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Kiev Airport Warns It May Stop Servicing Aerosvit on Debt

Kiev’s Boryspil International Airport warned Aerosvit, a private Ukrainian airline, that it will cease servicing the carrier’s flights next week if it fails to pay debts by that time.

Boryspil today received a partial advance payment from Aerosvit for its services in the coming days and guarantees of forthcoming payment, the airport said on its website.

Aerosvit’s outgoing flights from Boryspil will not have ground service beginning on Jan. 9 if it fails to pay remaining service fees, according to the statement. The airport said earlier flights would be canceled shortly after noon as no advance payments were made.

The Kiev regional economic court started bankruptcy procedures against Aerosvit on Dec. 29, according to the website of the national registry for court decisions. Aerosvit has outstanding debt of 4.27 billion hryvnia ($520 million) as of Dec. 27, which it does not dispute, according to the court’s statement on the website. The company’s assets are worth 1.47 billion hryvnia as of Nov. 30, the court stated.

Aerosvit spokesman Serhiy Kutsyi did not answer his office phone when called by Bloomberg today.

Hundreds of passengers whose flights were delayed crowded Boryspil airport today, local television Channel 5 reported.

Aerosvit was founded in 1994 and by 2012 was operating 80 international routes in 34 countries, according to its website. It operates 28 Boeing aircraft and uses Airbus aircraft of its partners.

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