Originally Posted by
Fairdealfrank
LO possibly about to go "belly-up"
Well, it didn't. LOT Polish Airlines itself reported a return to profitability last year after some restructuring. Nevertheless, its regional subsidiary EuroLOT will soon disappear.
State-controlled regional airline Eurolot, an offshoot of LOT Polish Airlines, is going into liquidation after struggling with financial problems.
The airline has blocked all bookings beyond 31 March this year, but it promises that reservations already made for April and afterwards will be refunded.
The move had been expected.
''For two months we analysed various options concerning Eurolot's activities,'' commented Adam Ambrozik, head of a restructuring department at the Treasury Ministry.
''We have taken responsible decisions regarding the ownership,'' he added.
Ambrozik argues that there is no foreseeable way of making the airline profitable.
The treasury had a 62.1 percent stake in the airline.
Planes used by Eurolot will be transferred to LOT Polish Airlines.
Source: Radio Poland.