Austrian Airlines to get 600-mln-euro rescue package

Austrian Airlines will receive a E600m rescue package to mitigate the effects of the coronavirus pandemic, the government said Monday, but also announced new rules to make aviation more climate-friendly. In a press conferences announcing the rescue deal, ministers said a minimum price of E40 will be introduced to combat "social and environmental dumping" in the aviation industry. "It will no longer be possible to offer tickets which are cheaper than the actual costs," said Environment Minister Leonore Gewessler, referring to the social and environmental impact of the industry. Austria will provide E450m of the rescue package, with the rest coming from German giant Lufthansa, of which Austrian Airlines is a subsidiary, Chancellor Sebastian Kurz said. The Austrian government will guarantee E300m in loans on top of a E150m grant, he added. Finance Minister Gernot Bluemel said the airline would be taken into state ownership if it wasn't able to pay the loans back. Kurz said the airlines and the government had agreed to three goals: saving jobs, maintaining Vienna as a key hub and "necessary measures in terms of climate protection". <br/>