Albanian Airlines

Albanian Airlines was a privately operated Albanian passenger airline based in Tirana. Its main hub was Tirana International Airport Nënë Tereza, and its business centered on scheduled international services linking Albania with European cities. The carrier emerged during the transformation of Albania's aviation sector after the end of communist rule, when private and joint-venture activity began to replace the country's earlier state-dominated transport model. The airline was initially established in May 1991 under the name Arberia Airlines. It began with Tupolev Tu-134 aircraft and was described in contemporary accounts as having close links to political figures from communist-era Albania. In May 1992, the company adopted the Albanian Airlines name and opened its operations to the general public on 20 June of that year. The renamed carrier was formed as a joint venture between the state-owned Albtransport agency and Tyrolean Airways of Austria. Its initial public service used a single leased De Havilland Canada Dash 8-102, operated with Canadian pilots and maintained by Canadian engineers. Tyrolean Airways ended its contractual involvement in 1994 and recovered the aircraft. Albanian Airlines was privatized in 1994 and sold to Kuwait-based M.A. Kharafi & Sons Group. Scheduled operations were relaunched on 1 October 1995 with one Airbus A320 leased from Egypt's Shorouk Air. The airline was restructured in 1997 and broadened its regular European network. It also operated seasonal services to tourist destinations around the Red Sea. By 2001, its fleet included four Tupolev Tu-134 aircraft, serving routes from Tirana to cities including Bologna, Frankfurt, Istanbul, Pristina, Rome, and Zurich. A fleet modernization program began in July 2001 with the gradual replacement of the Tupolevs by BAe 146 regional jets. Two additional BAe 146 aircraft joined in 2003 and 2004. The newer fleet supported expansion into markets such as Belgium and Germany, although the airline remained a relatively small regional carrier exposed to fluctuations in passenger demand, leasing costs, aircraft availability, and regulatory requirements. Ownership changed again in August 2008, when Tirana-based Advanced Construction Group, led by Yahia Farwati, acquired all of the capital previously held by M.A. Kharafi & Sons Group. On 14 August 2009, the Evsen Group of Turkey was reported to have acquired 93 percent of the airline, while Advanced Construction Group retained the remaining 7 percent. During 2009, the company announced a new corporate image, additional destinations, and leased Boeing 737 and Boeing 757 aircraft from Air Slovakia. It also publicized prospective routes to destinations including Paris, Amsterdam, Milan, Rome, Athens, Jeddah, Beijing, and the United States, although the available historical account does not establish that all of these proposed services operated. The airline's final period was marked by falling passenger volumes, fleet complexity, and operational, technical, and financial difficulties. The repossession of leased aircraft from Air Slovakia further impaired its ability to operate. Albania's Civil Aviation Authority revoked Albanian Airlines' operating license on 10 or 11 November 2011, with the date reported differently in summaries of the event, and all flying operations stopped. A March 2012 court decision returned the 93 percent shareholding attributed to Evsen Group to Advanced Construction Group. Advanced Construction Group consequently held all reported shares, but the airline did not resume flights and is now defunct.

