Originally Posted by
Denti
Lufthansa always had a plan B, which is going through the german chapter 11 process (Planinsolvenz in Eigenverwaltung). That would allow them to get the pension pots and there is more than enough money in that pot to weather this storm. An additional bonus would be of course that they could finally get some real concessions from their unions. Will be quite interesting to see that unfold.
Even more interesting is however that france, netherlands and germany are quite willing to give their aviation sectors huge bailouts, while apparently the UK is not. Putting all UK airlines at a distinct disatvantage.
I did read criticism of the Lufthansa board that they had (apparently ) not considered any measures other than the government rescue or insolvency. Perhaps your reply puts flesh on those bones.
I'm not actually sure why the actions of F/NL/D should necessarily disadvantage British airlines. They are all loan schemes
AFAIK , and from memory, the proposed interest on the LH loan was 9% by 2030, so certainly not cheap. If the British airlines can either fund themselves ( IAG obviously , EJ probably ) then they don't need the helping governmental hand, which may simply avoid long weeks of negotiation with banks. Government help may well be seen as detrimental by company managements because:
a) There will be pressure not to cut jobs and pay generous redundancy to those who have to leave
b) There may be interference in planning ( number of bases etc ) and re-organisation of working rules for staff.
c) The unions will be much strengthened in their negotiating position.