The state could nationalize, at least partially, the low-cost operator Blue Air. The Minister of Transport claims that state aid to save Blue Air is being considered, following the model used by other states, but with flag carriers, such as Lufthansa.
Next week, a meeting is expected to take place between TAROM and Blue Air representatives with Prime Minister Ludovic Orban and Finance Minister Florin Cîțu. Blue Air announced at the beginning of the month its entry into the preventive concordat procedure, a procedure preceding but at the same time avoiding insolvency. Practically, the company defends itself against creditors based on a plan agreed upon with them.
Frequently Asked Questions
What does the partial nationalization of Blue Air involve?The Romanian state could take over a portion of the company’s shares in exchange for financial aid to prevent bankruptcy.
What is the preventive concordat procedure?It is a legal procedure where a company in difficulty negotiates a recovery plan with its creditors to avoid insolvency.
Who is involved in the rescue discussions?Discussions involve Blue Air and TAROM representatives, along with the Romanian Prime Minister and the Minister of Finance.