Spanair will get more public money... again
The local Government of Catalonia remains committed to rescuing Spanair and has just decided to provide the airline with another injection of money, this time amounting to 20 million euros. This decision has been made on the ground that the airline wants to convert Barcelona's El Prat airport to an international hub.
The financial operation will be implemented through a capital increase of the public company Cimalsa (Centrals i Infrastructures Mobilitat i per a les Activitats Logistique) that will transfer the money through Consortium of Investors (IEASA), which owns 80.1% of Spanair.
With this new intervention, the Generalitat of Catalonia will have provided 60 million euros to the company, either directly or by credit from the Institut Català de Finances, since the purchase of JK from SAS group last year.
This move, made just three weeks before the local elections, could spark vigorous protests among other airlines present at El Prat, operating more successfully either without or with less public support involved.