The Ministry of Finance made an order on state guarantees of “UTair” to 9.5 billion rubles

Moscow. November 20. The Ministry of Finance submitted to the government a draft decree on the granting of airline “UTair” state guarantees on loans in the amount of 9.5 billion rubles, said a source in one of profile departments.

According to him, the project was submitted to the government on 30 October of the current year.

UTair is currently in a difficult financial situation, which has arisen amid falling demand for air travel. Last summer the carrier announced the launch of a programme to reduce costs.

As reported in February, UTair planned to request the government guarantees worth up to 38.4 bn In April it became known that the interdepartmental Commission at the Ministry of economic development has approved the application of airline “UTair” on granting state guarantees in the amount of 19.2 billion rubles. In summer, the head of the company Andrey Martirosov reported that “UTair” still needs the state guarantees, but the requested size is revised downward.