Latvian airBaltic expects € 280 million loss in 2020

Created on 09.12.2020 08:25

Latvian national airline airBaltic predicts losses of 250-280 million euros by the end of the current year, CEO of the airBaltic Martin Gauss stated in an interview with BNS.

Reportedly, last year airBaltic has received a net loss of 7.73 million euros compared to a profit the year before. Thus, in 2020, the loss might increase at 32 times. Gauss noted that the second wave of the coronavirus pandemic was worse than predicted, and if the situation does not improve, the airline would seek an additional financial assistance next year from the government.

According to the Executive Director, 250 million euros, which the state has invested in the airline's equity in August this year were used to cover fixed costs and compensation for laid-off employees. "There will no be new layoffs until spring, approximately 1,000 employees will remain. If the situation does not change, we would have to think on new reducing costs" , the message says.

3021 views