Ukraine International Airlines (UIA) estimates losses from Ukraine’s sanctions against Russian airlines and possible Russian retaliatory sanctions at more than USD 35 million per year, the Interfax Ukraine news agency reports, citing the press service of the company.

UIA calculated that it will lose USD 19.6 million per year from operation of flights, USD 5.8 million per year from operation of flights on its network of routes, and USD 850,000 per month from the idling of the three aircraft involved in operation of these flights as a result of the imposition of Ukrainian sanctions on Russian airlines and if Russia imposes counter-sanctions against Ukrainian airlines (if Ukrainian airlines are banned from operating direct flights from Kiev to Moscow, St. Petersburg, and Kaliningrad).

The company estimates that the volume of passengers transported to/from and via the Borispol airport will reduce by 299,000 per year.

In addition, according to UIA, its losses from the decision to ban its aircraft from using the Russian airspace (introduced last year) for transit flights to Kazakhstan, Uzbekistan, China, and Thailand amount to USD 6.4 million per year.

As reported, the Ukrainian sanctions affect more than 20 Russian airlines, including Aeroflot and three of its subsidiaries, as well as Transaero and Siberia. They all face "restrictions, partial or complete termination of transit of resources, flights, and transportation through the territory of Ukraine." However, it is still unclear how the sanctions will be applied in practice. There is only a statement from the general director of the Borispol airport stating that the ban will apply only to flights of Russian airline over the territory of Ukraine.