French government doubles share in Air France with injection of another 4 to 5 billion euros

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France does not miss a chance to help Air France, the French national airline is heavily plagued by the coronavirus pandemic. Next spring, the State – which already owns 14% of the airline – will double its share and inject an additional 4 to 5 billion euros, French RTL writes.  

In July, the Air France-KLM group announced to cut 7,580 jobs at Air France and regional subsidiary Hop! in response to the COVID-19 crisis. In the third quarter of 2020, the airline group posted a loss of 1.6 billion.

At the end of April, Air France already received the historic governmental support of 7 billion euros, including 4 billion in the form of bank loans guaranteed by the State for 90% and 3 billion in advances from shareholders.

Air France had not received state aid for more than 25 years as – back in 1994 – the airline was recapitalized with 20 billion francs.

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