CSA Czech Airlines (OK, Prague Václav Havel) CEO, Jozef Sinčák, says his airline has enough capital reserve to ensure it sees through the upcoming winter season but has hinted at a possible cash injection by the airline's largest shareholders, Czech Aeroholdings and Korean Air (KE, Seoul Incheon).
According to the E15 business journal, the two entities are considering a CZK800million (USD37million) disbursement to help shore up the struggling carrier's coffers as it prepares to undergo restructuring.
Among the controversial measures involved include the laying off of 70 of its 230 pilots, 150 of the 400 flight staff, and 60 of its 270 administrative workers. The airline's fleet of six A320-200s will also be disposed of as a result of the decline in demand from the carrier's historically strong Russian market base.
Initial talks concerning the impending lay-offs were held last week in Prague with airline management, trade unions and government representatives attending.
