The Khronicles

 The Bilingual Community Newspaper

'Η Δίγλωσση Τοπική Εφημερίδα Σας

Τα Χρονικά
    ISSUE NO. 36 APRIL 2009 WWW.KO-GO.GR    


The Khronicles

A division of

Ko-Go Επιχειρήσεις

Box 332
Kokkini Hani 71500
Web address: www.ko-go.gr
editor@ko-go.gr
Telephone: 2810-762748
Fax: 2810-762816

Publisher:

Sofia Klidi

Editor:

Lou Duro

Associate Editors:

Tony & Christine Bowes

Web Editor

John McLaren

Contributors/
Columnists:

Renie Spykerman, Petra Karreman, Maria Daskalaki, John McLaren, Bob Bayes, Father Dimitris Mihouthis, Father Leonidas Hatzakis, Vasiliki Alexaki-Hronaki, Michalis Vardakis, Niki Yiamalaki, Dr. Vangelis Athousakis, Nikolaos Papadakis, Spyros Hatzakis, Jasmine Farsarakis

Translations:

Ada Vamvoukaki

Photographer:

Sami Moudavaris

Layout & Design:

George Drakakis

Printed By:

G Detorakis

WHAT FINANCIAL CRISIS?
GREECE GETS 180M FOR OLYMPIC


In what some people are calling "the sale of the century," the government confirmed that a deal has been struck to sell the nearly bankrupt Olympic Airlines to the investment-holding company Marfin Investment Group (MIG) for a total of a 177.2 million Euros.

The deal is even more amazing since it comes at a time when industry sources predict a continuing decline in air travel due to the financial crisis.

Already approved by the EU, Greece will receive 177 million Euros ($224.4 million) from the sale. Also, the sale will avert the closure of the airline that links the mainland and hundreds of Greek islands, playing a critical role in the country’s tourism and transport infrastructure.

Plagued by regulatory and union disputes, successive Greek governments have struggled to sell the carrier.

 

 
As details of the new owners’ plans for the carrier began to emerge, Development Minister Konstantinos Hatzidakis said the sale would be a major money-spinner for the Greek state. “We will have a new Olympic, for which Greek taxpayers will not have to pay 350 million euros per year," he predicted. "Instead, we will receive 150 million euros per year in taxes.”

When asked by a journalist if taxpayers, who have been footing the airline's bills to the tune of 2 billion euros over the past decade, will receive a rebate from this new tax windfall, he ignored the question.

According to sources, MIG has already begun looking at cooperation with other European airlines and is searching for either new or used airplanes to buy and is publishing classifieds advertising positions with the new airline.

Also, the future of some 8,000 employees currently working for Olympic is now being decided.

These same sources said that MIG plans to offer 2,500 to 3,000 workers early retirement while another 4,500 will be offered jobs in other areas of the public sector, although they will also have the opportunity to apply for positions with the new airline.

MIG is expected to take complete control of the airline in September and part of the deal it has struck with the government is that it will not sell it on for at least another year after that.

Now that Greece has finally unloaded its main "white elephant," there are unsubstantiated rumours circulating that the country has a certain bridge it wants to sell.


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