Austrian Airlines to receive EUR 600m rescue package

The Punch has reported Austrian Airlines has reached an agreement on a rescue package for EUR 600 million (USD 677 million) to mitigate the effects of the coronavirus pandemic, the news source said.

Austria will provide EUR 450 million, with the balance coming from Lufthansa, of which Austrian Airlines is a subsidiary.

The Austrian government will guarantee EUR 300 million in loans on top of an EUR 150-million-grant.

The airlines and the government have agreed to three goals: saving jobs, maintaining Vienna as a key hub and necessary measures in terms of climate protection.

The rescue deal will reportedly include targets for the airline to invest in more efficient technologies and thereby reduce its CO2 emissions and noise pollution.

Austrian Airlines´ fleet has been largely grounded for almost three months due to the restrictions introduced to fight the new coronavirus pandemic, which have devastated the international travel industry.

The airline plans to restart flights from June 15 to several European destinations and Tel Aviv.