Corona crisis
In order to cope with the corona crisis, Austrian Airlines (AUA), part of the Lufthansa Group, is applying for government aid.
Has not only been under pressure since the corona crisis: Austrian Airlines. (Archive picture)
–Keystone / APA / Austrian Airlines
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–AUA has now applied for government aid of over EUR 767 million in Austria.
–Keystone / APA / Helmut Fohringer
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–Austrian Airlines, which belongs to the Lufthansa Group, ceased operations in mid-March and applied for short-time work for 7,000 employees.
–Keystone / APA / Robert Jäger
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–It remains to be seen whether AUA sister Swiss will receive state aid.
–Keystone / Ennio Leanza
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–Group parent Lufthansa is also negotiating state aid in Germany.
–Keystone / Boris Roessler
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–AUA came under pressure even before the corona crisis, as there was a tough price war in Vienna due to numerous cheap airlines.
–Keystone / APA / Austrian Airlines
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–AUA announced a savings course, which, in addition to job cuts, also includes a reduction in the fleet.
–Keystone / APA / Robert Jäger
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- Austrian Airlines (AUA) has applied for government aid totaling EUR 767 million in Austria.
- The Austrian Chancellor Sebastian Kurz sets conditions on state support.
- Due to the corona pandemic, AUA ceased operations in mid-March and applied for short-time work for around 7,000 employees.
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Austrian Airlines (AUA), a member of the Lufthansa Group, is applying for government aid of over EUR 767 million to deal with the corona crisis in Austria.
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A corresponding application was submitted to the Austrian Control Bank and the state corona financing agency Cofag in the evening, an AUA spokesman told Reuters on Tuesday evening. A large part of the sum consists of repayable loans, the other part are grants that are still to be negotiated, the spokesman said.
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Chancellor Sebastian Kurz had previously imposed conditions on state aid. Accordingly, as many jobs as possible should be preserved in Austria and the location strengthened. State participation is not the goal, said Minister of Economics Margarete Schramböck.
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Tough price war in Vienna
The Austrian airline ceased operations in mid-March and applied for short-time work for its approximately 7,000 employees. The company had already come under pressure before the corona crisis, as there was a tough price war in Vienna due to numerous cheap airlines such as the Ryanair subsidiary Laudamotion or the Hungarian Wizz Air. The AUA announced a austerity program that provides for a reduction in the fleet in addition to job cuts.
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The parent company Lufthansa is also negotiating state aid in Germany. Talks with the German government about a multi-billion dollar rescue package are ongoing, but the future influence of the state is particularly controversial. It is also unclear whether and to what extent Swiss state aid will be received.
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(SDA)
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