Union hopes that workers will not be called to rescue TAP

O Union of Aviation Workers and Airports (Sitava) said today to hope that TAP workers will not be called upon to rescue the company, following privatisation, as stated to have happened throughout the history of the carrier.

“ Throughout TAP's history, whenever it advanced to privatizations — total or partial — it was the workers who ended up calling to rescue the company from the consequences that followed. Let us hope that it will not happen in the future, near or distant”, he said, in a statement.

Sitava referred to having transmitted this position to the two candidates who reached the final stage, Lufthansa and Air France-KLM.

On Wednesday, the Government selected Lufthansa for the partial privatisation of TAP, with a proposal of EUR 1,201 million for up to 49.9% of the capital, and planned to complete the operation by the beginning of 2028.

The decision, announced by the Prime Minister, Luís Montenegro, was taken at the Council of Ministers, after examining the improved binding final proposals submitted by Air France-KLM and Lufthansa, the two groups that reached the decisive stage of the privatisation of the Portuguese airline.

Sitava also criticized the apparent segmentation of the company, with the maintenance and engineering of TAP integrated into the Lufthansa group.

“To happen will be a gross mistake. We will see if it will not be just the first of many ", warned.

This union also stressed that TAP was “built, maintained and saved” by workers and not by successive governments or economic groups.

Sitava has ensured that he will follow this process and will not allow the past to be repeated.

“TAP will only have a future if this future includes, clearly and respectfully, those that every day ensure that the company flies safely,” he said.

The Lufthansa proposal includes a reference price of EUR 1,025 million per 44.9% of TAP, plus EUR 58 million in time adjustments related to the ticket issue rate (“ticketing fee”), SPdH (former Groundforce, ground-handling company) and Cateringpor (meal services on board), in addition to 118 million for 5% reserved for workers, raising the potential fit to EUR 1,201 million.

Air France-KLM, on the other hand, offered EUR 850 million for the 44.9% of the capital, plus EUR 86 million in adjustments of the same nature and EUR 102 million for the share reserved for employees, totaling EUR 1,038 million.

The French-Dutch group’s proposal also provided for an additional payment of EUR 100 million, conditional on TAP’s meeting of financial targets in 2028, namely an operating result (EBITDA) of at least EUR 1,036 million and a net financial debt of not more than EUR 2,900 million.

The assessment also took into account the proposals made by the two competitors for a possible second phase of privatisation, a condition requested in the specifications, which would allow the selected investor to acquire the majority of the company’s capital.

In this scenario, Lufthansa presented an additional €1.351 million proposal for the acquisition of the remaining €50.1% of TAP, of which €863 million would be paid in cash and €488 million through an exchange of shares.

This operation would allow the Portuguese State to become the second largest shareholder in the group resulting from the combination of Lufthansa and TAP, maintaining an indirect participation in the Portuguese carrier.

Considering the two phases, the proposal implies a direct valuation of TAP of EUR 2,552 million, higher than the independent assessments submitted to the Government.