2013 was a year of outstanding performance for Aeroflot, paving the way for important qualitative changes going forward.
Aeroflot has always been and remains systemically important to the Russian civil aviation industry, and is also becoming an increasingly strong force in the global air transport market.
Aeroflot’s role as the foundation and driving force for the consolidation of the Russian air transport industry is ever more apparent, and this is bound up with another highly important task for Aeroflot and for Russia, that of making air travel more affordable for ordinary Russians.
Mobility is a major factor in successful national development. The Russian government has set a goal of increasing imobility levels to 40% in the near future, helped by rapid development in regional air services. Aeroflot Group launched two major strategic projects last year that will help to achieve this nationally important objective: the establishment of a new unified Far East operator, Aurora Airlines, and preparations for the launch of a low-cost carrier, Dobrolet.
These activities have taken on particular significance since the accession to Russia of two new constituent entities: Crimea and Sevastopol. Looking ahead to the long term, Aeroflot has initiated a large-scale programme of special-rate flights to Crimea
Together, all of these tasks determine the way forward and future structure of Aeroflot Group as Russia’s largest and fastest growing aviation holding. While JSC Aeroflot maintains its positions in the premium segment, its subsidiaries will continue to establish themselves in new market segments that are both socially important and commercially attractive.
Aeroflot also has a strategic role as one of the main customers for new products offered by the Russian aircraft-manufacturing industry. Of the 36 new aircraft Aeroflot expects to receive in 2014, eight are Russian-built Sukhoi Superjet 100s.
On the global market, Russia’s leading airline is not only developing its traditional competitive advantages, including high-quality standards of service, but is also making best use of new opportunities in sales, marketing and corporate image management. In 2013, Aeroflot became the official carrier of one of the world’s best-known football clubs, Manchester United — an unprecedented development in the history of Russian civil aviation.
Aeroflot showed its qualities as national carrier to best effect in the period before and during the Olympic Winter Games in Sochi at the start of 2014. We feel fully justified in saying that Russia’s leading airline played an important part in making the Games the success that they were. We carried out our duties as General Partner of the Games in full, helping the Russian government achieve its aim of creating and maintaining a positive image for Russia in the world.
Aeroflot’s recent achievements owe much to the forward-looking management team that has overseen the Group’s growth over the last five years. The key principles that guide senior executives in their decision-making are high levels of productivity, efficient cost control, and optimisation of the business of subsidiaries being integrated into Aeroflot Group.
Aeroflot celebrated its 90th birthday in 2013, and the Company’s achievements during the year did ample justice to the anniversary. Aeroflot has now embarked on its tenth decade, and Company managers face new challenges in the strategic task of transforming Russia’s foremost airline and the whole of Aeroflot Group into one of the best premier-league global players. Consistent growth of passenger traffic and other key operational and financial performance indicators are an important part of what is needed. But we also plan to make effective and truly creative use of Aeroflot’s vast potential, and to take fuller advantage of Russia’s unique geography, its boundless spaces and excellently positioned air routes.
We have everything we need to capitalise on the successes we have achieved to date:
- A strong brand, respected worldwide;
- A powerful and up-to-date fleet and operating base;
- Qualified and dedicated personnel;
- A motivated management team with a wealth of experience and an excellent track record;
- A business model that takes full account of national competitive advantages.
By using these advantages, we will achieve new heights of service quality and business success. Our rate of climb to these new heights depends to a large degree on our work this year. We count on your support in making 2014 particularly successful for the Company, for Russia and for all of our stakeholders.