A summary of S7’s activities in 2006
In 2006, S7 carried almost 5 million passengers and operated more than 40,000 flights. This growth in performance indicators was due to the modernization of our fleet and expansion of our route network. The most important events of 2006 included passing the IOSA flight safety audit and converting to the brand name S7 Airlines.
In 2006, S7's aircraft spent 122,600 hours in the air, making 40,433 flights and carrying 4,900,000 passengers (16.4% more than in 2005). 60% of the passenger traffic came on domestic routes, and 40% on international ones. The number of passenger kilometers flown rose to 12,500,000,000 (14.2% up on the 2005 figure). The volume of cargo and post carried in 2006 was 28,903 tonnes (up 12% on the 2005 figure).
S7 substantially increased its fleet in 2006: 14 foreign-made aircraft entered into service, including 6 Airbus A319s, one of the most advanced aircraft in its class today. In addition, we boosted our fleet with 2 Boeing 737-400s (a new model for us), 2 Boeing 737-500s (bringing our total number to 10), and 4 Airbus A310s (bringing our total number to 7). At present, we own 25 foreign-made aircraft. Thus, S7's fleet is the second-largest in Russia and the rest of the CIS, after Aeroflot's (which consists of 27 aircraft). Including Russian-made aircraft (9 Ilyushin Il-86s and 27 Tupolev Tu-154Ms), S7 has 61 long-haul aircraft.
In 2006, we launched 9 new scheduled routes from Moscow, to Samara, Perm, Astrakhan, Khabarovsk, Magadan, Kurgan, Osh (in Kyrgyzstan), Urgench (in Uzbekistan) and Chi?in?u (in Moldova). We extended our route networks from Novosibirsk and Irkutsk, and set up a hub at Chelyabinsk with flights to cities such as Saint Petersburg, Sochi, Anapa, Yerevan (in Armenia), Almaty (in Kazakhstan), Khujand and Dushanbe (both in Tajikistan). The frequency of regular flights was substantially increased on many of our routes.
One of the most important events of 2006 was passing the IATA Operational Safety Audit (IOSA), the global benchmark for airline operational safety. S7 has become Russia's second airline, following Aeroflot, to pass this audit.
Since March 2006, all our services have been offered under the new brand name S7 Airlines, an important step in our rebranding process. We ran a massive, nationwide advertising campaign without equal in the airline market.
Throughout 2006, we worked intensively to develop our partner links with other Russian air carriers and foreign airlines. We concluded 9 new interline agreements (on the reciprocal acceptance of travel documents), with Pulkovo Airlines, Altyn Air, TAP Air Portugal, Singapore Airlines, Air Baltic, SilkAir, TAROM - Romanian Air Transport, Georgian Airlines and Japan Airlines, plus 9 code-sharing and 4 special prorate agreements with different airlines.
In 2006, we continued to introduce new technology to our sales and flight dispatch operations, including electronic tickets. Internet ticket sales took the next step forward as, in October, S7 became the first Russian airline to give its passengers the chance to buy tickets at bargain web fares. In Moscow, Novosibirsk, Chelyabinsk and Kemerovo, new through check-in service technology for S7 transfer passengers with connecting flights at Domodedovo or Tolmachevo airport has been introduced thanks to joint efforts from S7 and the airport authorities.