VIENNA (Reuters) - Struggling Austrian Airlines will not ask parent Lufthansa for more money, after a 90 million euro cash injection for plane upgrades, its chief executive said.
“There’s no question of it,” Jaan Albrecht told the Salzburger Nachrichten newspaper in an interview published on Friday. “I would find it very difficult to hold out my hand again. I won’t do it.”
Austrian Airlines AUA.L, bought by Lufthansa in 2009, is restructuring as it battles slowing demand, increased competition from discount carriers and rising fuel prices.
The company made an adjusted operating profit of 6 million euros in the first nine months of this year, returning to the black after five years, but expects an annual loss due to the weaker winter months.
“We have stabilised AUA but it is not yet restructured,” Albrecht told the newspaper. “In 2013 we will have to show that our measures are taking hold and that we really have a cost structure that will allow us to land up close to breakeven.” (Reporting by Georgina Prodhan; Editing by Helen Massy-Beresford)