High costs with almost zero income. This problem forces even financially strong airlines to take drastic measures in the wake of the corona crisis. Last year, for example, a state participation in Lufthansa would have been unthinkable. No it is reality. The situation is even worse for companies that did not make a profit before and do not have much liquidity - such as Air Mauritius.
The crisis could even mean the end of the airline. At the end of April, Air Mauritius declared itself insolvent and was placed under creditor protection. But maybe it won't stay that way. The year of the 50th anniversary could mean the end for the national airline of the island state. «The possibility of a liquidation is becoming increasingly visible,» the special administrator of Air Mauritius, Sattar Hajee Abdoula, told the local press.
First steps already taken
One thing is for sure: everyone would have to make financial sacrifices if Air Mauritius could be saved, he added. But first steps towards liquidation have even been taken. «The process of submitting our application to the Redundancy Board has begun». This institution is responsible for all cases of downsizing and closure of companies for economic, financial, structural, technological and other reasons.
Air Mauritius was already not well before the pandemic. As a result, it wanted to lease two of the four Airbus A350s it had ordered to South African Airways. The Supervisory Board had also initiated a strategy review.
