Lufthansa and the federal government of Germany are in talks about state aid worth billions of euros and a possible state participation in the largest German airline group, according to Reuters which cites several people familiar with the process.
Figures are not mentioned in the report, but a Lufthansa spokesman confirmed that they are in close contact with the federal government to ensure the company’s liquidity. Deutsche Bank and Goldman Sachs are reportedly involved in the discussions.
Over the past few weeks, Lufthansa CEO Spohr has repeatedly emphasised that government aid is appropriate and, with a grounded fleet, is also necessary, but that the company is solidly positioned overall to survive the crisis. He also mentioned that the Lufthansa subsidiaries are similarly asking for government aid in their respective countries, Austria, Belgium and Switzerland.
Germany is ready to take over the holiday airline Condor, as its sale to LOT Polish Airlines’ parent PGL threatens to fail. Nationalisations in the aviation industry are being discussed more and more openly in other European countries.