Brussels Airlines Secures Stabilization Package From Belgian Federal Government and Lufthansa
Brussels Airlines announced on Friday that they have reached an agreement with the Belgian Federal Government and Lufthansa for a stabilization package worth €460 million that will help secure the carrier’s future.
On Friday (July 24, 2020), Lufthansa Group carrier Brussels Airlines announced that they have reached an agreement with the Belgian Federal Government and Lufthansa for a stabilization package that will secure the future and long-term development of the airline. The new funding includes a €290 loan from the Belgian state as well as a €170 million capital injection from the Lufthansa Group and will ensure the future of Brussels Airlines’ strategic hub position in Belgium. Lufthansa’s capital injection will allow the carrier to implement their turnaround plan, creating a long-term structurally profitable airline. The liquidity package remains subject to the approval of the Economic Stabilization Fund (WSF) of the Federal Republic of Germany as well as the EU Commission. In Friday’s announcement, Brussels Airlines’ CEO, Dieter Vranckx said,
“Just like in the past, Brussels Airlines can also in the future count on the support of its mother company Lufthansa. In the last years Lufthansa invested more than €600 million in our company, allowing us to rejuvenate our fleet and invest in a new cabin interior that increases our competitiveness and reduces our CO2 footprint. Today, Lufthansa gives us the means to carry out our turnaround plan and offers Brussels Airlines a future with long-term perspectives.”
In addition to support from the Belgian Federal Government and the Lufthansa Group, Brussels Airlines’ team members are also making enormous contributions in support of a financially strong and healthy airline.
Brussels Airlines is the national carrier of Belgium and a member of the Lufthansa Group. The airline usually serves over 80 destinations from the European capital including 65 European, 17 African and three North American cities as well as Tel Aviv. Brussels Airlines has over 4,000 employees and typically operates around 250 daily flights with a fleet of 48 aircraft, serving over 10 million guests annually. The carrier offers competitive fares and the highest levels of service quality, including bespoke onboard meals curated by yearly changing ‘Belgian Star Chefs.’ Founded in 2002, the airline is a member of the Star Alliance and is 100% owned by Deutsche Lufthansa AG.
Source: Brussels Airlines