Budapest Airport is set to develop a new business park area on the southern edge of the airport. Although, the area has been out of use for long time, it was marked in the development plans as the site of a future business and commercial park.

The Hungarian government has decided - following coordination with NATO - that the Pápa air base in northwestern Hungary will be upgraded into an intermodal logistics hub that will be suitable for receiving both military and civilian aircraft.

The last departing flight from Terminal 1 at Budapest Airport left for Stuttgart, Germany Tuesday night. The terminal is expected to be closed for five years for reduced traffic. So, as of May 30, all carriers use Terminal 2.

Budapest Airport has signed 5-year lease agreements with two of the surviving Malév subsidiaries, Malév Ground Handling and Aeroplex that carry on their service operations at the airport, serving their corporate partners.

Budapest Airport, the operator of the Liszt Ferenc International Airport, will be closing down Terminal 1, spokesman Mihály Hardy said. After the collapse of the country’s national carrier Malév, Terminal 2 is sufficient to manage the reduced traffic.

Based on the Board of Directors’ decision, Hungary’s national airline ceased its operation to minimize its losses. According to the company's statement, after nearly 66 years of continuous operation, Malév aircrafts will not depart from 6 a.m. on February 3.

Under a government decree, Hungary’s state-owned airliner Malév is now classified as a company of key strategic importance as of 07 a.m. this Tuesday. This means the company has been taken under bankruptcy protection.

The European Commission found that financing granted to Hungarian flag carrier Malév between 2007 and 2010 in the context of its privatisation and renationalisation constitutes illegal state aid and must be repaid to the state.

A recent government decision has approved plans for Hungary to divest its stake in Budapest Airport, the company which operates the city’s Ferihegy Airport. The decision has appeared in the latest issue of the Hungarian Gazette.

Malév Hungarian Airlines incurred a loss of HUF 24.56 billion (EUR 91.32 m) in 2010, the carrier’s balance sheet approved by a shareholder meeting on Friday showed. The figure is a bit better than the year before but worse than projected.

The entire management and the offices of Malév Hungarian Airlines will move to Budapest’s international airport. According to plans, three modernized office buildings await the some 600 employees of the company.

Martin Gauss, chief executive of Hungarian airline company Malév, has tendered his resignation, the Hungarian State Holding Company (MNV) has announced on Tuesday. His departure is effective as of May 31.