ImprovementAccording to financial chief Steven Zaat, improvement is on the way. In the current third quarter, he says, there is even a profit in it, albeit before taxes, interest payments and depreciation. The Dutchman also looks hopeful at the heavy rain showers in his native France. This may convince many people to book a holiday flight to sunnier destinations, he said in an explanation of the figures. In the third quarter, with the important summer months of July and August, Air France-KLM is expected to fly at 60 to 70 percent of pre-pandemic capacity. Much further depends on Washington. Vaccinated Americans are already welcome in the EU, but the other way around, the United States often keeps the borders closed to European travelers due to concerns about the contagious Delta variant of the corona virus. Additional government support is also needed. The Netherlands is talking to the European Commission about the conditions for a new support package for KLM, and Zaat says that the signals about an agreement are very hopeful. Additional capital is needed, as Air France-KLM’s debts still exceed its own assets by 3.6 billion euros. Earlier this year, France and other shareholders already provided additional financial aid for Air France-KLM, after Paris and The Hague had pledged EUR 10.4 billion in loans and credit guarantees in 2020. Last spring, new support of 4 billion euros was added, including 1 billion in new capital for Air France.
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Closed borders still hurt Air France KLM: €1.5 billion loss | Financial
Source link Closed borders still hurt Air France KLM: €1.5 billion loss | Financial