Sky Srpska: Operational Plan for comercial air service start up

The plan is based on the following indicators:

• Planned procurement of two new passenger aircrafts and their integration into the service can be expected in 2011;
• It is expected entering into the force of EU Member State's Decision on liberalization of the visa regime in BH which should take effect in the second half of 2010, and latest by the end of 2010, which will lead to increased demands for traveling from the Banja Luka Airport,
• It can be certainty estimated that the current market demand for commercial air services from the Banja Luka Airport are estimated at around 60,000 passengers per annum in terms of the visa regime;
• The current commercial air services from the Banja Luka Airport do not meet the needs of existing domestic and foreign markets;

All collected information as well as all previous decisions of the Republic of Srpska Government on the development of domestic air carrier, justify demands for this new domestic airline to start its operations to planned destination before the liberalization of visa regime and during the summer timetable 2010, while it can be took advantage of favorable commercial effects, which can accomplish the passengers arriving from abroad (especially our citizens from abroad), as well as it is necessary to enable for citizens of Republic of Srpska to use our domestic carrier and Banja Luka Airport as it's planned for the summer tourist travel in 2010.

Accordingly, the Sky Srpska Board has determined that it is necessary to plan and establish an appropriate business-technical cooperation with selected business partner, an airline which have high standards of business and owns a business, technical and professional capabilities to fulfill the highest requests for cooperation and assistance to "Sky Srpska" regarding to the fulfillment of the conditions necessary for the successful "start-up" and future safe and sustainable business development of "Sky Srpska" and who has relevant knowledge and experience and can offer all the required help and support for this domestic carrier to start operate, and which is primarily related to the mutual recognition of transport documents (interline / codeshare agreement), as well as giving the optimal use of reservation system (GDS) and technical assistance in the issuance of electronic ticket, as well as assistance in organizing operations.

After business negotiations leading past years with representatives of several airlines in the wider region of Southeast Europe, Sky Srpska Board, has gained a positive opinion that there is convenient and very favorable preconditions for the continuation of negotiations on acceptable modalities of business collaboration only with the airline Adria Arways from Ljubljana.

During the above mention decision-making Sky Srpska Board has particularly taken into account the fact that the "Adria Arways" the biggest airline in the nearer geographic area of Republic of Srpska, and it is full member of Star Alliance, with its head office in Republic of Slovenia which is a Mamer State of the European Union, in particular that "Adria Arways" from its master Airport in Ljubljana, has established and functional connection to the passengers' final destination, for which citizens who travel from the Republic of Srpska are particularly interested in, which indicates that the long term cooperation with this airlines will have the most favorable business impact on successful development of "Sky Srpska" as a scheduled domestic carrier from the Republic of Srpska.

Business negotiations with this company were completed in early June 2010, after which on 16.06.2010. in Banja Luka, in the presence of Republic of Srpska Prime Minister, representatives of the two airlines signed a Memorandum of understanding on long-term business-technical cooperation.

Purpose of this MoU is intention for establishment of all necessary and required Parties cooperation in order to implement the agreed and planned activities related to, but not limited to the modalities of business-technical cooperation of the two airlines to strengthening the capacity of Air-carrier "Sky Srpska" from Banja Luka, for independent commercial air services, as well as to agree a direct operational support that will provide "Adria Airways" from Ljubljana to "Sky Srpska" from Banja Luka, with the aim of rapid opening and commercial air services start-up from the Banja Luka International Airport, on the long-term basis of cooperation and mutual partnership the two companies.