Stobart Group

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The Boss of Flybe has confirmed that the airline is in talks with the government on a loan, but says that financial support would not action as a rescue.

Mark Anderson said Flybe employees of The Company have already had some "difficult days" This Week , but it still had "a great future".

He said The Company had begun the turnaround of The Company -to work plan, and that with more time it would be a big win.

Rival airlines have help for more details about the role of the government, Flybe will be made available to the public.

they argue that the support for the ailing regional carrier rules against the competition.

Mr Anderson, whose address for the staff, it was transferred to, video link and was said by the BBC, the government recognized that the airline ejected a vital role in connecting far parts of the United Kingdom and wanted to help The Company thrive.

"We are in talks with the government to have a financial loan - a loan, not a bailout a loan, but this is the same as any other loan, we would from any bank," he said.

According to The State aid rules of the loan would have to be either in the short term, and focuses on The Rescue and the restructuring of The Business , or it would have under the same conditions a private lender, like a bank would offer.

"The government is not rich, if you believe that there is a credible plan. Not good money after throwing the bad," said Mr Anderson said.

'More money needed'

Mr Anderson said he wanted to address speculation about The Company future

He said The Company had "legacy problems", which was previously not obvious to The Group of investors led by Virgin Atlantic , which bought the airline at the beginning of last Year .

Mark Anderson addressed Flybe to explain to employees, the events of The Last few days

"Our shareholders invested a lot of money in the belief that they fully understood the condition of The Company , which had bought it," he said.

"The reality... is that we thought in the worse shape as well as the shareholders, we would be.

"We went in the summer, very unresilient in terms of our operation, with a weak fleet, with a lot of gaps in relation to the people of our aircraft to fly, with huge payments to be made to work to get people to work overtime. "

A combination of higher costs, delayed flights and compensation for delayed passengers thought The Company was losing money "hand over fist" for a time, he said.

"Three-quarters of The Money disappeared, the shareholders had invested, before we had even really begun. That has hurt this business, and more money is needed. "

However, he said at the beginning of January, Flybe turnaround plan was working and sales ahead of expectations.

"We are in a completely different place than where we were six months ago," he said.

"We are not the million, the profit at the moment, but if we keep to The Plan , and what we have to do, we will," he said.

He gave This Week reporting dented sales, but said he believed customers would return quickly. But he said that there is a risk of a "self-fulfilling prophecy" when people talk more, The Company is down.

Fair competition

On Thursday, the chief of a rival airline Ryanair, the government designated the measures for the support of Flybe as a "bad rescue of a chronically loss-making airline is thought".

Michael O 'leary, has sent a strongly-worded letter to the Chancellor, Sajid Javid , in which he argued that all the measures have been implemented to help Flybe should be expanded to other airlines.

"We must be treated in the same way as Flybe, to exist when fair competition is," he wrote.

He said, if the initiate the case, Ryanair would consider legal action. British Airways owner IAG has already filed a complaint with the EU, with the argument of The Rescue of a breach of The State aid rules and has a Freedom of Information request for more details on The Plan submitted.

The government has not published The Details of what you discussed with Flybe, although it has said it is fully compatible with The State aid rules.

support of The government, is thought to centre on the indication of the airline additional time to pay over £100m of outstanding Air Passenger Duty (APD).

Flybe-owner Richard Branson 's Virgin Atlantic , Stobart Group and Cyrus Capital agreed to invest £30m in the airline.

Stobart Group said it would provide £9m of capital", with the funds drawn down only when necessary".

air travel, companies, flybe

Source of news: bbc.com