Aeroflot board opts to dispose of non-core assets

Moscow
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Russian flag carrier Aeroflot is preparing to dispose of some non-core assets as a source of cash.

The board of directors has proposed offloading Aeroflot's stakes in four companies as an initial step.

Alongside a 66% stake in duty-free retailer AeroFirst, the holdings include part of packing specialist AM-Terminal and Transport Clearing Chamber, as well as wholly-owned tour operator Alt Raizer.

Aeroflot says it will put these interests up for sale by the end of 2013, estimating that its bottom line could appreciate by Rb900 million ($28 million) as a result.

Aeroflot has also decided to liquidate in-house freight forwarder Transnautic Aero, but it will keep its 9% stake in Sheremetyevo International airport until at least 2014.

The board says Aeroflot's financial, training and catering arms will be retained as legal entities within the group, citing their importance for the core airline business.