Albanian Airlines originated in May 1991 as Arberia Airlines, during Albania's transition from communist state control toward a more open economy and commercial aviation market. The initial operation used Tupolev Tu-134 aircraft. The airline was associated in contemporary descriptions with political figures from communist Albania, reflecting the unusual institutional and political environment in which private enterprise first developed in the country. In May 1992, the company was renamed Albanian Airlines and began public operations on 20 June 1992. The new airline was structured as a joint venture between Albtransport, a state-owned Albanian agency, and Tyrolean Airways of Austria. It initially operated a single leased De Havilland Canada Dash 8-102. Canadian pilots flew the aircraft and Canadian engineers provided maintenance support. Tyrolean Airways discontinued its contract in 1994 and took back the Dash 8, ending that phase of the operation. The airline was privatized in 1994 and sold to the Kuwait-based M.A. Kharafi & Sons Group. Operations were restarted on 1 October 1995 using one Airbus A320 leased from Shorouk Air of Egypt. A restructuring followed in 1997, after which the airline expanded its regular international services to a number of European destinations. Seasonal flights to tourist markets around the Red Sea were also operated. By 2001, the carrier was operating four Tupolev Tu-134 aircraft on scheduled routes from Tirana to Bologna, Frankfurt, Istanbul, Pristina, Rome, and Zurich. In July of that year, it began replacing the Tupolev fleet with BAe 146 regional jetliners. Two more BAe 146 aircraft were added in 2003 and 2004. This modernization supported the addition of services to markets such as Belgium and Germany, but it also left the airline dependent on a small and changing fleet in a competitive regional market. In August 2008, Advanced Construction Group, a Tirana-based company led by Yahia Farwati, acquired Albanian Airlines from M.A. Kharafi & Sons Group. On 14 August 2009, the Turkish Evsen Group was reported to have purchased 93 percent of the carrier, with Advanced Construction Group retaining 7 percent. The same period brought an effort to reposition the airline through a new corporate image, additional aircraft, and a wider destination strategy. Two Boeing 737 aircraft and one Boeing 757 were reported to have been added through leases from Air Slovakia. The airline announced possible future destinations including Paris, Amsterdam, Milan, Rome, Athens, Jeddah, Beijing, and the United States, but the available account does not confirm that every announced route entered service. The carrier later experienced lower passenger volumes and mounting operational, technical, and financial difficulties. The use of additional Fokker 100 aircraft and a Boeing 747 on scheduled routes increased the complexity of its operation, while leased aircraft from Air Slovakia were ultimately repossessed. Albania's Civil Aviation Authority revoked the airline's license in November 2011; sources summarize the action as occurring on 10 or 11 November. All flights ceased at that point. In March 2012, a court decision reportedly returned the 93 percent stake associated with Evsen Group to Advanced Construction Group. Advanced Construction Group therefore held all reported shares, but no subsequent flight operations resumed. Albanian Airlines is now a defunct carrier.

• 2012

  Reported ownership returned to Advanced Construction Group

  [1]Albanian Airlinesen.wikipedia.org

  A March court decision reportedly returned the 93 percent stake to Advanced Construction Group; the carrier did not resume operations.

• 2011

  Operating license revoked

  [1]Albanian Airlinesen.wikipedia.org

  The Albanian Civil Aviation Authority revoked the airline's license in November, ending its flying operations.

• 2009

  Evsen Group becomes reported majority owner

  [1]Albanian Airlinesen.wikipedia.org

  Evsen Group was reported to have acquired 93 percent of the airline, with Advanced Construction Group retaining 7 percent.

• 2008

  Acquired by Advanced Construction Group

  [1]Albanian Airlinesen.wikipedia.org

  Advanced Construction Group of Tirana acquired the airline from M.A. Kharafi & Sons Group.

• 2001

  BAe 146 fleet modernization begins

  [1]Albanian Airlinesen.wikipedia.org

  The company began replacing its Tupolev aircraft with BAe 146 regional jets in July.

• 1997

  Restructuring and European network expansion

  [1]Albanian Airlinesen.wikipedia.org

  Following restructuring, the airline expanded scheduled international services to additional European destinations.

• 1995

  Scheduled operations relaunched

  [1]Albanian Airlinesen.wikipedia.org

  The carrier restarted scheduled services on 1 October with an Airbus A320 leased from Shorouk Air.

• 1994

  Privatized and sold to M.A. Kharafi & Sons Group

  [1]Albanian Airlinesen.wikipedia.org

  The airline was privatized and transferred to the Kuwait-based M.A. Kharafi & Sons Group.

• 1992

  Renamed Albanian Airlines and opened to the public

  [1]Albanian Airlinesen.wikipedia.org

  The company adopted the Albanian Airlines name in May and began public operations on 20 June as a joint venture involving Albtransport and Tyrolean Airways.

• 1991

  Arberia Airlines established

  [1]Albanian Airlinesen.wikipedia.org

  The airline was initially founded in May 1991 as Arberia Airlines and began with Tupolev Tu-134 aircraft.

