The Geneva airline Baboo has ended the year 2008 with positive results, despite an unfavourable economic environment. Baboo has been able to achieve this strong growth thanks to a sound expansion strategy, a strengthened management and the support from its main investor, M1 Group.

With a turnover of CHF 56 million (+87% on 2007) and 295,000 passengers carried (+75% on 2007), Baboo has posted some good results for 2008. These results form part of a development phase that involves the airline as a whole.

This growth has taken the shape of – among others things – the delivery of three new aircraft that have tripled the airline’s seat capacity. Three 100-seat Embraer 190 jets were delivered in May and June 2008, increasing the fleet from two to five aircraft - and thus from 148 to 448 seats – which represents a major development for an airline of this size. In addition, seven new destinations were added to the Baboo network, taking the total number of destinations to 18 (excluding charter flights). In response to this expansion, an intensive recruitment policy enabled the airline to attain a headcount of 200 at December 31, 2008, whereas it had numbered 115 staff at December 31, 2007.

The financial crisis and the increase in the cost of fuel have affected Baboo’s business activity, but not as much as that of other airlines. This is attributable to a number of factors: Baboo has an up to date fleet of new aircraft that consume less fuel, it operates flights to short-haul destinations and its revenues are in euros (and not in dollars). “If the market so permits, a recession can generate some fine opportunities. Our small size gives us maximum flexibility and enables us to be reactive in the market. That is what will enable us to strive to achieve in 2009 the objectives that we set ourselves at the beginning of this expansion phase”, commented Jacques Bankir, CEO of Baboo.