Clouds. 72.3   F New York
AI-Powered News Summarizer
World

'We simply don't have any money.' Lufthansa shareholders approve $10 billion bailout

June 24, 2020. Summarized by summa-bot.

The tails of aircraft of the German airline Lufthansa are seen at the "Franz-Josef-Strauss" airport in Munich, southern Germany, on June 18, 2020, amid the novel coronavirus Covid-19 pandemic. - European airline giant Lufthansa warned on June 17, 2020 that a billionaire investor could block a nine-billion-euro ($10.1 billion) pandemic rescue plan agreed with the German state. (Photo by Christof STACHE / AFP) (Photo by CHRISTOF STACHE/AFP via Getty Images)

Lufthansa shareholders voted overwhelmingly in favor of a $10 billion bailout from the German government on Thursday, following a tense week in which the global airline's biggest single stock owner threatened to block the deal.

London (CNN Business)Lufthansa shareholders voted overwhelmingly in favor of a $10 billion bailout from the German government on Thursday, following a tense week in which the global airline's biggest single stock owner threatened to block the deal.

Lufthansa lost €1. 2 billion ($1. 3 billion) in the first quarter and said last month that it was burning through €1 million ($1. 1 million) in cash every hour.

The company said in a statement Thursday that it has reached an agreement with UFO, one of the labor unions that represents flight attendants, that will save €500 million ($562 million) in costs while guaranteeing no forced layoffs for four years.

Germany's bailout will give the government the right to appoint two members of the company's supervisory board, which analysts have said could hamstring restructuring efforts.

Summarizer is on Google News. Now you can get the latest AI summarized news on your favorite news platform.

Don't like Google News? We have an RSS Feed for you.

Suggestions