Sponsor Message:
Civil Aviation Forum
My Starred Topics | Profile | New Topic | Forum Index | Help | Search 
Parliament Approves Swissair Rescue  
User currently offlineUnited Airline From Hong Kong, joined Jan 2001, 9160 posts, RR: 15
Posted (12 years 8 months 1 week 4 days 23 hours ago) and read 904 times:

Parliament approves Swissair rescue
From AFP in Bern
18nov01


A MASSIX injection of state aid to rescue the surviving elements of Switzerland's bankrupt national airline has been approved by the country's parliament.

The upper chamber, or States Council, gave its agreement to the package of 2.1 billion Swiss francs ($2.4 billion).
Around 600 million Swiss francs of the government cash will be invested in an expanded version of Crossair, the failed Swissair group's former European regional subsidiary.

But the lion's share will be used to keep some of the former Swissair's intercontinental flights aloft until they can be taken over by Crossair in March 2002.

The lower house had already given its approval to the rescue package yesterday.

Swiss authorities had warned that up to 70,000 jobs in the Swissair Group would have been in jeopardy without the package.

The money is in addition to an earlier injection of 450 million Swiss francs made to keep Swissair's operations going in the immediate aftermath of its filing for bankruptcy on October 4.

But the parliament rejected proposals by the Socialist and Green parties for the state to finance a welfare package for Swissair employees made redundant following the group's demise.

Swissair Group unions will decide on Monday whether to take strike action in support of a bid to obtain 200 million Swiss francs in aid to help the 4600 sacked workers and provide for early retirement.


© 2001 Herald and Weekly Times

16 replies: All unread, jump to last
 
User currently offlineGerardo From Spain, joined May 2000, 3481 posts, RR: 31
Reply 1, posted (12 years 8 months 1 week 4 days 21 hours ago) and read 880 times:

Small detail, the article says:
The upper chamber, or States Council, gave its agreement to the package of 2.1 billion Swiss francs ($2.4 billion).

1.6 Swiss Francs ~ 1 US$
so
2.1 billion Swiss Francs can't be US$2.4.

Gerardo



dominguez(dash)online(dot)ch ... Pushing the limits of my equipment
User currently offlineUnited Airline From Hong Kong, joined Jan 2001, 9160 posts, RR: 15
Reply 2, posted (12 years 8 months 1 week 4 days 20 hours ago) and read 869 times:

You are right. There must be an error.

Swissair will be saved..... But will they keep the name 'Swissair'?


User currently offlineGerardo From Spain, joined May 2000, 3481 posts, RR: 31
Reply 3, posted (12 years 8 months 1 week 4 days 14 hours ago) and read 857 times:

For the moment, the company will keep the name "Crossair". The question of brands will then be the next step. The brand Swissair could disappear after the winter timetable.

Gerardo



dominguez(dash)online(dot)ch ... Pushing the limits of my equipment
User currently offlineGaut From Belgium, joined Dec 2001, 344 posts, RR: 2
Reply 4, posted (12 years 8 months 1 week 4 days 11 hours ago) and read 839 times:

And what about the European Parliament? I doubt they'll approved that !

Gaut



«Horum omnium fortissimi sunt Belgae.»
User currently offlineSR3496 From Switzerland, joined May 2000, 792 posts, RR: 20
Reply 5, posted (12 years 8 months 1 week 4 days 11 hours ago) and read 837 times:

Gaut:
The European Parliament has nothing to say about that at the moment! Switzerland is not in the EU and the bilateral agreements are not ratified...not yet.

Anywayz, we had this discussion already here on airliners.net. Use the search function if you're interested.


User currently offlineGaut From Belgium, joined Dec 2001, 344 posts, RR: 2
Reply 6, posted (12 years 8 months 1 week 4 days 11 hours ago) and read 831 times:

Tkx SR3496 I know switzerland is not in EU (I'm not so stupid) But as you know both parties (and maybe Switzerland more than EU) want to see those agreements signed (ratified = € Big grin. If Switzerland want to make business with EU they have to accept the rules. (my opinion).
But I 'll search this topic

Gaut



«Horum omnium fortissimi sunt Belgae.»
User currently offlineBicoastal From , joined Dec 1969, posts, RR:
Reply 7, posted (12 years 8 months 1 week 4 days 11 hours ago) and read 829 times:

This is a bad decision, as was the US government's decision to "compensate" its airlines for losses after September 11. Keep tax dollars out of private matters. I hope the EU withdraws any "special privileges" afforded to Swiss businesses as a result of this unfortunate decision by the Swiss government. Switzerland isn't a member of the EU but it is still very much dependent. European airlines need to go through this painful restructuring and merging in order to grow and prosper in the long run. Government intervention is simply delaying the inevitable.

User currently offlineYyz717 From Canada, joined Sep 2001, 16245 posts, RR: 56
Reply 8, posted (12 years 8 months 1 week 4 days 11 hours ago) and read 825 times:

This is ridiculous. Why are the Swiss taxpayers being asked to bail out what should be a private company? I agree with Bicoastal.....hopefully the EU will place some operating sanctions on this move.




Panam, TWA, Ansett, Eastern.......AC next? Might be good for Canada.
User currently offlineGerardo From Spain, joined May 2000, 3481 posts, RR: 31
Reply 9, posted (12 years 8 months 1 week 4 days 8 hours ago) and read 813 times:

Normally I would agree with you, but in this case I see the following reasons, why Swiss parliament should help Swissair:
- Other airlines are getting much $$$ after Sept. 11, as for example the US airlines.

