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EasyJet asks Germany for help, cuts flight plan

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November 7, 2020
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EasyJet asks Germany for help, cuts flight plan
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Easyjet, which is combating a drop in air site visitors as a result of pandemic, is in talks with Germany for state support.

German enterprise journal Wirtschaftswoche revealed some stunning negotiations on Thursday. British airline EasyJet is alleged to be in talks with the German authorities to acquire public support to assist it get by means of the well being disaster.

“The negotiations are progressing constructively,” CEO Johan Lundgren mentioned in an interview with the weekly Wirtschaftswoche. “We have now a powerful presence in Germany, we ensured wholesome competitors earlier than the disaster and invested some huge cash. This must be mirrored within the scale of the help, ”he added with out advancing any quantity.

EasyJet doesn’t affirm

If Johan Lundgren didn’t need to touch upon the sum, “it’s apparently a number of hundred million euros” in accordance with Wirtschaftswoche. EasyJet employs round 1,500 folks within the German capital, however the collapse in air site visitors linked to the well being disaster led it to announce 418 job cuts final month, whereas one other 320 are solely assured till the following summer time.

The German Ministry of the Economic system confirmed to AFP to have “exchanges” with the group, with out giving extra particulars. For its half, EasyJet indicated that “no formal request for financing has been made” and that the corporate is discussing “frequently” with all of the governments of the international locations the place it operates “in regards to the help measures out there to all. eligible corporations ”. In Switzerland, support was refused to them.

20% of thefts this winter

UK low-cost service EasyJet immediately introduced an extra lower to its flight plan, which shall be lower to 20% capability for the remainder of the 12 months as a result of lately imposed re-containment measures in England, Germany and in France. The air service had mentioned it hoped in October to fly at 25% of its capability by the top of the 12 months.

In an try and survive Covid-19, EasyJet has to date raised over £ 900million by means of the sale and leaseback of planes, took out a £ 600million mortgage from the UK authorities, canceled four,500 jobs and solicited from shareholders for 419 million kilos.

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