Cash injection of US141 m for Royal Jordanian
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Royal Jordanian Airlines will receive a cash injection of JOD 100 million (US$141 m) this year, which will help recover from operational losses on its Middle Eastern routes. This was disclosed by an executive from the airline, as reported by Reuters.
The airline stated last year that it would stop flying over Syrian airspace for security reasons, a move that affected Beirut, a major destination. An alternative route via Egyptian airspace and over the Mediterranean meant a longer journey for its four daily flights.
The airline stopped regular flights to Damascus in 2012 along with some other carriers. “We have been affected by the Middle East situation, I would say that around 40% of our business is in this region,” said Basma al-Majali, acting vice president of the airline’s commercial section was quoted by Reuters.
The cash injection of JOD 100 m will be half funded by the government and rest by unnamed outside investors. She added she expected the move to help the airline return to profits ‘within a year or two’.
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