Action provides $10 billion in funding and stabilizes airline’s finances >>
by: Harvey Chipkin
The shareholders of Deutsche Lufthansa AG have voted at an Extraordinary General Meeting in favor of accepting the capital measures and the participation of Germany’s Economic Stabilization Fund. The package provides for stabilization measures and loans of up to 9 billion euros (about $10 billion). The fund will make silent capital contributions of up to 5.7 billion euros (about $6.4 billion) to the assets of Deutsche Lufthansa AG. It will also establish a 20% stake in the share capital of Deutsche Lufthansa AG by way of a capital increase. The package will be supplemented by a loan of up to 3 billion euros (about $3.4 billion) from state and private banks. Carsten Spohr, chairman of the board of Deutsche Lufthansa AG, said the decision by shareholders “provides Lufthansa with a perspective for a successful future.” He said the carrier is aware of its responsibility to pay back the funding to taxpayers as quickly as possible. As a result of the action, he said, the airline’s liquidity is secured on a sustained basis.
We use cookies to offer you a better browsing experience, analyze traffic and personalize content. Read how we use and protect your data in our privacy policy. Do you accept cookies?