Aeroflot expects to establish low cost carrier by 2014: report

Aeroflot expects to establish a low cost carrier by 2014 which will offer customer fares 20% to 40% cheaper than traditional carriers, according to a Kommersant report. The airline will be based at either Moscow Sheremetyevo or Moscow Vnukovo. The airline's core product will be very different from Aeroflot's and it will operate as a separate entity. The airline will first develop the most profitable routes across Europe and then later develop local and regional networks.