After discontinuing its direct flights from Tallinn, Nordica's primary business shifted to providing operational services under the Xfly brand. Its largest client was SAS, which has now signed a long-term cooperation agreement with the Swedish airline BRA, reported "Aktuaalne Kaamera."

"This came as a surprise to us as well. We currently have a long-term contract with SAS. We continue to serve them, and we have been very successful in doing so throughout the summer. Our flight regularity has exceeded expectations, even above what the contract requires. So, it's a surprise for us. We are now seeking clarification from SAS about their plans with the new client or service provider," Salmu said.

Former Nordica marketing director and current MP Toomas Uibo said this indicates that SAS has decided to switch partners. "To what extent, I can't say at the moment, but it's clear that this will definitely hit the Estonian company very hard," Uibo said.

Aviation expert Sven Kukemelk agrees. "I think it's fairly safe to assume that, as a result of this deal, Nordica will lose its ATR aircraft leasing contract, which will now be handled by BRA. This means that Nordica will lose its core client," Kukemelk said.

Kukemelk also noted that SAS is unlikely to extend its contract with a company that lacks an annual financial report and a clear vision from its owners. For the same reason, it seems unlikely that anyone would be interested in buying Nordica. The realization of a negative scenario has become increasingly likely.

"I'm not bold enough to say whether it will go bankrupt or if some agreement can be reached that leads to liquidation, because only one state-owned company in Estonia has ever gone bankrupt – Estonian Air," Kukemelk said.

Nordica was supposed to submit its annual financial report to the Commercial Register by the end of June but has yet to do so. According to its unaudited financial statement, last year's losses amounted to nearly €20 million.

Uibo added that the people responsible for turning the company around and making it profitable have instead generated a loss of around €20 million. "That's a fact, and now it's time to take a closer look at what these people were actually doing," Uibo said.

Salmu, however, points to an impartial special audit, which found that Nordica's poor financial situation was due to mistakes made by the previous management. He expects better results from Nordica this year.

"True, the first half of the year was unprofitable, and there was also a lingering impact from the previous year. But the last three months have been profitable, and forecasts for September and October also show profitable months ahead. So, the changes we've implemented are starting to bear fruit," Salmu said.

Salmu also stated that the search for an investor for the company continues. Infrastructure Minister Vladimir Svet (SDE) declined to comment on Nordica's future.

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