Troubled FlyLAL acquired by Swiss investor

Loss-making FlyLAL Lithuanian Airlines has been purchased by SCH Swiss Capital Holdings for US$1 million plus an agreement to cover debt of some €1 million (US$1.4 million). “We were looking for an airline to purchase, and this is a good company to invest in. FlyLAL can be a very strong regional carrier,” SCH CEO Jan […]


consolidation FlyLAL Lithuanian Airlines SCH Swiss Capital Holdings


Loss-making FlyLAL Lithuanian Airlines has been purchased by SCH Swiss Capital Holdings for US$1 million plus an agreement to cover debt of some €1 million (US$1.4 million). “We were looking for an airline to purchase, and this is a good company to invest in. FlyLAL can be a very strong regional carrier,” SCH CEO Jan Erik Jansson told the Associated Press. The sale will take effect on 23 January. FlyLAL was privatised in 2005 and was held by several Lithuanian investors. It lost LTL8.1 million (US$3.2 million) in 2007 and last month was rebuffed in its attempt to sell a 51 per cent stake back to the government for a “symbolic” LTL1. At that point it announced the suspension of service to Istanbul Ataturk, Rome Fiumicino and Paris Charles de Gaulle and a reduction of flights to Frankfurt and Milan. The carrier operates four 737-500s and three Saab 2000s.