good one! Hope not!! Even though (nahseb) aircraft are on ZS AOC.

Yet I do not want to be pessimistic. Miracles do happen, and maybe this Christmass G7 could bring one this way.

Robin & Avroliner

Its because I think highly of Air Malta (after all we are all pilots for the same company) that I don't want the low cost operation to be operated using KM aircraft and livery. When one looks at a Ryanair aircraft, its automatically associated with the 'low cost no frills' trade. However when one looks at say a 'Singapore Airlines aircraft one immediately thinks of quality service. Air Malta and Finnair are the only airlines in Europe using the same aircraft for both their schedule and charter flights. Are we going to be using the same aircraft also for the low cost service to Stansted? I sincerely hope not.

Il-Milied u s-sena tajba guys. See you around.

Latest
 

The two 737 aircraft are back in service. ZS has up to 3 flights per day at the moment. The BGY FCO route is still operational and charter flights to Sharm-el-Sheik are still on.

Yet it seems G7 head, Mr. Palmonella wants to see KM out of ZS. His comments about the Maltese and KM are not appreciated at all. He stated that he will take over KM's part.

Guess it's either G7 or KM. I cannot see any sort of collaboration between the two. KM is a national carrier, and G7 is a bunch of guess what! What do they know about flying after all.

At this stage the best idea is to wait, and if things go G7's way then remove the part of the Maltese cross from ZS logo and withdraw maltese staff back. Pity all the millions (hundreds of them) invested by KM are given for free to such a company with such a bad curriculum.

Time will tell........

concordino,
having seven group failed to deposit the 11M Euros they had to pay, Air Littoral is looking for another buyer.

Palmonella and 7G have been oficially removed from the list of take-over candidates from Air Littoral which is now for 3 weeks under observation and allowing them time to find another take-over candidate. Palmonella ( he was actually convicted to three years jail in a mafia trial in Rome some years ago ).
Don't mention the name Azzurra in France any longer - Palmonella has done great harm to italian business promotion....
Air Littoral used to bea great regional Airline with good reputation in the south of France and it is french politicians ( who else....) who f...ed up the whole change of ownership scenario.

The Avro RJ fleet (7 aircraft, I believe) are now parked at Exeter Airport, probably under the care and maintenance of Flybe Engineering.

Azzurra air seems to be hitten by a lil ray of sun! :cool:
on January I'm flying to Marsalam, Budapest (all B-737 as you know RJ are in Exeter) at the same time, pilots finished courses on A-320 and cabin crew are starting now, the 7th of jan 5 intense days plus a visit on board to be able to fly on that aircraft.
Voices that on the 7th Jan Company should be closedare gone.
Maybe Maltese crew will go away and then...well don't ask me what will happen....our salary has been regulary paid and just for now no dismissals....:confused: Let's stay here and look.....
just one thing....what was that voice about a possibly crash of one of our jets?...technicians are still well trained...maybe a threat?

brgrds
Skunkie

azzurraair
 

hi guys i worked with azzurraair last summer.
im presently not operating for them<better times for me>.
i have freinds who do work there and they are up in arms as well as the company never tell there crew the truth its all this and that and no answers.
the 2 aircraft are still operating<a320>,one of which is leased on a use by day basis.
they havent enough crew to cover flights hence why flights are recently being canx.
they are now up for training in italy next week,whos paying dont ask havent a clue,staying in hotel for 3 weeks at 45.00 per day allowance,to again there italian license as this is a requirement by italian law for wen and yes a big wen,then go it alone,meant to be feb/march wen km have nothing more to do with them,and so they shouldnt this airline is a disgrace,the ones i feel sorry for are the crew they are diamonds,and have helped this airline out to far...

Azzurra
 

At this point I really do hope KM removes any sign of the Malta Cross from ZS aircraft.

Avroliner
 

And why would you wish that? Do you know of any developments?

I hear that ZS/7G have agreed to increase the working capital of Azzurra to 15M Euros and this will be injected into the company within 7 days. Looks like they are out of the woods!

Millenium
 

If that's so, it's the good news we've all been waiting for. Is this info published anywhere? If so, do you have a link to the site?

well, it looks like they put 15 mil. in the Company, but really nobody saw them......I mean, as soon as I see cash I believe in it; anyway those money should cover Azzurra up to 15th of February.
Right now they are discussing this and communicating to the pilots & cabin crew associations......tomorrow we will know a bit more.
Anyway I know (should be my flight) that Azzurra operates Adriatica airlines a/c, which are supposed to be in the U.K. blacklist......I opened a 3d to have more infos about that.
Obviously they use their aircraft to go to Sharm-el-Sheikh...with italian pax....all crew and equipment are croatian and only a purser for commercial services should be on board.
This is not exactly a good new for Azzurra's employers....

