Cantiga Esteves. “There is a full despair of cash” on TAP – Express

To Cantiga Esteves, “is most urgent capitalization” of TAP, because “what may be at stake is the survival of the company.”

In view of the Members of the Commission of Economy and Public Works, following a request from the PS, Cantiga Esteves highlighted the company’s operating problems in the second half of last year, which turned out to be reflected in the results of TAP.

Stopping a cycle of positive results that lasted five years, TAP recorded losses of 46 million euros in 2014, mainly due to operational difficulties, which amounted to a loss of 108 million euros.

These losses, stressed the economist, forced to “look for the evaluation” group.

urgent capitalization
John Cantiga Esteves believes “most urgent capitalization” of TAP and defends the model chosen by the government to sell the group. According to the economist, the privatization on the stock exchange would not be the best solution. “A company with negative equity capital does not have to put on the stock market.”

Cantiga Esteves also dismiss the hypothesis of an injection of capital by the state, model advocated by the PS. “Applications for public recapitalization are accompanied by a set of constraints. They are permitted with a heavy contract documents” with “reduction of employment, unprofitable routes and fleet,” he said.

The Government’s intention is to complete the sale by the end of the first half, so the candidates have until May 15 to submit their offers.

The chosen model is for sale of up to 66% of the capital of the TAP group (61% with investors and 5% for workers), and their future owners may exercise a call option after two years and for a period of six months. The Government is still left with a put option of the remaining 34% of the capital so that the government completely out of the capital.