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Romanian airline Tarom halves tariffs for domestic flights

Luni, 9 octombrie 2006, 0:00

Romanian airline Tarom has cut ticket prices for several domestic flights at half in an experiment to see the capacity of the company of keeping up with cheaper and cheaper competition once the country joins the EU. Passengers will have the chance to pay less for several destinations in the country, including Sibiu, Timisoara, Cluj, Baia Mare and Suceava starting October 15.

The new prices vary from 71 to 98 euro for a return ticket - still a lot more than budget companies demand for a regional flight.

The decision comes after Transport minister Radu Berceanu warned the company must cut its prices if it wants to stay on the market once the country joins the European Union, considering its services are outdated for the full prices it practices.

Berceanu also said that unless the experiment fails Romanians may pay as low as a third of the current prices for a domestic Tarom flight in the near future.

The state-owned Tarom was to be privatized in 2000 but the process was postponed due to lack of offers.

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