Air France-KLM, the region’s second-largest airline after Lufthansa, will receive 3.4 billion euros in aid from the Dutch government following support from France!
Air France-KLM’s Dutch unit will receive a 3.4 billion euro ($3.8 billion) rescue package from the Netherlands after weeks of fighting over how much help the airline needs to get out of the coronavirus crisis.
KLM will receive 2.4 billion euros from state-backed commercial funds and 1 billion euros as direct government loans, according to Dutch Finance Minister Wopke Hoekstra’s letter to Parliament on Friday.
The development, following the French government’s 7 billion euro loans and guarantees to Air France, showed once again that the success of Europe’s biggest airlines in overcoming the downturn in the sector depends on state aid.
Deutsche Lufthansa AG, the airline giant’s German rival, received shareholder approval for the German government’s 9 billion euro rescue package on Thursday.
Both France and the Netherlands are shareholders in Air France-KLM, the region’s second-largest airline after Lufthansa.