Air Berlin’s LTU takeover goes ahead
08.08.2007The German Federal Cartel Office has agreed to Air Berlin’s LTU acquisition without any restrictions. Already and of March Air Berlin announced the intention to buy LTU for 140 million Euro. Additionally, Air Berlin offered to pay 200 million Euro for LTU’s debts.
Air Berlin’s CEO, Joachim Hunold welcomed the decision of the Federal Cartel Office: "We finally got the strategic decision that we hoped for. Nevertheless, it is regrettable that this process took so long. Synergies
could not be exploited. We missed the chance to adjust summer flight time tables of both airlines."
From 2008 onwards the Air Berlin board is expecting to make cost savings between 70 and 100 million Euro annually. Hunold explained: "If we can achieve this, is depending as well on trade union negotiations with LTU pilots."
The LTU has 27 planes and employs almost 2,800 people. Last year the company had a turnover of 1.06 million Euro and 5.7 million passengers. After the completed takeover, LTU will operate as an independent
Air Berlin company.