Romania’s flagship airline TAROM has a newly established technical arm – TAROM Tehnic, tasked with providing maintenance and repair services for civil aircraft, specializing in Boeing, Airbus and ATR models. The new entity will continue the tradition and expertise of the technical teams of the former TAROM Technical Department, a company release informs.

„This strategic transformation addresses the need to modernize and streamline operations, but also responds to the demand of a broad customer market, including international airlines and cargo operators. This initiative is part of TAROM’s restructuring plan, which is key for complying with the requirements set by the European Commission for the approval of state aid. Thus, TAROM Tehnic starts off with a clear goal: to become a major player in the regional aircraft maintenance and repair services industry. TAROM’s overhaul through the implementation of the restructuring plan agreed upon with the EC has led to the improvement of the company’s financial results in 2024. Thus, after running at a significant loss for 8 years, the company managed to reverse this trend, cutting its losses to less than a third in 2023, and for 2024 it estimates a return into the black,” the release states.

The new company will generate revenues of up to 10 million euros in the first year of operation, and the figure is forecasted to grow to 30-35 million euros in the next 3-5 years. It will tackle a very dynamic segment of the European aviation market, specifically the commercial and cargo aircraft maintenance segment, as its multi-brand certifications and competencies (Boeing, Airbus and ATR) give it an edge over the main competitors in the industry, the release states.

The personnel of TAROM’s current technical department will be integrated into the new company, under the same type of contracts and working conditions. Tarom Tehnic will conclude a maintenance and repair contract with TAROM, thus ensuring technical services for the entire fleet.

„Efficiency of operations is a key goal of TAROM Tehnic, aiming at modernizing maintenance and repair processes, as well as reducing aircraft downtime by using advanced technologies. This allows for greater operational flexibility and an increase in the quality of the services offered. Diversifying the customer portfolio represents another strategic pillar, by expanding services to international airlines, including low-cost, scheduled and cargo operators,” the company notes.

Strategic partnerships will also play an essential role, through collaboration agreements with leaders in the aviation industry.

„These partnerships will allow the company to offer a full range of services, increasing the competitiveness and visibility of TAROM Tehnic on the international market, but also attracting potential strategic partners and financial investors as a future stage in the company’s development. Training and certification services are an integral part of the development strategy. The programs offered will comply with EASA regulations and will contribute to the development of the technical skills of the staff, thus strengthening the company’s position as a full service provider for the maintenance of Boeing, Airbus and ATR aircraft. With a long-term vision, TAROM Tehnic aims to become a center of excellence in technical services for aircraft, contributing to the development of an educational and industrial ecosystem that will support the growth of technical skills and the consolidation of Romania’s position in regional aviation. At the same time, TAROM intends to continue the restructuring process through fleet renewal, commercial optimization (ancillary revenues), operational efficiency and cost optimization,” the airline’s representatives said.

On April 29, 2024 the European Commission approved a restructuring aid worth 95.3 million euros for TAROM.

Romanian state-owned airline TAROM was founded in 1954 and reorganized in 1998 as a joint-stock company, becoming the Romanian National Air Transport Company.

The Romanian state, through the Ministry of Transport, Infrastructure and Communications, directly owns 97.25 percent of the shares. The other minority shareholders are the Bucharest Airports National Corporation (CNAB) – with 1.44 percent, the Romanian Air Traffic Services Administration Romatsa RA – with 1.23 percent, as well as Muntenia Investment Fund – a private shareholder which holds 0.08 percent of the stake.

AGERPRES