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Tag: Airline Bailout

  • Tour Operator TUI receives 1.8 billion euros financial aid from German government

    Tour Operator TUI receives 1.8 billion euros financial aid from German government

    Travel organization TUI will receive a loan of 1.8 billion euros from the German state-owned bank KfW because of the corona crisis, the company announced on Friday.

    Boeing 737 TUI Airways (wikimedia commons)

    With the financial support, the buffer of the travel giant grows to 3.1 billion euros. In the message, the group says it needs the support until business can be restarted.

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    The travel industry has entered a deep recession due to the further spread of the corona virus outbreak. TUI has canceled all trips until the end of April. Stranded travelers will still be picked up.

    Other travel organizations have also canceled holiday trips. For example, Corendon canceled all trips until June 1.

  • Virgin Atlantic to ask British government for financial support

    Virgin Atlantic to ask British government for financial support

    The British airline Virgin Atlantic will knock on the door of the British government for state aid in the coming days, Financial Times (FT) writes. The worldwide travel restrictions have forced many airlines to cut flight schedules, causing economic difficulties.

    Virgin Atlantic plane (pic: wikimedia commons)

    In addition to Virgin Atlantic, other airlines such as EasyJet, Loganair and Eastern Airways are also considering going to the government for financial support.

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    According to FT, regional airlines will be the first to qualify for emergency aid, given the government’s policy to promote economic activity in regions outside London.

    Virgin Atlantic’s wealthy owner, Richard Branson, pledged to invest $250 million (224 million euros) in Virgin Group last week, much of which will go to the airline. In addition to Atlantic, companies such as Virgin Hotels and Virgin Rail are also part of Virgin Group.