Military

Russian Helicopters Has Not Slowed Since Hiring New CEO

By S.L. Fuller | February 23, 2017
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Mi-17, Mi-8

Photo courtesy of Russian Helicopters.

It has been one month since Russian Helicopters announced its new CEO, Andrey Boginsky. Since the announcement, the manufacturer has not slowed its event attendance, with recent appearances at Aero India and IDEX, among others. Russian Helicopters hasn’t slowed down the expansion of business, either. While at the shows and elsewhere, it has created several deals and partnerships, including after-sales services in India, the Middle East and Africa. And now, news outlets have reported that Russian Helicopters is now attempting to sell a minority stake in the state-owned company for further expansion into the Middle East.

Boginsky takes the helm only a few months after former Russian Helicopters CEO Alexander Mikheev received a five-year contract extension. Announced by the company Sept. 30, 2016, Mikheev’s extension was attributed to an increase in revenue during 2015.

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“During the three years under Alexander Mikheev’s guidance, Russian Helicopters has shown constant growth of all key financial indicators. In 2015, annual revenue increased by 29.5% to RUB 220 billion, and profit increased by 103.7% to RUB 42.2 billion,” said CEO of Rostec Corporation Sergey Chemezov in the September announcement. “Presently, despite the turbulent conditions of the global helicopter market, Alexander Mikheev has a task of helping not only to strengthen the positions of Russian Helicopters in the medium and heavy aircraft niches, which are traditional for the Russian helicopter industry, but also to enter new, prospective markets in Africa, Asia, Latin America and the Middle East with new offers.”

Russian Helicopters has not offered an explanation regarding Mikheev’s departure. The company has offered, though, that Boginsky was previously the deputy minister of Industry and Trade of the Russian Federation. He had also been on the Russian Helicopters Board of Directors since June 2015.

“Today, Russian Helicopters is one of the leading companies in the global helicopter market,” he said in the announcement for his new position. “Our goal for the near future is to focus on developing new products and improving quality of after-sales service. In particular, we need to create a service system that meets the best international practice.”

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