Lufthansa back in private hands as govt sells rescue stake / Photo: Christof STACHE - AFP
-
Samsung logs record quarterly profits despite investor AI jitters
-
Microsoft beats expectations fueled by Azure cloud business
-
Shares in Google owner Alphabet plummet on profit miss, ad slowdown
-
Shares in Google owner Alphabet sink on profit miss, ad slowdown
-
US Fed holds interest rates steady despite 'too high' inflation
-
Pioneering US labor leader Dolores Huerta dies at 96
-
Airbus aims for record deliveries despite disappointing quarter
-
US Fed holds interest rates steady despite surging inflation
-
Real Madrid, La Liga apology over Mbappe shows power of Chinese market
-
US labor leader Dolores Huerta dead: family
-
'Cruise for life' strands passengers in Cambodia as operator goes bust
-
French firm Safran helps build aircraft wings of the future in UK factory
-
Canada hikes rates to contain oil price surge caused by Iran war
-
World Bank warns of worsening food insecurity as commodity prices soar
-
Nintendo producer 'all nervous' as Zelda classic remake hits shelves
-
Billionaire Ambani's Jio soars in market debut after India's biggest IPO
-
Three killed by storm in southern India
-
AI chip giant SK hynix posts seven-fold surge in quarterly operating profit
-
Two hundred 'Cruise for life' passengers stranded in Cambodia
-
S.African activists push back on data centre rush
-
Billionaire Ambani's Jio jumps 21% in market debut after record India IPO
Lufthansa back in private hands as govt sells rescue stake
Lufthansa said Wednesday the German state had sold the stake it took in the airline as part of a rescue package at the peak of the Covid pandemic, and booked a healthy profit in the process.
In the spring of 2020, borders were shutting worldwide, forcing airlines everywhere to ground planes and put staff put on forced leave.
To save Lufthansa from bankruptcy, the German government took a 20-percent stake in the group under a nine-billion-euro (dollar) state aid package.
Under the deal, the government agreed to sell the stake by October 2023.
But with the airline's finances stabilising as travel resumed, Berlin was able to start selling its holdings as early as November last year.
Lufthansa said the remaining 6.2 percent of the share capital was sold on Tuesday.
"This brings the stabilisation of Lufthansa to a successful conclusion," said Carsten Spohr, its CEO.
"The stabilisation of Lufthansa was successful, and is also paying off financially for the German government and thus for the taxpayer," he added.
The state paid 306 million euros for the stake and sold it for 1.07 billion euros -- a profit of 760 million.
"With this gratifying balance, the WSF's (Economic Stabilisation Fund's) participation comes to an end and the company is once again in private hands," said Jutta Doenges, who ran the fund.
Lufthansa in August reported its first net profit since the pandemic, booking 259 million euros in earnings for the second quarter as it benefited from pent-up demand for travel.
The group -- which includes Eurowings, Austrian, Swiss and Brussels Airlines -- made huge net losses of 6.7 billion euros in 2020 and 2.2 billion euros in 2021 as the pandemic shut down large parts of the airline industry.
A.Agostinelli--CPN