The company received money to repay state aid from private investors, the state will gradually sell the stake.
Today, the German airline Lufthansa Group repaid the last part of the aid from the German government, which helped one of the largest groups in the industry survive the coronavirus pandemic. The carrier announced this today in a press release, in which it also thanked the government, employees, customers and shareholders for their support.
The repayment took place significantly earlier than the original agreements. Last year’s package counted on a total of 9 billion euros of aid in exchange for one-fifth of the carrier’s shares. In the end, Lufthansa did not even use that much money, and from February onwards, on the contrary, she began to repay the aid. This was mainly due to the confidence of investors, from whom the company obtained additional sources of financing instead of state aid. It was a combination of bonds and an increase in share capital. The state has to sell its stake by November 2023.
“State aid has enabled us to save a hundred thousand places and give us prospects for the future. Although we face a number of challenges, we have survived. On the contrary, we want to further strengthen our position among the largest aviation groups in the world,“Said Lufthansa boss Carsten Spohr. Of the nine billion euros, the company used aid of only 3.8 billion euros. In addition to Germany, Switzerland, Austria and Belgium also contributed to the financial assistance.
Lufthansa announced last week that for the first time since the outbreak of the pandemic, it made a quarterly profit. It earned 17 million euros in the third quarter, mainly due to freight transport and reduced passenger traffic losses.
12 comments
–
