“(The company) suffered a loss of more than $ 80 million by the end of 2019. This fact put the company’s management under enormous pressure. It was difficult to keep the company afloat with minimal financial reserves, the management had to rely on bank loans, but banks no longer want to extend loans due to risk, “the prime minister appealed to Boeing’s management in January, according to television.
–
The Smartwings Group, which includes Smartwings and Czech Airlines (CSA), has been discussing possible state support in recent weeks. State guarantees for a loan of up to 900 million crowns were at stake. This scenario has long been supported by the Minister of Industry and Trade and the Minister of Transport in one person, Karel Havlíček (for YES).
–
However, after criticizing such a move, the government has moved to modify the terms of the new Covid Plus program for large employers so that transport and tourism companies can apply for it. Smartwings could thus apply for a state guarantee for a loan of up to CZK 1.2 billion.
–
One of the conditions, however, is that such a company was not in existential problems before March 12 this year. However, Babiš’s words from the letter suggest that Smartwings would not have to meet such a condition.
–
Bankruptcy is imminent, Babiš wrote
“In the letter, Babiš refers to a letter sent ‘to the last days’ by Bowing by Smartwings itself. The content of this letter is unknown. In the letter, Babiš says that Smarwtings is in danger of bankruptcy, he even uses the very sharp term ‘go down’, “Martin Pánek, director of the Liberal Institute, told the News, who read the letter.
–
“If the same was said in Smartwings’ letter itself, it is clear that Smartwings either provided false information to Boeing or could not apply for Covid Plus support. Or this information was invented by Prime Minister Babiš, which would be considered again, “added Pánek.
–
A company spokesman denied the bad situation
Smartwings spokeswoman Vladimíra Dufková denied the poor situation of the company, which Babiš wrote about, in a statement for Prima: “Smartwings was a healthy company before the coronary crisis. Smartwings reported a positive financial result for the financial years 2018 and 2019. “
–
The company estimated the loss on the shutdown of the max at 1.5 billion crowns. There are seven of them in the fleet, another two dozen were to be delivered to them by the end of last year. According to Dufková’s earlier statements, however, “they dealt with this fact very well”.
—
