France, Brussels have given thumbs up for Air France-KLM refinancing – minister
PARIS (FRANCE) – The French government has struck the outline of a deal with the European Commission on a state-backed refinancing package. This will help strengthen Air France-KLM’s balance sheet, said Finance Minister Bruno Le Maire on Sunday.
Le Maire, speaking on LCI TV, declined to comment on the amount involved.
The airline group, which last year received 10.4 billion euros ($12.2 billion) in government-backed loans, has been discussing a multi-stage recapitalisation plan to lighten the resulting debt load, sources have said.
This will likely involve converting a 3 billion-euro French government loan into hybrid instruments.