Azernews.Az

By Sabina Idayatova

No airline will remain in Armenia after the national airline Armavia stops its activity, the company's staff members said following the announcement of bankruptcy by the airline on March 30.

The airline suspended flights and began bankruptcy procedures on Monday.

"At present, it is impossible to work any longer. Therefore, a decision was made to stop flying and start bankruptcy proceedings," the company said.

Blaming the government for the bankruptcy, the company's workers expressed astonishment that one of the most important entities of the country -- calling it the second important one next only to the army -- is going out of business, 'but they don't know anything'.

"Maybe you specifically brought the situation with Armavia to its bankruptcy in order to justify yourselves in the eyes of the people, in order to accuse us of mismanagement," the letter reads.

"It is not just a store or even a company with 400 employees being closed. A few people understand the depth of the tragedy and its future consequences. They could not withstand the competition, did not find markets for products, and our market is small, the technologies are old, the machines are left from the communist era, the management is wrong - these are the favorite words of our leaders," the employees' letter says.

Meanwhile, local media reported that several people who bought Armavia tickets are holding a protest rally on the Republic Square in Yerevan.

The company did not refund tickets and flights are no longer being made.

The media reports also said that now three options for the future of Armavia are being discussed.

According to the first option, the owner of Armavia may be an American company. The second scenario assumes that investors from Italy may acquire the company. The third option envisions 51 percent of the airline's shares being purchased by the Armenian government itself.

The license for the operation of Armavia expired on March 14, but the Armenian government has not yet decided on its extension.

Armavia airline was established in 1996. In 2005, all the shares were transferred to Mika Limited president Mikhail Bagdasarov, one of the biggest Armenian entrepreneurs. In November 2012, Bagdasarov announced his intention to sell the company because of the economic crisis as well as the losses from the operation of new Russian aircraft SuperJet.