After an extraordinary government meeting, Minister of Transport Rihards Kozlovskis emphasized that this is not about state aid. Latvia, as one of the creditors, must be ready to participate in temporary financing on the same terms as private creditors. The possible amount ranges from zero to 30 million euros. Additionally, the government intends to ask the Saeima to extend the repayment deadline for the previously provided state loan of 30 million euros to airBaltic until December 31. Currently, the repayment deadline is set for August 31. The parliament will need to make three decisions: extend the loan term, allow the capitalization of the state's claims on the loan and its bonds into the company's equity, and grant the government the right to participate in additional financing if necessary. The meeting of airBaltic bondholders, scheduled for August 17, will be of particular importance. Prime Minister Andris Kulbergs stated that addressing the Saeima is necessary to ensure the continuous operation of the airline. According to him, in the current situation, the value of the shares is effectively zero, and the future of airBaltic is in the hands of the creditors. The company's new business plan includes attracting 225 million euros in temporary financing and significantly reducing the fleet. By the end of 2026, airBaltic plans to operate about 36 Airbus A220-300 aircraft instead of the current 54, and by 2031, around 40 aircraft. Last year, the turnover of the airBaltic group was 779.3 million euros, while the losses amounted to 44.3 million euros. Thus, the coming days may be decisive for airBaltic: on August 17, creditors will have to make decisions that will largely determine the future of the national airline.
