The German government is throwing a nine-billion-euro lifeline to airline giant Lufthansa. The carrier has been locked in talks for weeks with Berlin, nailing down the terms of a bailout to survive the coronavirus travel slump.
The German airline's top shareholder has said he will back the deal, quashing fears he would scupper the government's proposed rescue package. The €9 billion deal is set to be voted on by investors on Thursday.
The move is part of a restructuring plan to cope with the economic fallout of the coronavirus crisis. The airline said it would halve its investment in new aircraft.
Shareholders of Germany's flag-carrier have accepted the conditions of a multi-billion euro government bailout to keep the airline aloft. The deal gives the German government a 20% stake in the airline.
Berlin and the German airline giant Lufthansa have agreed on a nine-billion-euro ($9.8 billion) rescue package. The deal is intended to help the airline cope with losses incurred by the effects of the COVID-19 pandemic.
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