A local Albanian international airline serving point-to-point passenger travel between Tirana and European destinations.

• Passenger airline services · 1992

  Scheduled European passenger services

  The airline's principal offering was scheduled international passenger transportation from its Tirana base to European destinations. Recorded destinations included Bologna, Frankfurt, Istanbul, Pristina, Rome, and Zurich, with later accounts also referring to services or expansion into Belgium and Germany. The network changed over time as ownership, aircraft, and operating permissions changed.

• Seasonal passenger services · 1997

  Seasonal Red Sea services

  During the period after its 1997 restructuring, Albanian Airlines operated seasonal flights to tourist destinations around the Red Sea. These services supplemented its core European scheduled network and targeted leisure travel rather than constituting a separate long-term business division.

• Network development · 2009

  Prospective long-haul and regional expansion

  In 2009 the airline publicized possible new destinations including Paris, Amsterdam, Milan, Rome, Athens, Jeddah, Beijing, and locations in the United States. These announcements formed part of an expansion and rebranding effort, but the available historical source does not establish that all proposed routes operated commercially.

• 2009Corporate image and network expansion

  Albania · Europe · Middle East · Asia

  Following the reported change in ownership, Albanian Airlines introduced a new corporate image, announced additional aircraft, and publicized an expanded destination program. The plans included European, Middle Eastern, Asian, and eventually United States markets.

  Outcome. The expansion did not produce a sustainable operating platform. Passenger demand, fleet and leasing problems, and technical and financial difficulties contributed to the eventual end of operations.

  Source

• 2011

  Operating license revokedOther

  Background

  The airline's later operations were affected by weak passenger demand, fleet and leasing difficulties, and reported operational, technical, and financial problems.

  Action taken

  Albania's Civil Aviation Authority revoked Albanian Airlines' license in November 2011.

  Aftermath

  All flying operations stopped, and the airline did not resume commercial service after a subsequent 2012 ownership-related court decision.

  Source

• 2009

  Fleet and destination expansion under new reported ownershipStrategy

  Background

  Evsen Group was reported to have acquired 93 percent of the airline, while Advanced Construction Group retained 7 percent. The carrier sought to enlarge its presence and refresh its market image.

  Action taken

  The airline added leased Boeing 737 and Boeing 757 aircraft, introduced a new corporate image, and announced prospective services to a broad set of European and long-haul destinations.

  Aftermath

  The airline subsequently faced lower passenger volumes, aircraft repossessions, and operational, technical, and financial problems. It ceased flying after its license was revoked in 2011.

  Source

• 2008

  Acquisition by Advanced Construction GroupM&A

  Background

  The airline was sold by M.A. Kharafi & Sons Group after several years of private operation and network development.

  Action taken

  Advanced Construction Group of Tirana, led by Yahia Farwati, acquired the airline and its reported 100 percent capital.

  Aftermath

  The ownership changed again the following year when Evsen Group was reported to acquire a 93 percent interest.

  Source

• 2001

  Replacement of Tupolev aircraft with BAe 146 jetsGeneration change

  Background

  By 2001, the airline was operating four Tupolev Tu-134 aircraft on scheduled routes and sought to modernize its fleet.

  Action taken

  Beginning in July 2001, Albanian Airlines progressively removed Tupolevs and introduced BAe 146 regional jetliners, adding two more aircraft in 2003 and 2004.

  Aftermath

  The modernization supported expansion into markets including Belgium and Germany, although later fleet changes created additional operational complexity.

  Source

• 1994

  Privatization and sale to M.A. Kharafi & Sons GroupM&A

  Background

  The airline's original joint-venture structure operated during Albania's transition toward a commercially oriented aviation sector. In 1994, it was privatized and sold to the Kuwait-based M.A. Kharafi & Sons Group.

  Action taken

  The new owner relaunched scheduled services in 1995 using a leased Airbus A320.

  Aftermath

  The carrier expanded its European activity after a 1997 restructuring and continued operating under private ownership.

  Source

1. 1Albanian Airlinesen.wikipedia.org