The Brazilian manufacturer, still reeling and angry over being jilted by Boeing at the altar, announced a US$260m loss. At the same time it revealed interest from Russia and China in buying the company.
It would be a major coup for either country, securing the technology and development access for a leading modern aircraft manufacturer.
Rather than publicly announce a vast number of redundancies and layoffs, the company is doing it quietly. 180 pilots and 400 cabin crew who were on initial probation for the A380 fleet were let go. Many more are expected, up to 30,000 in total.
The airline seems to be offering a sizeable exit offer as long as recipients keep quiet.
The Lufthansa Group board has agreed the state aid after revised offers to surrender certain slots at Munich and Frankfurt.
The airline is to hand over 24 daily slot pairs at both airports, but, this is now the new exclusion: only to new airlines that have never flown to either airport before, so excluding RyanAir who have been muscling in on Frankfurt especially.
If after two years nobody is using the slots, Lufthansa gets them back, but for the third year must keep them open to any new airline.
The airline is also said to have accepted the old livery will still be around for far longer than 2023, with fewer hours being spent airborne, servicing and repaints have been delayed, never mind the cost savings of delaying them.
The number of airlines returning to the skies in Europe especially is growing rapidly. Lufthansa, Austrian, Air Dolomiti, Brussels, Iberia, easyJet, and on and on are all planning or already have started services between now and June 15. It’s estimated that by the end of June, some 20% or more of pre-lockdown routes will be up and running.
One of the big obstacles is the U.K. and Spanish quarantine rules, requiring all arrivals to quarantine on threat of severe financial penalties, for 14 days.
However it’s considered far too little far to late in the U.K., and while it will go into effect on June 8th, it’s already being seen as so unwelcome and pointless it will be lifted at the end of the month when it’s legally reviewed. The scheme is so full of exclusions and loopholes it’s beyond a joke.
Spain’s quarantine ends the day the U.K. one starts.
Air bridges are being considered to countries that have low Covid levels – like Greece and Turkey, favourite U.K. holiday destinations desperate for visitors. Spain is also a favourite and all the south European countries are desperate to get their key tourism industries up and running again.
The question is does anyone want to fly? And how expensive will it be?