Estonia: Nordica relaunch without LOT is imminent

Bombardier CRJ-900 (Photo: Nordica).
Bombardier CRJ-900 (Photo: Nordica).

Estonia: Nordica relaunch without LOT is imminent

Bombardier CRJ-900 (Photo: Nordica).
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After the Estonian bankruptcy, the Estonian government launched a new player under the Nordica brand. At first they cooperated with Adria Airways, from which they parted in a dispute. After the subsidiary Regional Jet was granted its own AOC, operational flight operations were transferred to it.

Nordica itself is a virtual carrier, but it is no longer active externally. Those routes that were of interest to the partner LOT are carried out by Regional Jet on behalf of the Poles. The ACMI provider has since reinvented itself under the name Xfly and also flies for various other airlines. But that is exactly what is controversial in politics in Estonia, because why does the state have to hold a majority in an ACMI provider? LOT has a 49 percent stake.

Now it seems that Estonia is thinking of restarting the Nordica brand, because the condition for a capital increase of 30 million euros is now that the state should take over the LOT shares. This would mean that Nordica and its subsidiary Xfly would be nationalized. At the same time, however, it is announced that (partial) privatization is to take place within seven years.

What exactly the Estonian government is planning is unclear. In any case, it has already been declared that twelve routes from Tallinn will be reactivated under the Nordica brand. The operational implementation is to be carried out by the subsidiary Xfly. However, it is also applying for subsidized domestic routes in Finland. It is also unclear whether the cooperation with LOT will be continued or whether flight numbers will be used by Xfly in the future. In any case, Finland would be using one's own code for the first time. The government's Nordica relaunch plans do not yet seem fully fermented.

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