ElAl effectively shutdown...
Apr 21, 2020, 10:31 pm
#31
Join Date: May 2012
Location: BKK/SIN/YYZ/YUL
Programs: DL, AC, Bonvoy, Accor, Hilton
Posts: 2,917
El Al signed an agreement with logistics giant Kuehne+Nagel whereby the airline will operate 150 cargo flights from China to Italy until October (two daily flights). Two of El Al 777s have already been converted to a cargo-only configuration. Returning from Italy (where to? China or Israel? unclear) the flights will go via the UK, France, Germany, the Netherlands and Switzerland. Source: HaAretz (Hebrew)
Shuly
Shuly
Anyway, there is absolutely no way that the physical asset and talent pool will be allowed to disappear. El AL is essential to national security. Maybe the airline gets restructured. Maybe they call it something else, maybe it gets a bit smaller, but there will always be a national airline. Same as the UK, or Canada or France will always have an national airline. One thing every country has learned from the Covid 19 catastrophe is that core capabilities must be maintained, even at a national cost. An airline, especially for a country like Israel, is a must have asset.
May 10, 2020, 11:51 am
#36
Join Date: Sep 2018
Posts: 229
May 10, 2020, 3:37 pm
#37
Join Date: Feb 2008
Location: Paris, France
Programs: El Al Matmid, Air France Flying Blue Silver
Posts: 2,294
May 10, 2020, 4:03 pm
#38
Moderator: Travel Safety/Security, Travel Tools, California, Los Angeles; FlyerTalk Evangelist
Join Date: Dec 2009
Location: LAX
Programs: oneword Emerald
Posts: 20,603
More details in ynet (Hebrew).
Some of the conditions include cash infusion by the Borowitz family, which controls El Al, improved cost structure / operating efficiency, agreement of the unions and deferral of aircraft lease and loan payments.
Some of the conditions include cash infusion by the Borowitz family, which controls El Al, improved cost structure / operating efficiency, agreement of the unions and deferral of aircraft lease and loan payments.
May 11, 2020, 4:11 am
#39
Join Date: May 2000
Location: Zichron Yakov, Israel
Programs: SPG Gold
Posts: 808
Further details in Globes
https://en.globes.co.il/en/article-t...rms-1001328055
End of free flights for employees and family.
https://en.globes.co.il/en/article-t...rms-1001328055
End of free flights for employees and family.
May 11, 2020, 9:01 am
#40
Join Date: Jun 2006
Location: Israel
Programs: Elal Silver, AirCanada Aeroplan, AA AAdvantage, KLM Flying Blue, Continental OnePass, Delta Skymiles
Posts: 529
Just glad Elal is continuing.
I am just a pleased customer and fortunately didn't need them to retrieve me from being stranded in some foreign country.
They will always have my support.
I am just a pleased customer and fortunately didn't need them to retrieve me from being stranded in some foreign country.
They will always have my support.
May 11, 2020, 9:01 am
#41
Suspended
Join Date: Nov 1999
Posts: 24,153
Further details in Globes
https://en.globes.co.il/en/article-t...rms-1001328055
End of free flights for employees and family.
https://en.globes.co.il/en/article-t...rms-1001328055
End of free flights for employees and family.
I can see ending it for former employees and restricting it to how many family members may fly at any given time and further restricting it to a spouse and kids under 18 and how many trips can be taken each year . But like most airlines I dont feel its something that s/b terminated
I understand the govt will only be backing up the loan and not actually giving any money over Yet, but I dont see then loan being repaid if LY isnt flying and making a profit
I fully understand why Israel needs a National carrier but who says it has to be ElAl, I see ElAl simply as a money pit unless everything is revamped from top to bottom and no way is that gona be happening
May 13, 2020, 9:02 am
#42
Join Date: May 2000
Location: Zichron Yakov, Israel
Programs: SPG Gold
Posts: 808
El Al CEO appeals to Netanyahu to lighten the terms
May 17, 2020, 7:34 am
#45
Join Date: May 2000
Location: Zichron Yakov, Israel
Programs: SPG Gold
Posts: 808
El Al loses $140 million due to LOW fuel prices
https://www.themarker.com/markets/.premium-1.8850705
Article behind paywall - it seems that El Al has lost potentially some $140 million due to hedges on the price of jet fuel. Since the price has collapsed, El Al has to put down an additional $49 million collateral on the hedges. If the price of jet fuel goes up then the loss can be minimized.
Another hedge on the Libor interest rate will cost El Al another $50 million.
Article behind paywall - it seems that El Al has lost potentially some $140 million due to hedges on the price of jet fuel. Since the price has collapsed, El Al has to put down an additional $49 million collateral on the hedges. If the price of jet fuel goes up then the loss can be minimized.
Another hedge on the Libor interest rate will cost El Al another $50 million.