Russia's second largest airline, Sibir Airlines, is continuing its expansion policy of acquiring airlines with aircraft and routes.
Last month it reached an agreement with the Armenian government to replace the almost bankrupt flag carrier Armenian Airlines on most of its 29 routes. This will allow Sibir and its local partner Armavia to use the flag carrier's aircraft and staff this summer. Armavia is expected to seek more Airbus A320s.
Sibir is also in negotiations to take over another Russian airline, which sources indicate is Chelyabinsk-based Enkor.
Ukraine has agreed to pay around $10 million in compensation to the relatives of 51 Israelis who died on the Sibir Airlines Tupolev Tu-154 that was shot down on 4 October 2001.
Source: Flight International
