Jozsef Varadi: Closure of Wizz Air Ukraine allowed to avoid financial problems for parent company

22 May 2015 15:05

The closure of Wizz Air Ukraine by its parent company Wizz Air Hungary has enabled Wizz Air Group to avoid the regulatory policy of the National Bank of Ukraine regarding the currency exchange, the Interfax Ukraine news agency reports, citing Wizz Air CEO Jozsef Varadi.

"All of our revenues were in hryvnia, while expenses - in foreign currency, we could not freely exchange hryvnias. Now, performing flights as Wizz Air Hungary, we will not be regarded as a national legal entity and currency exchange rules will not apply to us," he told Ukrainian journalists in Budapest.

According to Varadi, this is more commercially feasible for the group.

"However, the negative side is that we cannot carry out some flights, permits for which we obtained when we were a Ukrainian airline and a Ukrainian legal entity. For example, now we won't be able to fly to Kutaisi and Moscow, but we will cover most Eastern Europe destinations, where Wizz Air Ukraine was flying," the CEO said.

When asked about flights to Lviv, Varadi said the company would like to carry out these flights, but it was decided to open a base in Kyiv and fly from Kyiv to Eastern Europe.

"But we will consider the possibility of flying from Lviv in the future," he said.