12-Dec-2012 4:37 PM

LOT applies for state aid, seeking USD127m in first tranche: report

Poland's Treasury said LOT has applied for PLN400 million (USD127 million) as a first tranche of state aid, according to a report by Gazeta Wyborcza. Poland, which directly and indirectly controls 93% of LOT, has failed in its attempts to find an investor. Talks with Turkish Airlines collapsed several months ago. The Treasury did not say the total amount of state aid, although it is reported to total PLN1 billion (USD318 million). The carrier said it would radically restructure after receiving the funding LOT planned to apply for. LOT said: "I can only say that we will be conducting deep restructuring. We are meeting our workers tomorrow and this is when more information will be available".

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