On April 4, 1997 Ministry of Transport issued the ordinance on transformation of LGS - a state owned enterprise into a state joint stock company appointing Austris Caunītis, Arnis Muižnieks, Ojārs Kehris, Edijs Kizenbahs, Jānis Batarags as state representatives. On June 12, 1997 Latvijas gaisa satiksme was registered in the State Enterprise Registry as state joint stock company. Aleksandrs Okladņikovs became Chairman of the Board and President of the company.
Share capital was doubled and during the years hereafter equalled to 6 million Lats.
LGS continued integration into the international air navigation community, expansion of personnel's scientific and research capabilities, investments into modern technologies complying with the requirements of ICAO and EUROCONTROL.
1997 was marked by one of the biggest investments when 3.9 million Lats were channelled for the development of the company giving start to a capacious technological modernisation. Here are some major landmarks: installation of multiradar tracking system and VDU/TWR meteosystems (Agnet Systems, US) in 1997; implementation of on line data interchange OLDI between Riga and Malmo air traffic control centres in 1999; completion of ATRACC project launched in 1993; installation of MSSRs in Ērgļi and Cīrava; installation of navigation systems (Fernau, UK) and instrumental landing systems (Navia Aviation, Norway) in Riga airportin 2000; installation of radio link equipment (Nokia, Finland) in 2000 in Cirava; installation of VHF ground - air communication equipment in Rīga, Liepāja, Spāre, Ērgļi and Rēzekne was launched.
Edijs Kizenbahs became the President of LGS in 2000 continuing work in the company where during the period of his state representative duties he had accumulated a lot of special knowledge about the company and its profile that is highly important for this branch.
2000 will always remain a very special year as LGS was recognised to be the second best air navigation service provider by the International Air Traffic Association (IATA). The Eagle Award was granted for the high flight safety level in Riga FIR with a special emphasis on keeping constant air navigation charges for seven years. The successful transition of LGS from a state structure to business-oriented system was also highlighted.
A professionally and emotionally bright occasion for LGS was the visit of the three Presidents of the Baltic States on December 15, 2000. Visit of Vaira Vīķe - Freiberga, President of Latvia, Lennart Meri, President of Estonia, and Valds Adamkus, President of Lithuania, was not only a historic experience for the company but also an encouraging incentive for further work.
