Lufthansa has repaid or cancelled all remaining government funds injected to help the carrier survive the pandemic earlier than expected.
The repayment of state aid was made possible primarily by the rising demand for air travel, the fast restructuring and transformation of the Lufthansa Group and the capital markets’ confidence in the company.
A stabilisation fund of €1 billion was paid back to the German government on Friday.
The airline group also repaid €1.5 billion last month and another loan of €1 billion in February.
The moves mean that the European Social Fund (ESF) for is to sell its 14% stake in Lufthansa by October 2023 “at the latest”.
The German government’s package originally provided measures and loans of up to €9 billion, of which the company drew down €3.8 billion. This included around €306 million with which the ESF built up its shareholding in Lufthansa.
Lufthansa chief executive Carsten Spohr said: “On behalf of all Lufthansa employees, I would like to thank the German government and the German taxpayers.
“In the most serious financial crisis in our company’s history, they have given us a perspective for the future. This has enabled us to save more than 100,000 jobs.
“We are proud that we were able to keep our promise earlier than expected and repay the German financial aid.
“I would like to thank our employees for their great commitment and especially our customers who have remained loyal to us in these challenging times.
“Lufthansa was able to rely on Germany and Germany can rely on Lufthansa.
“Many challenges remain. Our ambition is to strengthen our position among the world’s leading airline groups. To this end, we will consistently continue the restructuring and transformation of the company.”
Chief financial officer Remco Steenbergen added: “We are determined to further strengthen our balance sheet, increase our profitability and generate attractive capital returns.
“Our financial targets published in June show this very clearly. We are convinced that we will create sustainable value for our shareholders.”