KM is definitely out of these operations. I wonder where the money are coming from and if it is REAL money or just the usual promise

Skunkie

On 9th jan Azzurra air hosted a "party" where people should be informed of the situation...nothing specific came out ( I wasn't present).
7G promised a first tranche of recapitalization 10 mil Euros ( should be enough up to 15th February).
Maltese 49% got an ultimatum to give 6 mil. Euros, they shuold give, as an ultimatum , the 30th of January.
If they refuse, 7G should cover these money (.....) and maltese will be not cut out, but only reduced their shares in the Company.
This could be (my opinion) a strategy to reduce their shares proportionally and, step by step exit from the Company not in a drastical manner.
Crew are supposed to be sent in Manchester base, with no choice (exept the anzianity list) anyway, just for the moment it is all posticipated to the 15th of january.
During th party no practical news has been explained.
Maltese crew (5 Maltese Captain at the moment) will go back to Malta.

Let's hope in better period :uhoh:

Right now we (as Cabin Crew, are flying on Saturday and Sunday and not more - no scheduled flights are at the moment available, only ad hoc flights and some charters with B-737/700).


Skunkie

I did hope KM will try some statagy, which it did! G7 10 million euros ultimatum is about 2 weeks prior to ours ..6 million. If G7 delivers... very doubtful.... than good luck to ZS. However maltese crew could and would go, at long last.

Maltese crew in ZS are, as always, filling up the gaps, and doing most of the training according JAR OPS. They are the only holders of a JAR licence, issued by a country which has been operating on very high standards.

If G7 does not deliver than it is them who will loose ZS... Last in first out. KM could and should use this opportunity to expand into foreign bases come May. A320 crews in KM are very well trained, and KM was one of the first carriers to have them.

KM has created this company and I am positive that they will have plans to make it viable. It is KM who has always invested in the company.... 7 years. It is simply not fair that some G7 comes up with loads of promises which to date have never been honoured.

Again, KM is a national carrier and G7 is... em... what is it exacly.... I just do not know, beleive me. All I know is that it has a history of failures. Maltese staff feel that it is their baby. Most Italian staff share our opinion.

Conclusion.... ZS is still on the negotiating table.

Skunkie I hope I clarified the situation, even though I write to the best of my knowledge, and I also could be mistaken.

Robin this is as far as I know for the moment, again to the best of my knowledge.

Best regards to all following this threrad

Hi Robin,

Things in ZS change by the hour. No one actually knows what is up anyone elses sleeve. It is like a chess game. No one declares his next move! Recapitalisation took place just yesterday. As from tomorrow things can change. I am happy KM did not bail out as that meant loosing a 7 year investment overnight. I think they did the correct move.

I am not aware of any site which sheds true transparent light on the story.

I fully agree with what Avroliner said. Air Malta must have some strategy with regards to Azzurra. If not they would have sold it at the time the Minister for IT and Govenment Affairs announced that KM's shares were to be sold shortly.

I stand to be corrected but I believe that Manchester's operation is being run by Air Malta. The operation is a 100% success and the charterer is willing to sell more seats provided such seats are available.

G7 will shortly be out of the equation. KM has other plans for ZS.

Regards

NetSet

I fully agree with you and Avroliner (as long as it results you are Maltese, you should know what is happening over there).
Remaining an Cabin Crew strategy, all CC flying from Manchester (Bristol is only summer base) are now attending a converse course in Italy, in the case the two EI-DBD, EI-DBC will became Italian
:hmm:
I just pass the test on A-320 (absolutely NOT Jar Ops except some particulars almost regarding cockpit crew).
No exact procedures have been explaind to us, only Airbus general, and we don't know which aircraft and from where will (if) arrive.
The course was 3 days long...I'm always on pc and I find it "quite easy" but is not the same for all Cabine Crew. Then we got test (yesterday morn) based on company SOP, but easier that a lot of things will change!
Tha 4 A320-200 ordered by Air Malta, when our Chairman was still Maltes won't arrive. They are stopped by the same leasing company who took back our Irish B737-700 (nowadays we operate with two German 737-700).
So we don't really know where this A320 will come from, surely second handed, with charateristic totally or partially different from ours.

