24. 1. 2007 - CSA’s Shareholders Decided to Hive Off the Cargo Terminal and Catering as Subsidiaries
Prague, 24 January 2007
Today, Czech Airline’s (CSA) Extraordinary General Meeting decided to separate out the Cargo Terminal and Catering as subsidiaries. The newly established companies, Air Cargo Terminal a.s. and Air Czech Catering a.s., will be 100% owned by Czech Airlines for the time being. By hiving the companies off as subsidiaries, the Extraordinary General Meeting made the first step towards the discussed divestment of both companies; however, that would only take place should the offers be advantageous for CSA.
The sale of the Cargo Terminal and Catering is one of the steps proposed as part of the company’s restructuring plan, which should stabilise the Company and make it profitable. CSA received the preliminary bids of buyers interested in purchasing Catering on 12 January. Bids for the Cargo Terminal are expected at the end of January. The bids for both companies will be evaluated and a shortlist made, of companies that will be permitted to perform due diligence. Binding price bids are expected in early April. The divestments are expected to be carried out by mid-2008.
CSA Cargo presently provides for the air freight carriage on regular and charter CSA flights, and also runs one of Europe’s most modern cargo terminals at the Prague–Ruzyně Airport. All aircraft cargo handling activities, including the terminal building, will be transferred to the newly established corporation Air Cargo Terminal; however, CSA will continue to provide air carriage of goods and mail on its regular and charter lines.
CSA Catering provides for the making of meals and their supply on board CSA and other airlines’ aircraft. All of those activities, including the renovated building at Prague Airport, where the meals are made, will be transferred to the new company Air Czech Catering. Both new companies will also take over the current CSA employees in the catering and cargo operations, i.e., approximately 500 employees.