Pulkovo Air Transport, which runs airport and air services at St Petersburg, Russia, is planning a $280 million investment programme, including construction of new passenger and cargo terminals.

The investment will be backed largely by a loan from the European Bank of Reconstruction and Development, possibly joined by Deutsche Bank.

Pulkovo general director Boris Demchenko says that the first $78 million of the loan should be in place within the next few months allowing for construction of the new $140 million passenger terminal which is scheduled to start at the turn of the year. The plan is for Pulkovo-3 to serve up to 1,500 passengers every hour.

Construction of a new cargo terminal to handle up to 120,000t a year is also due to begin this month and Pulkovo intends to invite a Western airline to join in the $20 million project.

Finally, negotiations are taking place with Czech and Swiss banks to help fund the $120 million cost of developing a new 600-room three-star hotel.

The enterprise's captive carrier, Pulkovo Airlines, meanwhile, has posted encouraging figures for 1996, showing a 182 billion roubles ($32 million)profit after carrying 2.5 million passengers and 18,800t of cargo.

Figures for the first five months of 1997 show a continued fall of 20%in domestic passenger traffic, but a 7%rise in numbers of international travellers.

Source: Flight International