Donbassaero begins bankruptcy proceedings

Ukraine’s Donetsk-based Donbassaero airline has initiated bankruptcy proceedings in a filing to the Donetsk Regional Economic Court. A preliminary hearing will be held March 27.

Donbassaero, which is part of the Ukrainian Aviation Group that also includes Dniproavia and AeroSvit, has halted flights as the group deals with ongoing financial problems of its airlines.

According to the Ukraine news agency Interfax, Donbassaero’s net profit in 2011 was UAH7.56 million ($921,490). In 2010, it had a net loss of UAH90.5 million.

According to the carrier’s website, it operates nine Airbus A320s and one A321. Ukrainian Aviation Group carriers fly to destinations in the Ukraine, CIS republics, the Middle East, North Africa and North America.

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