Gulf Air bailout ahead of rationalisation

A US$494 million rescue package has been approved by the Bahrain government for struggling Gulf Air.

According to a report in ATW, the conditions imposed on the airline may include substantial down-sizing to focus on regional services, in the process reducing the airline’s international flying program to only Paris and London.  Fleet size may be reduced from the current 39 aircraft to 20, with potentially impacts on Gulf’s orders for 20 Airbus A330s and 16 Boeing 787s.

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