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Aeroflot shares rise by over 4% after meeting with President

According to Vladimir Putin, the government strives to support all air carriers

MOSCOW, August 26. /TASS/. The price of Aeroflot shares rose by 4.12% to 28.3 rubles ($0.47) per share on the Moscow Exchange on Friday.

As of 15:30 Moscow time, the price of the company's shares rose by 3.38% to 28.1 rubles ($0.46) per share.

The company prices rose following a meeting between the airline’s General Director Sergey Alexandrovsky and Russian President Vladimir Putin.

At the meeting, Alexandrovsky said that Aeroflot plans to contract supplies of more than 300 Russian jets. "We plan to make contracts for 323 domestic airplanes in total, including 73 - Sukhoi Superjet planes, 210 - MC-21, already in the new design with Russian engines - airplanes with import substitution, and 40 Tu-214 aircraft. Such huge volumes will certainly require additional resources from us. Extra pilots of about 3,500 will be needed to be involved in this program; eight full-fledged pilot simulators will also be needed. This is a very strong impetus for development of the company not merely in the midterm but also in long term," the top manager said.

Aeroflot plans to sign the contract for purchase of 300 MC-21, Tu-214 and Sukhoi Superjet 100 airplanes shortly, Russia’s Industry Minister Denis Manturov said in June.

In turn, Putin said that the government strives to support all air carriers. "The government endeavors to support all carriers, including Aeroflot. Aeroflot in the first instance as our champion in transportation. The government allocated, to my mind, 50 bln rubles ($833.3 mln - TASS)," the head of state said. These funds are intended to cover operating expenses for the passenger traffic, with the first tranche already received, Putin added.

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