Restructuring finance reaches Malév
09-Sep-2008 |
Airline Code [MAH]
View More Malev Hungarian Airlines News
Tags :Eastern Europe, Malev Hungarian Airlines
Agreements drawn up between Vnyeseconombank (VEB) and AirBridge, as well as between AirBridge and Malév, on the financing of the restructuring of the Hungarian national carrier were signed on 04-Sept-08. As a result, the airline receives access to a financial resource totalling EUR30 million.
By providing this financial resource owner AirBridge Zrt. fulfils all the financial commitments undertaken in the privatization contract concluded on 23 February 2007.
In 2007, the new owner AirBridge Zrt. increased the registered capital of Malév by HUF 5 billion and invested a further EUR18 million in the company.
With due consideration to the negative trends apparent in the air industry, first and foremost the high price of kerosene, the capital allocation exceeding the additional EUR12 million undertaken in the privatization contract will serve to finance measures designed to put the company in order.
The agreement guarantees the necessary financial background for the restructuring that has already started at the airline, providing financing for, among other projects, the acquisition of the new, cost-efficient Q400 aircraft and the formation of a workforce optimised to the new fleet.
Through the creation of the necessary financial funds and the steady implementation of the high-volume restructuring that has already started, Malév is capable of being transformed into a developing enterprise with a solid future.
(c) Centre for Asia Pacific Aviation. Date posted: 09-Sep-08
|
Other Malev Hungarian Airlines News |
Restructuring finance reaches Malév 