- If SR doesn't get this money, costs would be higher due to something around 50'000 jobless people

- Who else should provide air transport out of ZRH?

My personal opinions

Gerardo



dominguez(dash)online(dot)ch ... Pushing the limits of my equipment
User currently offlineBicoastal From , joined Dec 1969, posts, RR:
Reply 10, posted (12 years 8 months 1 week 4 days 5 hours ago) and read 799 times:

Gerardo,

Just as in Brussels, where there is a void, other more efficient and stronger airlines will fill it. Zurich will be served if Swissair folds. Notice how quickly competitors increased capacity to and from Zurich when Swissair stopped flying for a few days last month. Companies should not become welfare work programs. Many of those 50,000 people will be absorbed by the expansion of the stronger, profitable airlines or they'll move on to other jobs. Sure, it may be painful in the short term, but eventually they'll find work. I've been the victim of a company going out of business, but I turned around and worked hard to find a new job. I NEVER expected the government to prop up my old employer just to keep my colleagues and me employed.


User currently offlineDonder10 From Canada, joined Oct 2001, 6659 posts, RR: 22
Reply 11, posted (12 years 8 months 1 week 4 days 5 hours ago) and read 797 times:

Bicoastal,
that is where US and European opinion tends to differ.Europe is in general much more left wing than the US.


User currently offlinePrebennorholm From Denmark, joined Mar 2000, 6385 posts, RR: 54
Reply 12, posted (12 years 8 months 1 week 4 days 5 hours ago) and read 794 times:

We shall let the Swiss people decide on this matter. They have the right to do so.

And we must keep in mind that when Swissair folds, then it is not the same as when for instance one US airline folds, and the other companies quickly pick up the market - and much of the emproyees.

A folding Swissair is for Switzerland the same as if ALL US airlines fold at the same time.



Always keep your number of landings equal to your number of take-offs, Preben Norholm
User currently offlineBicoastal From , joined Dec 1969, posts, RR:
Reply 13, posted (12 years 8 months 1 week 4 days 4 hours ago) and read 779 times:

No, it's not like the US. It's like when Belgium's carrier folded. Brussels is still be served well. Not every country needs their own airline. Yes the Swiss people have the right to decide, but no country is an island in our global economy. Switzerland isn't a member of EU, but Swissair shouldn't be given an unfair compeititve advantage (government subsidies) over other European and global airlines. I hope the EU and other countries retaliate.

User currently offlineCharliecossie From Germany, joined Oct 2001, 479 posts, RR: 9
Reply 14, posted (12 years 8 months 1 week 4 days 4 hours ago) and read 775 times:

I may be wrong here and I've no doubt I'll be corrected if I am but isn't Swissair classed as an EU airline by the EU? i.e. no need for bilateral agreements, etc.
If so, then surely the Swiss government has to play by the EU rules.


User currently offlineGibberish From Switzerland, joined Sep 2000, 424 posts, RR: 2
Reply 15, posted (12 years 8 months 1 week 3 days 11 hours ago) and read 762 times:

Cossie: Swissair only counts as a EU airline when the agreement is signed.

Biocostal: They can go fuss about it all they want, they won't succeed!

Sorry guys, as much as you hate it happening, Swissair will be supported by its government. And thats a good thing.

gibberish


User currently offlineGerardo From Spain, joined May 2000, 3481 posts, RR: 31
Reply 16, posted (12 years 8 months 1 week 3 days 11 hours ago) and read 757 times:

Charliecossie, Swissair will become all EU-rights (i.e. the different freedoms) within the next few years. So far, it doesn't count as EU airline.

BTW, almost any European airline became some financial helps during the last few years, when Swissair was already on their own. Remember Air France in 1997, or Alitalia, Iberia and certyinly some others. So, EU might after all say "don't let it happen again".

Just a detail: if Switzerland doesn't have a flag carrier anymore, then the service from and to Switzerland will not be as good anymore. There will be for sure much feeder traffic thru other hubs. Not all of the 50'000 people without a job will fins a new job.

Compare it with BRU after SN's end. BRU doesn't have the same number of direct flights anymore.

And as I said, other airlines are getting financial help right now, after Sep 11. Why not Swissair?

Gerardo



dominguez(dash)online(dot)ch ... Pushing the limits of my equipment
Top Of Page
Forum Index

This topic is archived and can not be replied to any more.

Printer friendly format

Similar topics:More similar topics...
Swissair YHZ Diversion posted Fri May 15 2009 07:13:09 by 3ingreen
EU Approves BD Take Over posted Thu May 14 2009 09:20:35 by Ota1
LH Board Approves CSeries Order posted Wed Mar 11 2009 00:36:46 by JoeCanuck
LAX Approves New Crossfield Taxiway posted Tue Feb 10 2009 09:56:12 by LAXintl
MAC Approves DL Agreement posted Mon Jan 26 2009 14:08:27 by WorldTraveler
United Rescue Flight Number posted Mon Jan 12 2009 14:09:33 by AAH732UAL
Swissair Lives On At ZRH! posted Mon Jan 12 2009 11:47:09 by Cambrian
18 Years Later..DOT Approves Baltia Airlines posted Sat Dec 20 2008 11:16:33 by LAXintl
LO Requesting Help; Hoping LH Will Come To Rescue posted Mon Dec 15 2008 02:40:42 by CastropRauxel
BA 777 To Phuket (Rescue Flight) posted Fri Dec 5 2008 07:03:48 by Speedmarque