Airlines

Italian carriers Meridiana and Eurofly have formally established their joint overhaul company and named it Meridiana Maintenance.

The company is being set up in partnership with Spanish flag-carrier Iberia, and has its headquarters at Meridiana's Sardinian maintenance centre in Olbia. Meridiana Maintenance has begun the process of obtaining necessary licences in order to start operating from November.

It intends to increase revenues from around €40 million ($59 million) this year to €50 million in 2012, an increase of 25%, and expand the number of personnel from 320 to over 460 within five years.

Meridiana and Eurofly are discussing with trade unions plans for transferring technical staff at each airline to the new organisation.

The company will have four hangars with a total of eight bays, including a dedicated aircraft-painting facility.

Meridiana Maintenance will be able to handle Airbus A330s as well as A320s, Boeing 737s and MD-80s. Aside from servicing its own aircraft, and those of Iberia, it will provide maintenance to Africa's Celestair Group carriers Air Uganda, Air Burkina and Compagnie Aerienne du Mali.

It expects to invest some €15 million in logistics, training and equipment over the first two years.

Meridiana chief Giovanni Rossi says the group's expansion of the maintenance arm is part of a "long-term vision" to strengthen the economic interests of Sardinia. He adds that Iberia's participation illustrates the "credibility and know-how" of the new company.