LONDON STOCK EXCHANGE OFFERS ARMAVIA TO ISSUE IPO

ARKA
April 18, 2008

YEREVAN, April 18. /ARKA/. The Armavia Armenian Air Company is expected
to issue IPO (initial public offering) on the London Stock Exchange,
said Julien Dufour, commercial director of the company.

The International Financial Corporation, which is Armavia’s partner,
has offered the air company to issue IPO on the London Stock Exchange,
according to Dufour.

He believes despite certain unsolved issues, Armavia’s effective
and transparent corporate management allows the company to enter the
IPO market.

The Armavia Air Company LLC is the national air carrier of Armenia. The
Armenian Aviafin Ltd and Mika Armenia Trading Ltd founded the company
in 1996.

As from July 2005, President of the MIKA Armenia Trading Company
Mikhail Baghdasarov is Armavia’s absolute shareholder.

At present, Armavia offers flights to Russian and CIS (Commonwealth
of Independent States) cities, as well as to Middle East and Europe.

On February 1, 2008, the air company’s fleet was replenished with a
Bombardier CRJ-100ER. Armavia also possesses A-320, A-319 airbuses,
Boeing 737-300, and CRJ-100ER.