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Gulf Air to receive USD490.6m Government funding and commence restructuring

10-Oct-2012 3:33 PM

Bahrain's Government reviewed Gulf Air's administrative and financial status and agreed to continue to support the airline, according to local reports from sources including Gulf Daily News, Bahrain News Agency, Al Watan and Al Wasat. Bahrain's Shura Council chairman of finance and economic affairs Khalid Husain Mahdi Al Maskati said the Council approved the Government's request for BHD185 million (USD490.6 million) funding for the airline, conditional on the carrier implementing a restructuring programme to reduce losses to BHD58 million (USD153.8 million) by 2017. The restructuring reportedly may result in Gulf Air reducing its fleet and workforce by 50%.