Aeroflot severs connections with Aeroflot Nord following fatal crash

16 September 2008

Aeroflot announced yesterday that it was severing connections with Aeroflot Nord following Sunday's fatal crash of a 737-500 operated by the regional affiliate. The Russian flag carrier said Nord would no no longer operate flights under its code nor be allowed to use its name.

"A decision has been taken to completely sever cooperation with Aeroflot Nord," CEO Valery Okulov said at a Moscow news conference. "We have paid too big a price for providing our logo to the company."

Aeroflot owns a 51 per cent stake in Nord and described the carrier as a "subsidiary" prior to the crash, which killed all 88 passengers and crew.

It is unclear whether it will retain its stake, but Okulov said that going forward Aeroflot would operate flights previously delegated to Nord with its own mainline aircraft.

Aeroflot has announced its decision even as Russian authorities began to investigate the crash.

The 737-500, enroute from Moscow Sheremetyevo, was approaching Perm for a landing when it lost radio contact at 3,600 ft and crashed just hundreds of meters from a residential area on the city's outskirts.