Case Study: airBaltic achieves profitability and fleet renewal with PA Consulting

Airline Restructuring and Fleet Selection

PA Consulting worked with airBaltic, the Latvian airline, when a newly appointed CEO needed a rapid health check of the business and guidance on fleet, network, commercial, and financial strategy. The airline was facing survival concerns and needed help identifying strategic options for a long-term turnaround plan.

PA Consulting delivered an initial diagnostic of airBaltic’s business model, fleet, lease portfolio, and financials, then supported fleet selection, network restructuring, and turnaround planning, including evaluation of Airbus, Boeing, and Bombardier options. The work led to quick wins in revenue management and leasing, improved efficiency and aircraft utilisation, and an immediate US$12m improvement to the bottom line; airBaltic later moved from an approximate S$110m loss in 2012 to profitability and secured private investment.

airBaltic

Martin Gauss

Chief Executive Officer