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Financing problems: Germania cannot pay wages

The German airline has not yet received the millions promised by investors. Therefore, Germania cannot pay in time.

It is a harsh message that on Thursday morning (January 31), CEO and Owner Karsten Balke and Chief Operating Officer Clauspeter Schwarz informed Germania employees: "In the context of the current funding process, wages are being delayed. We are deeply sorry for this," it says in an intranet report available at aeroTELEGRAPH Efforts are being made to ensure that your account receives payment as soon as possible, ”write both managers.

At the request of aeroTELEGRAPH, a representative of Germania confirmed that "pay for January for Germania Fluggesellschaft mbH and Germania Technik Brandenburg GmbH has been delayed". Management apologizes to employees. When asked about the potential impact of funding shortages on operations, the spokesman said: "We have stable operations without restrictions."

Money not yet received

In December last year, after heavy losses in summer, Germania was in an acute financial situation. As a result, Balke even considered the sale of its airline and in January led the relevant discussions. However, on January 19, Germania announced that it had successfully found investors and wanted to continue its business. "Today we have received an important commitment to our financing efforts," Balke quoted. So one got more than 15 million euros, which one was trying. "We have to spend the next week." From where the money comes, said the airline boss.

However, on 29 January, the Die Welt newspaper reported that the airline had not yet received funding. Germania only says, "The funding process, which is based on the Germania mbH, continues." Further information and development stage cannot be new information.

Deep red numbers in three years

In the past two years, the Germania group had written deep red numbers. In 2016, net losses were over 32 million euros and in 2017 – 8.3 million euros. For 2018, the Management Board predicted that "the consolidated annual result is minus 20 to minus EUR 30 million".

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