Czech airline Smartwings secures EUR 72 mn lifeline loan

The Czech airline company Smartwings has obtained a loan of over 72 million euros (CZK 2 billion) to help it overcome the revenue crisis stemming from the coronavirus pandemic.

Smartwings laid off about 500 employees last year and its subsidiary Czech Airlines (ČSA) declared bankruptcy several weeks ago. According to the server zdopravy.cz, 80 percent of the loan is guaranteed by the Czech state.

Most of the loan was provided by UniCredit Bank, followed by Komerční banka, ČSOB and Česká spořitelna. Part will be guaranteed by the Export Insurance and Guarantee Company (EGAP).