Negotiation regarding overhaul of four Serbian flag carrier air craft engines closed

JAT AIRWAYS FLEET COMPETE

Engines of the currently landed Jat Airways planes will be overhauled by the experts from German company Lufthansa Technik that gave the best offer at the just completed negotiations. This overhaul is going to restore function of planes so they could become part of Serbian flag carrier's fleet, thus allowing further implementation of measures for the business consolidation of the Company. Engines will leave Serbia during the following week while the deadline for the completion of works is 51 calendar days. Total value of this work is 5, 5 million American dollars and is due after the completion of works.

At the end of February, an invitation to submit offers and participate in negotiations for the overhaul of four engines was sent to the four prestigious world companies in this area (Lufthansa Technik from Germany, Bedeck from Israel, Snecma from France and NEC from Norway) as well as to Jat Tehnika, the domestic company that was the only one not to respond to the invitation. After the public opening of bids on March 10, 2010, an interview was made with all bidders and was decided that the offer of Lufthansa Technik was economically the most favorable one, considering the price, technical conditions and guarantee.

Number of Jat Airways passenger in first two months, compared to the same period last year, rose 3, 2 per cent, despite the global crisis in air traffic and the fact that only 9 of 15 planes were in operation during this period.