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Eurolot folds after financial struggles

PR dla Zagranicy
Nick Hodge 06.02.2015 10:30
State-controlled regional airline Eurolot, an offshoot of LOT Polish Airlines, is going into liquidation after struggling with financial problems.
Photo: wikipedia commons

The airline has blocked all bookings beyond 31 March this year, but it promises that reservations already made for April and afterwards will be refunded.

The move had been expected.

''For two months we analyzed various options concerning Eurolot's activities,'' commented Adam Ambrozik, head of a restructuring department at the Treasury Ministry.

''We have taken responsible decisions regarding the ownership,'' he added.

Ambrozik argues that there is no forseeable way of making the airline profitable.

The treasury had a 62.1 percent stake in the airline.

Planes used by Eurolot will be transferred to LOT Polish Airlines.

LOT itself had been struggling in recent years, leading to controversial state bail-outs, and it has been looking for investors outside Poland. However, in December 2014, the company announced that restructuring initiatives had started to pay off. (nh)

Source: IAR/Gazeta Wyborcza

tags: eurolot
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