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traded on the stock market, he says, El fact that Israel is not a natural hub.
Passengers do not want to fly all the
Al must boost revenues and profits if
way
to Israel and then double back to
it hopes to succeed.
Europe, and Tel Aviv hasn't been seen
"The objective is different. Being a
as a natural way station on the way to
private company," he says, "there is a
the Far East.
very simple objective: Make money."
Borovich says El Al is looking into
The Israeli government's objective
synchronizing
flight schedules from
was to establish a presence in many
the
Eastern
and
Western hemispheres
markets, based not simply on econom-
to
make
flights
to
the Far East from
ic considerations, but also on political
the
United
States
and
Europe more
concerns.
convenient. And, he says, Ben-Gurion
"Our objective," Borovich says, "is
International Airport's new terminal,
to make money, period."
inaugurated last December, will make
In this vein, El Al will be looking at
flying El Al more attractive.
each of its routes to determine its eco-
El Al's financial fortunes also are
nomic value,, adding routes where nec-
linked
to tourism to Israel, an arena
essary and perhaps pulling others.
often adversely affected by the region's
For example, the company is inves-
unstable political climate. But things
tigating possible nonstop flights to
are getting better in Israel, Borovich
Israel from Chicago and Miami,
says. "We are already seeing an
Borovich says.
increase in the traffic we are moving
A former professor of information
around," he says.
systems at Tel Aviv University,
According to one El Al flight atten-
Borovich says El Al's improving for-
tunes demonstrate a principle many in dant, however, not much has changed
since privatization.
the airline industry have long been
The woman, who asked that her
aware of Airlines should not be run
name
not be used, says that there are
by governments.
rumors
among her colleagues that El
Still, the company continues to face
Al
might
begin putting staff up in less
a unique set of economic challenges.
luxurious
hotels on trips to the dias-
The carrier does not operate on
pora, though no such move could be
Shabbat, leaving it with one day less
confirmed. But, she says, employees
each week to make money than its
competitors.
MacAyeal
says its "com-
mon knowl-
edge" that El Al
loses $35- 90
million a year
because of the
Shabbat issue.
Borovich has
no plans to
change the air-
line's Shabbat
policy. But he
would consider
"innovative
solutions" to
the dilemma,
An El Al jet sits on the runway.
including look-
ing into letting
other airlines
operate flights on El Al's behalf during were happy to receive a $400 bonus at
Passover.
the Shabbat period.
El Al now is planning to expand its
MacAyeal says religious restrictions
range
of services and clients, offering
"aren't as unusual as you might think,"
its
expertise
in maintenance, tourism
citing several supermarket chains in
the Midwest and a fast-food restaurant services, ground handling and security
to other airlines.
chain that do not operate on Sundays,
"Our philosophy is that we should
the Christian Sabbath.
use
our business and our know-how"
Religious affiliation "might create
to
sell
to other carriers, Borovich says.
customer loyalty," which makes it easi-
"Everything
that we know how to do,
er to take cost-cutting measures such
we
do
very
professionally.
as increasing fares, he adds.
"Believe me, we'll be successful." CI
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