Great part of Cabin Crew operating in Manchester are from U.K. and their contract is very low....according , anyway to the cost of life in U.K.
If they will start operating in Italy, their salary will be adequated to the cost of life in Italy, so they will gain less then us 8note that we operate as a low cost...737 carries 3 Cabin Crew, the service is not good as Air Malta's but we got duty free (all manual, if you mistake your payment will be lowered) and we got hot meals and so on...only difference all economy class....
Nowadays some pursers from Azzurra went to Toulose and they are abilitated to fly U.K./Maltese a320....everything has been hidden......
When U.K. crews will come to ZS I can't even imagine the mess will be created! If KM quit, the only solution will be closing and reopening with people they want and with salary they want, despite of any seniority list.....otherwise, if no money appears...they will close everything!

I think the only "hope" is that Malta will need a base in Italy in order to enter Europe. And , again , I hope Malta has a kind of strategy.

To know more about pilots, refer to Avroliner!!!!

brgrds

Skunkie

First of all, I just heard that Capt. Joe Agius (Azzurra Chief Training Pilot) has resigned from Azzurra and is resuming his post with Air Malta. Azzurra's loss.

A plan is desperatly needed. Azzurra has lots of debts and with the 7 RJ's grounded, 2 737s re-possessed, they have a humongous amount of staff sitting around idle doing nothing.......and still getting paid. Besides, there is the little issue of the lease payments on the RJs. Whether Azzurra is paying them or Air Malta is irrelevant, because they still have to be paid (guaranteed) by KM, each month (x7). Can you imagine what this is costing?

With the above as a huge anchor, and the debts accumulated so far, this cash injection will dry up in no time at all.

Something has to be done soon (read now!) and unfortunately this will have to include operating the RJs ......... 1)ready trained crews on payroll, 2)available aircraft idle, also on payroll.

As the RJs cannot be used successfully for charters(except perhaps from some remote airfilelds or perhaps Florence), the only way I can see this going is for Azzurra to open a low cost scheduled operation out of a couple of bases, and operate point to point on stategic routes that are not yet exploited.

Since other low costs have taken over airports like MXP, FCO/CIA, BGY etc, perhaps possible candidates could be Verona, Forli or Venice. Short sectors would be the key, and operation (OF RJs) will be totally internet based. Heavy advertising will be a must, as is the branding on the aircraft. The way I see it..........we are already loosing......this way we can only win!


Regarding G7 (seven group), someone sold (gave) them that stategic 51%, so now they pull the strings. Alitalia screwed Azzurra up, as it did with Minerva, KLM and many others. **** happens. Let's hope that ZS has what it takes to get on it's feet again.....for the long haul.

things are definately not good at Azzurra...but the 320's do exist and fly and apparently the money to buy out Littoral has been raised and maybe even payed.
I read the 2 companies (azzurra and littoral) want to build a mediterranean regional network together.
we'll see...

Robin z

yesterday 's news is about using again Avro in Italy, but is really only a rumor.....
Hope some chief read this thread and got some ideas...
i don't know exactly about Capt. Agius resignation, but could be quite true.
He is in Malta since Saturday and maybe they are discussing smtg more.
Here I read betwen the lines, the possibility of using again Avro, as you correctly suggested...but is all a supposition....Malta has got time up to 30th january and hope something will be done....

News from other maling list and sms on mobilephone, refers this...hope they are not "stupid" to leave everything go.
let's wait and hope.................
I will be in Malta on thursday and hope to get some good news1

otherwise, the end of Azzurra will be imminent :uhoh:

Skunkie

Robin z

Capt Agius has not resigned yet...he went to Malta on Saturday to check situation over there, the rumors about Rj fleet are increasing....hope is a good new for ZS.

As you told in a previous post, maybe they will try smtg as you suggested (forl', LCY, Florence and oters for charters).
Let's wait the ultimatum from Malta...they should insert 6 mil Euros or their quotes will gradually be lowered.

After 30th jan....maybe smtg will move....in the while we are almost all on idle...cpt, cabin crew (1 or 2 fly each month).
Rj pilots got a chance to come back to Italy and fly again with Rj...take it as a rumor ...a llil bit than a rumor....

:rolleyes: well In God we trust..
Maybe u flyng from MXP to MLA on thu morning? I will be on KM plane (hope not full) as a pax with ZED ticket....so I will enjoy a week in your marvellous island :ok:

no other news from here..people and management are :mad:


Anyway...in the 300 cabin crew (supposed to be assumed in KM as a low cost operating cabin crew..) do you think thre is some space for a 13 1/2 years old flying purser? :O :O :O
I mean I don't intend to fly as a purser...just ned a job!

The limit is that I know few Maltese....mostly bad words ;) ;) ;)

Best regards and be strong...here and in KM

cheers

Skunkie