The Czech Republic's two military aircraft repair and upgrade providers, Letecké opravny Kbely and LOM Praha, have begun merging their operations and aim to complete the process by June.
The Czech defence ministry says the amalgamation follows a reduction in the number of aircraft operated by the Czech army. "We have the capacity to take care of eight helicopters a year, but at the moment only one contract from the Czech air force is nearing conclusion," says Letecké opravny head Jan Rohovec.
LOM managing director Vladimír Zasadil says the merger will help the two companies survive by cutting wage costs. LOM and Letecké opravny, which employ 500 and 230 people respectively, have already given notice to 24 employees each. They are pinning hopes for future growth on the civil sector, which already provides about 12% of LOM's turnover.
Helicopters account for most of the companies' work, with LOM responsible for engines. LOM repairs Czech and Russian-built aircraft of former Warsaw Pact countries.
Source: Flight International
