State aid for Lufthansa, creditor protection for Latam
Economic Stabilisation Fund (WSF) of the Federal Republic of Germany has approved its stabilisation package for Deutsche Lufthansa.
The airline's executive board, led by CEO Carsten Spohr (right, together with German federal minister of transport Andreas Scheuer and Bavarian minister-president Markus Söder), also supports the package which provides for stabilisation measures and loans of up to EUR 9 billion.
Furthermore, WSF will build up a 20% stake in the share capital of the company and may also increase its stake to 25% plus one share in the event of a takeover.
Meanwhile, Latam Airlines Group and its affiliates in Chile, Peru, Colombia, Ecuador and the USA have filed for voluntary protection under the US Chapter 11 financial reorganisation process.
The affiliates in Argentina, Brazil and Paraguay are not included in the filing, and all group members will continue flying with no impact on passenger or cargo operations. (ah)