Efforts to secure the
future of struggling national air carrier Cyprus Airways (CA) got
underway on Friday as talks begin with potential suitors amidst protests
from airline employees.
On Friday morning, the CA
technical committee – which is tasked with negotiating with potential
investors the future of the ailing airline – met with officials of
Ryanair who have reportedly expressed an interest in purchasing the CA
name and emblem.
A similar meeting will
take place later on Friday with officials of Aegean Airlines while
representatives of the Greek airline also approached the Cyprus Civil
Aviation Authority to request an air operator's certificate (AOC).
While talks were ongoing,
union-backed employees of CA held a protest outside the KPMG offices in
Nicosia – where the first meeting talk place with Ryanair – over what
they feel is the government’s decision to turn their back on them.
CA unions were recently
informed by Finance Minister Harris Georgiades that the state would not
longer throw money at the airline but instead focus all its efforts on
finding potential investors or buyers.
In statements at the
Finance Ministry, Georgiades said the government has not initiated the
company’s forced sale but was looking for investors.
A European Commission
decision as regards an investigation into state aid expected in the next
few months, will be decisive for the airline’s future, said the
Minister.
“Even in the case of a negative outcome, the government’s priority is not to leave any of the employees without cover”.
Georgiades went on to say
that the company has received €130 million from the state over the
period 2007 to 2014. He added that company loans, guaranteed by the
state, were worth €78m in 2007, while company assets sold from 2010 to
2014 were worth €111m.
The minister also hit out
at opposition parties who have accused the government of forcing
closure on the stuttering airline arguing that it was the previous
administration that hid its head in the sand instead of dealing with the
matter promptly.
- See more at: http://incyprus.philenews.com
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment