Arkaim (airline)
Encyclopedia
Arkaim, LLC is regional Russian airline based in Ufa
Ufa
-Demographics:Nationally, dominated by Russian , Bashkirs and Tatars . In addition, numerous are Ukrainians , Chuvash , Mari , Belarusians , Mordovians , Armenian , Germans , Jews , Azeris .-Government and administration:Local...

, Bashkortostan
Bashkortostan
The Republic of Bashkortostan , also known as Bashkiria is a federal subject of Russia . It is located between the Volga River and the Ural Mountains. Its capital is the city of Ufa...

. As of July 2010, it performs regional passenger flights from Ufa to Ekaterinburg (Koltsovo Airport), Nizhniy Novgorod (Strigino Airport) and Sibay
Sibay
Sibay is a town in the Republic of Bashkortostan, Russia, located on the border between Europe and Asia, on the east slope of the Southern Urals, in the spurs Irendyk, from Ufa and from Magnitogorsk . Population:...

, a town in SE Bashkortostan. In the future, the airline also plans to operate a flight to Neftekamsk
Neftekamsk
Neftekamsk is a city in the Republic of Bashkortostan, Russia, located on the Kama River, from the republic's capital Ufa. Population: The city's territory borders with Krasnokamsky and Yanaulsky Districts of the republic. A road network connects the town to Ufa, Birsk, Yanaul, Agidel,...

, another regional town in Bashkortostan.

It plans to lease or purchase 7 Boeing or Airbus aircraft.

History

The company, named after Arkaim
Arkaim
Arkaim is an archaeological site situated in the Southern Urals steppe, north-to-northwest of Amurskiy, and south-to-southeast of Alexandronvskiy, two villages in the Chelyabinsk Oblast, Russia, just to the north from the Kazakhstan border....

, an ancient settlement in the South Urals, was registered on 19 April 2009 by former deputy general director
General Director
In CIS corporate governance, the general director is the highest executive position in a company, analogous to a US CEO or a UK managing director...

 of Ufa International Airport Nikolay Ogedov with registered capital of 10 thousand rubles
Russian ruble
The ruble or rouble is the currency of the Russian Federation and the two partially recognized republics of Abkhazia and South Ossetia. Formerly, the ruble was also the currency of the Russian Empire and the Soviet Union prior to their breakups. Belarus and Transnistria also use currencies with...

. Until 2002, Ogedov was general director of BAL Bashkirian Airlines
BAL Bashkirian Airlines
BAL Bashkirian Airlines was an airline with its head office on the property of Ufa Airport in Ufa, Russia. It operated regional and trunk routes from Ufa and charter services to Europe, Asia and North Africa. It filed for bankruptcy and suspended operations in April 2007...

, but was forced to resign in the aftermath of the midair collision of a BAL Tu-154 over Germany. A decree on the development of the air transport industry for 2009 –2020 signed by the President of Bashkortostan
President of Bashkortostan
The President of Bashkortostan is highest executive position in the Republic of Bashkortostan, a federal subject of Russia.The President of Bashkortostan is appointed for a five-year term and must be a citizen of the Russian Federation who is at least thirty years old.As of June 2009, the first and...

 in May 2009 allocated some 30 billion rubles
Russian ruble
The ruble or rouble is the currency of the Russian Federation and the two partially recognized republics of Abkhazia and South Ossetia. Formerly, the ruble was also the currency of the Russian Empire and the Soviet Union prior to their breakups. Belarus and Transnistria also use currencies with...

 for investment in the industry, with 5 billion rubles being earmarked for the creation of the airline, which according to Salavat Kutushev, the General Director of Ufa International Airport, will create 700 jobs.

The company which was incorporated on 19 April 2009 is intended to take over as the national airline of Bashkortostan from BAL Bashkirian Airlines
BAL Bashkirian Airlines
BAL Bashkirian Airlines was an airline with its head office on the property of Ufa Airport in Ufa, Russia. It operated regional and trunk routes from Ufa and charter services to Europe, Asia and North Africa. It filed for bankruptcy and suspended operations in April 2007...

, which was liquidated in 2005, and will operate routes flown by the former airline, in particular from Ufa International Airport to Moscow
Moscow
Moscow is the capital, the most populous city, and the most populous federal subject of Russia. The city is a major political, economic, cultural, scientific, religious, financial, educational, and transportation centre of Russia and the continent...

. After the liquidation of BAL, the government of Bashkortostan was to take a 26% stake in Air Bashkortostan
Air Bashkortostan
LLC Air Bashkortostan is an airline based in Ufa, Bashkortostan, Russia. It operates scheduled services between its base at Ufa International Airport and Moscow Domodedovo Airport.-History:The airline started operations on April 10, 2006...

, but the deal never eventuated due to the lack of funds in the local budget. Air Bashkortostan, which is now 100% owned by VIM Airlines
VIM Airlines
VIM Avia, commonly known as VIM Airlines, is an airline based in Moscow, Russia, operating international scheduled and charter, passenger and cargo flights out of Moscow Domodedovo Airport, as well as offering aircraft wet lease.-History:...

, has not operated flights from Ufa since 2008, instead its four Boeing 757
Boeing 757
The Boeing 757 is a mid-size, narrow-body twin-engine jet airliner manufactured by Boeing Commercial Airplanes. Passenger versions of the twinjet have a capacity of 186 to 289 persons and a maximum range of , depending on variant and cabin configuration...

s operate in Iran and on charter flights for its parent company
Parent company
A parent company is a company that owns enough voting stock in another firm to control management and operations by influencing or electing its board of directors; the second company being deemed as a subsidiary of the parent company...

. Expected to begin operations by the end of 2009, the airline also expects to add flights on local routes from Ufa to Neftekamsk
Neftekamsk
Neftekamsk is a city in the Republic of Bashkortostan, Russia, located on the Kama River, from the republic's capital Ufa. Population: The city's territory borders with Krasnokamsky and Yanaulsky Districts of the republic. A road network connects the town to Ufa, Birsk, Yanaul, Agidel,...

 and Sibay
Sibay
Sibay is a town in the Republic of Bashkortostan, Russia, located on the border between Europe and Asia, on the east slope of the Southern Urals, in the spurs Irendyk, from Ufa and from Magnitogorsk . Population:...

, possibly utilising Let L-410 Turbolet-sized aircraft.

According to Kommersant
Kommersant
Kommersant is a commerce-oriented newspaper published in Russia. , the circulation was 131,000.- History :The newspaper was initially published in 1909, and it was closed down following the Bolshevik seizure of power and the introduction of censorship in 1917.In 1989, with the onset of press...

, industry experts and competitors do not give the airline a chance at success, due to intensive competition on trunk routes, and the lack of a regional air travel market in Bashkortostan. Andrei Martirosov, the general director of UTair Aviation, does not believe that there is available US$500 million in Russia with which to build a network airline and also stated that he is not afraid of competition from the potential start-up airline. Sources of Kommersant at Ufa International Airport believe that the airline would not stand much of a chance on the Moscow sector due to competition from incumbent airlines. Boris Rybak, the general director of Infomost believes that regional aviation in Bashkortostan is still in its infancy, and passenger traffic from Ufa is small.
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