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May 28, 2015 (newstodate): Lithuania is taking on a leading role in fresh efforts to relive the concept of a Pan-Baltic Airline to provide all three Baltic markets with air services.
The process is naturally spurred by the demise on May 22, 2015, of Lithuania's latest attempt to set up a carrier on a national platform, Air Lituanica, floowing on the collapse of flyLAL by January 2009.
Already before this happened, newstodate spoke in April 2015 to Lithuania's vice-minister of transportation & communication, Arijandas Sliupas on the issue.
-It will take time, but I personally envisage a future when Estonian Air, airBaltic and our Lithuanian carrier will move under one roof, said Mr Sliupas.
-For the time being, airBaltic is too big and overly focused on its balance sheet to take any major risk, and Estonian Air and Air Lituanica are too small to press the issue. But given the limited size of the three individual markets I definitely see the future in this region taking the path towards a merger of the three companies into one unified pan-Baltic airline. It will be a matter of time.
Mr Sliupas is now engaged in talks with Latvian parties including airBaltic to drive the process further.
It seems, however, that the concept appeals less to Estonia that is today served by Estonian Air that is struggling to return to profits while waiting for the EU verdict on alleged state aid to the airline.
-I don't think this is anything new at all. AirBaltic has built a hub-and-spoke with Riga as the hub. This is of course good for Latvia, but maybe not perfect for Lithuania or Estonia, says Jan Palmer, Estonian Air CEO.
-Being on the outskirt of Europe, it is essential with direct air links to most important destinations in Europe for each of the Baltic countries to attract new business and Tourism.
-It's easy to understand why airBaltic wants to become the pan-Baltic Airline, but it's harder to understand how to satisfy the need for each of the other two countries.
But - Mr Sliupas has not lost his optimism.
-All this pan-Baltic puzzle should start working once. I think this is the right time to push it through, even though it does not guarantee a success, says Mr Sliupas.
The process is naturally spurred by the demise on May 22, 2015, of Lithuania's latest attempt to set up a carrier on a national platform, Air Lituanica, floowing on the collapse of flyLAL by January 2009.
Already before this happened, newstodate spoke in April 2015 to Lithuania's vice-minister of transportation & communication, Arijandas Sliupas on the issue.
-It will take time, but I personally envisage a future when Estonian Air, airBaltic and our Lithuanian carrier will move under one roof, said Mr Sliupas.
-For the time being, airBaltic is too big and overly focused on its balance sheet to take any major risk, and Estonian Air and Air Lituanica are too small to press the issue. But given the limited size of the three individual markets I definitely see the future in this region taking the path towards a merger of the three companies into one unified pan-Baltic airline. It will be a matter of time.
Mr Sliupas is now engaged in talks with Latvian parties including airBaltic to drive the process further.
It seems, however, that the concept appeals less to Estonia that is today served by Estonian Air that is struggling to return to profits while waiting for the EU verdict on alleged state aid to the airline.
-I don't think this is anything new at all. AirBaltic has built a hub-and-spoke with Riga as the hub. This is of course good for Latvia, but maybe not perfect for Lithuania or Estonia, says Jan Palmer, Estonian Air CEO.
-Being on the outskirt of Europe, it is essential with direct air links to most important destinations in Europe for each of the Baltic countries to attract new business and Tourism.
-It's easy to understand why airBaltic wants to become the pan-Baltic Airline, but it's harder to understand how to satisfy the need for each of the other two countries.
But - Mr Sliupas has not lost his optimism.
-All this pan-Baltic puzzle should start working once. I think this is the right time to push it through, even though it does not guarantee a success, says Mr Sliupas.
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