Armavia faces bankruptcy

Artyom Movsisyan, Head of Armenia’s General Department of Civil Aviation, said the company has found itself in a “tense financial situation,” News.am reports.

He recalled that Armavia’s agreement signed with the government, which proposed providing the company with exclusive rights, is expiring on April 22. Movsisyan found it difficult to answer whether the agreement will be extended, as the decision will be made by the government.

As to rumours about selling Armavia, Movsisyan told reporters they had not received offers from any company. He also described rumours that Gagik Tsarukyan plans to purchase the company as “ungrounded”.

The official noted that government had not made final decision on Armenia’s adopting of “open skies policy”. He did not rule out creation of a state air company.

Adapted from: Vestnik Kavkaza