US airline bailout to give loans and cash-for-equity aid
Struggling US airlines will be eligible to receive federal loans and, if they are willing to give the govt an option for an ownership stake, direct cash assistance under the coronavirus rescue deal reached by lawmakers and the White House. The bill includes a US$62b lifeline for struggling US airlines, cargo carriers and contractors, with about half in loans and half in grants to make payroll, according to a draft version circulating to lawmakers Wednesday morning. Treasury secretary Steven Mnuchin would be empowered to require equity or other securities in return for the cash assistance to keep workers on the job, and other restrictions would apply, including a limitation on reducing payrolls and on executive pay. Passenger carriers would get up to $25b in grants and cargo haulers $4b, with a like amount of loans. <br/>
https://portal.staralliance.com/cms/news/hot-topics/2020-03-26/general/us-airline-bailout-to-give-loans-and-cash-for-equity-aid
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US airline bailout to give loans and cash-for-equity aid
Struggling US airlines will be eligible to receive federal loans and, if they are willing to give the govt an option for an ownership stake, direct cash assistance under the coronavirus rescue deal reached by lawmakers and the White House. The bill includes a US$62b lifeline for struggling US airlines, cargo carriers and contractors, with about half in loans and half in grants to make payroll, according to a draft version circulating to lawmakers Wednesday morning. Treasury secretary Steven Mnuchin would be empowered to require equity or other securities in return for the cash assistance to keep workers on the job, and other restrictions would apply, including a limitation on reducing payrolls and on executive pay. Passenger carriers would get up to $25b in grants and cargo haulers $4b, with a like amount of loans. <br/>
