Aeroflot not interested in buying carriers abroad

Russia's largest airline, state-controlled OAO Aeroflot, is no longer interested in buying carriers outside its home market, according to the company's chief executive, Dow Jones reported.

Vitaly Saveliev was appointed CEO last year, replacing Valery Okulov, under whose leadership the company had considered buying stakes in Alitalia, Austrian Airlines and Serbia's JAT Airways. Saveliev said that those proposals never made "strategic sense."

"I don't see the point in buying minority stakes in foreign companies," Saveliev said, adding that the country's flag carrier ought to concentrate on growing its share of the domestic market.

"In order to be leader in the world, you need to be leader at home," he said.

Aeroflot recently took a big step toward growing that share, when it assumed management control of six regional Russian airlines. However, Saveliev said Aeroflot hasn't yet agreed on how to structure the deal with Rostekhnologii, the state holding that currently owns the regional carriers.  
(Source:www.cargonewsasia.com)