The battle for airline: Lufthansa help at risk – the share price falls to 9 percent

The nine-billion Euro state rescue package for the German Lufthansa wobbles. Three days before the extraordinary General meeting the strategy of the major share

The battle for airline: Lufthansa help at risk – the share price falls to 9 percent

The nine-billion Euro state rescue package for the German Lufthansa wobbles. Three days before the extraordinary General meeting the strategy of the major shareholder Heinz Hermann Thiele remained on Monday, remain unclear. Also in the negotiations with the trade unions to savings contributions of employees, no agreement has yet emerged. On the first trading day after the descent from the benchmark index, the Dax, the share price suffered, also, because of the uncertainties, significant price reductions – their value decreased by up to 9 percent in early trading, later, the decline in the share Price has hovered at approximately 4 percent.

In Berlin met with representatives of the government with the Lufthansa-a major shareholder Thiele, and the Chairman of the Board, Carsten Spohr, together. The 79-year-old billionaire had secured in the past few months, more than 15 per cent of the Lufthansa shares.

There less than 38 percent of the voting rights, according to Spohr, well represented at the annual General meeting on Thursday, may Thiele prevent alone, the projected state of entry. In an Interview with F. A. Z., he had expressed just critical to the planned 20-per cent stake of the Federal government.

the descent from the Dax

the Federal Finance Minister, Olaf Scholz (SPD) defended, however, once again the government rescue package. "We had a very good discussion with the Lufthansa Management, and have developed a very good Plan, about the, there is also agreement with Brussels", said Scholz on Monday during a conference in Frankfurt, to be operated by the Minister via Video from Berlin. "The Plan is well-considered."

in Parallel, continued the struggle to find savings in personnel. Company and Union representatives confirmed the continuation of the negotiations on Monday, but wanted to call any time for a possible agreement and more. Originally, this Monday had been scheduled as an appointment to get the results prior to the annual General meeting to present.

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The Corona-crisis hard-hit group because of permanently lower demand in the global surplus to 22,000 Points quantified. 11,000 of these jobs around in Germany. In the negotiations, and steps will be agreed, in order to keep as many employees as possible on Board. These are, for example, extended part-time models and the absence of salary increases and benefits increases. The involvement of the trade unions Verdi, Ufo and Vereinigung Cockpit, the proposals already have a number of savings.

Updated Date: 22 June 2020, 13:20

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