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A turbulent outlook for European airlines


The pandemic has had a devastating effect on the European airlines’ industry. While the prospects of an economic recovery look brighter than they were last year, many European airlines will struggle to survive in the long term.
Bailing out airlines in the context of the COVID-19 crisis is, undoubtedly, a legitimate emergency measure. Professor of international management at the University of Antwerp, Sascha Albers, argues that this emergency support “might serve as a pretext to return to state-owned carriers serving political agendas, at least for some governments”.
The state aid being poured into European legacy airlines is unprecedented in the last two decades when the more prominent national airlines operated in a relatively free market after having been privatised. British Airways was privatised in 1987, followed by Lufthansa in 1997 and Air France in 1999. All these major airlines are now virtually under state control thanks to the emergency aid they sought from ....

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States Are Back in the Cockpit After Europe Airline Bailouts


Covid Thrusts Governments Into Cockpit With Flag Carrier Aid
Bloomberg
32 mins ago
Siddharth Philip, Tara Patel and Stephanie Bodoni
(Bloomberg) Decades after being unshackled from government control, many of Europe’s largest airlines are being forced back into the arms of states by the pandemic.
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With air travel still showing no signs of recovery in the region, the carriers may have to contend with their saviors as powerful shareholders for some time to come. Air France-KLM on Tuesday became the latest to get a 4 billion-euro ($4.7 billion) bailout that will see the French government reemerge as its biggest shareholder with a stake of up to 30%. The flag bearer joins Germany’s Deutsche Lufthansa AG, Alitalia SpA, Sweden’s SAS AB and TAP Air Portugal to see a bigger state presence following aid sought to cope with one of the industry’s worst crises. ....

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Covid Thrusts Governments Into Cockpit With Flag Carrier Aid


Covid Thrusts Governments Into Cockpit With Flag Carrier Aid
Bloomberg
1 hr ago
Siddharth Philip, Tara Patel and Stephanie Bodoni
(Bloomberg) Decades after being unshackled from government control, many of Europe’s largest airlines are being forced back into the arms of states by the pandemic.
Popular Searches
With air travel still showing no signs of recovery in the region, the carriers may have to contend with their saviors as powerful shareholders for some time to come. Air France-KLM on Tuesday became the latest to get a 4 billion-euro ($4.7 billion) bailout that will see the French government reemerge as its biggest shareholder with a stake of up to 30%. The flag bearer joins Germany’s Deutsche Lufthansa AG, Alitalia SpA, Sweden’s SAS AB and TAP Air Portugal to see a bigger state presence following aid sought to cope with one of the industry’s worst crises. ....

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