May 6, 2018 / 11:03 AM / in 6 months

French state not there to backstop Air France losses - minister

PARIS, May 6 (Reuters) - The French government is not there to backstop losses at Air France, Finance Minister Bruno Le Maire said on Sunday, adding the carrier had not made enough efforts to stay competitive and was at risk of disappearing.

“If Air France does not make efforts to become more competitive, allowing this flagship to be at the same level at Lufthansa and other airline companies, Air France will disappear,” Le Maire told BFM television.

The French government has a 14 percent stake in Air France-KLM, in turmoil after its CEO said on Friday he was stepping down when staff rejected a pay deal, but Le Maire said the state was not there to bail out the carrier.

The finance minister said the impact of recent strike action in France, which includes rail workers and Air France staff, on gross domestic product (GDP) stood at around 0.1 percent.

Reporting by Sarah White and Sophie Louet; Editing by Adrian Croft

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below