Monday, May 25, 2020 11:19 AM EST
By The Associated Press, AP
FRANKFURT, Germany (AP) — German airline Lufthansa said Monday it has received approval for a 9 billion-euro ($9.8 billion) "stabilization package” from a government support fund to keep the company going through the turbulence from the coronavirus outbreak, but cautions the deal has not been approved by the European Union's executive commission.
Lufthansa, which has lost most of its passenger business due to travel restrictions, said the government's fund has agreed to take non-voting holdings in return for 5.7 billion euros, plus a 3 billion-euro credit line and 300 million euros in share purchases.
That would leave the government fund with a 20-percent stake in the company and two seats on the board of directors.
The company's trading statement said that the deal has not been approved by the European Commission, which could set conditions intended to preserve fair competition.