Condor receives a EUR 550 million line of credit from the German government
Condor, former subsidiary of the Thomas Cook group, announced that it will receive 294 million euros from the German government. The money is needed to keep Condor afloat during the COVID-19 crisis.
Government aid comes after Condor faces a second financial problem in half a year "through no fault of his own," according to the airline's CEO.
The difference of up to 550 million euros will be used to refinance Condor's previous loan.
"Condor will receive a loan of 294 million euros to help in the times of the coronavirus pandemic, as well as 256 million euros to fully refinance the loan that the company received after the bankruptcy of Thomas Cook."
Ralf Teckentrup, CEO of Condor, stated that the airline Condor is a safe, financially sound and profitable company. He just had 2 bad luck in 6 months - the bankruptcy of Thomas Cook and the COVID-19 pandemic crisis.
In January 2020, Polish Aviation Group (PGL), the owner of LOT Polish Airlines, announced the acquisition of Condor for approximately 300 million euros. However, following the coronavirus pandemic and the subsequent crisis, the Polish company withdrew from the agreement and gave up taking over Condor.
At the end of March 2020, Condor requested an additional € 200 million in state aid.
Since the outbreak of the coronavirus pandemic, Condor has operated mainly medical cargo flights to Germany, repatriation flights and special flights. For example, Condor transports "thousands" of seasonal workers from Romania to Germany.