Through an unexpected advantage of the holiday airline saves a lot of money, explains Ralf Teckentrup. The Condor-in-chief reveals how the Bodies and the search for investors.
The German air travel shrinks. Lufthansa crisis the effects of the Corona-more than 20,000 jobs. In the case of Tuifly up to 900 Jobs could be cut. And in the case of Condor?
“We are currently in discussions with the social partners and cannot exclude the possibility of a reduction”, so Ralf Teckentrup, head of the holiday flyer in the conversation with aeroTELEGRAPH. How many jobs are threatened, he says. However, he announces: “From the summer onwards, we will no longer be able to briefly increase the work money.”
Lead protection screen
Compared to other airlines, Condor from Teckentrups view currently has a head start. “We had to go through our protective shield proceedings already begin in September with the restructuring,” says the CEO of the airline. This Condor have reduced the cost already before the Corona-crisis.
The German holiday airline was rescued in the fall of 2019 in a protective shield procedure. So he is protected against claims of its insolvent parent company, Thomas Cook. In addition, Condor was able to gain the independence.
170 already deleted
Teckentrup refers to, for example, that Condor has already launched in December, the removal of 170 Points. Due to the Corona-crisis had been terminated in the meantime, the Wet-Lease contracts with Thomas Cook Aviation and Thomas Cook Balearics, which had been by the protective shield proceedings of a short-term possible.
Condor also has a further, unexpected advantage. It is Fuel Hedging, i.e. hedging, where Airlines fuel refer to a pre-established price. Due to the rapid fall in Oil and thus fuel prices, this approach costs a lot of airlines very much money. Alone, Lufthansa expects for the current 2020 to be a burden in the amount of approximately one billion euros.
Fuel is cheap for Condor
“Because of the protective shield proceedings, we were able to the purchase of Fuel only until the end of March, hedge,” says Teckentrup. “As a result, we obtain kerosene for the Moment about the current market.” The holiday flyer saves a lot of money. The prices should rise again, it could impact at some point is also a disadvantage.
Once Condor but benefits from the low fuel costs, for example, in the 14 of their 16 long-pilot that were converted to freighters route. “The not are busy at the Moment quite well, even if the business is going as strong as before four or six weeks,” says the Airline chief. “But of course we want to prefer to fly passengers, and the Jets will be retooling again as soon as we can, again, fly to long-haul destinations.”
Like a convertible in November
What destinations, repeal the travel restrictions, was difficult to predict. Condor is assumed that the proportion of packages will increase in comparison to individual travel to the Corona pandemic. The holiday airline, which occupied most of the places on operators would benefit.
Condor plans to leave the protective shield proceedings until the end of September. A new Investor, the management is not looking after the failed sale to the Polish PGL for the time being. “Condor is currently not for sale,” says Teckentrup. That will change only, when the Corona had survived the crisis. “The Condor is now for sale, would be to try in November to sell a convertible,” says the boss of the holiday flyer.
Credit running more than ten years
Condor had received last fall, a state-guaranteed transitional credit in the amount of up to 380 million euros. In the Wake of the Corona-crisis of the holiday flyer, got in April, another government-secured loans in the amount of up to EUR 550 million. 256 million of which used the Condor, the share of the 380 million to repay, the you really had used. The remaining 294 million to bring the flight line by the Corona-crisis.
The 550-million loan that is gradually paid out, has a very long runtime. “We have more than ten years for the repayment arrange,” says Teckentrup. What interest rate is payable, is not revealed to the Condor-chief.
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