Herman De Wulf/BRUSSELS
Belgian transport Minister Isabelle Durant is pushing the government for a policy statement on whether it plans to sell its stake in national flag carrier Sabena.
The new Belgian Government came to power in June but has yet to reach a conclusion about whether to hold on to its 25% stake or sell it off, probably to major shareholder the Swiss SAir Group, which already holds a 49.5% stake. Durant says she wants a decision soon on whether or not the government still wants to be involved in the airline's policy-making.
When the Swiss took their holding in Sabena in 1995, they also acquired the option of increasing its share, although it cannot do this until a bilateral trade agreement between the EU and Switzerland is agreed. The two sides have negotiated a deal and a Swiss referendum on the subject is expected next year. The earliest any agreement could be in place is 2001.
Aside from acquiring the shareholding in Sabena in 1995, the SAir Group lent the Belgian Government BFr4 billion to finance restructuring. One school of thought says if the Belgian Government agrees to the Swiss taking a majority interest in Sabena, it can keep the money as payment; a move which would increase the SAir Group stake to between 62.5% and 67% depending on the result of a re-evaluation of the airline's assets now under way.
Although the SAir Group has yet to declare its official position, strategic decisions are increasingly being taken in Zurich, rather than Brussels, and recently SAir subsidiary Swissair began streamlining its alliance with Sabena and is setting up the 50/50 joint venture Airline Management Company (AMC), which will become operational next year, and be based in London.
The previous government in Brussels had already indicated its willingness to give up its holding. Former prime minister Jean-Luc Dehaene revealed how the old government may have been thinking, telling Flight International on Sabena's A330 inaugural flight to Washington earlier this month: "Perhaps it might be wiser to sell 100% of Sabena in exchange for a 25% share in Swissair."
Whatever the outcome of the referendum, there is no way for Sabena to survive without its Swiss connection. The Belgian carrier's president, Valère Croes, says: "Sabena cannot survive alone. Last year we made a small profit. This year we will not. We expect to cover expenses and hopefully will end in the black, but only just. Without the Swiss we might just as well close the airline."
Source: Flight International
