Sabena, the stricken Belgian national carrier, is to file for bankruptcy after grounding all its flights yesterday as staff staged an impromptu walkout.
Extra police were sent to Brussels airport to prevent violence as angry passengers were told their flights had been cancelled.
Sabena expects a Belgian court to declare it bankrupt today. Chairman Mr Fred Chaffart told a news conference Sabena was still in talks with discount airline Virgin Express, financial institutions and other investors on restarting a smaller airline focused mainly on Europe. However, Virgin Express, called the airline's recovery plan unworkable.
The collapse of debt-laden Sabena, 50.5-per cent owned by the Belgian government, marks the first time one of Europe's national flag carriers has opted for full bankruptcy. Aer Lingus was forced to cancel one flight to Brussels airport and divert another yesterday as a result of a walk out by Sabena staff. The 11.45 am Aer Lingus flight to Brussels was cancelled. Passengers were instead accommodated on a flight to Amsterdam and then brought to Brussels by rail. The 4.45 p.m. Aer Lingus flight was diverted to Amsterdam and again passengers were taken to Brussels by train.
Reciprocal flights from Brussels were also hit. Aer Lingus delayed the return of its diverted flight from Amsterdam to accommodate the arrival of passengers from Brussels.
A Belgian court last month gave the airline until November 8th to come up with a rescue plan. Union leaders spent much of yesterday meeting government officials to discuss the airline's future. One union leader, Mr Freddy Tack, said that little progress had been made. "The government is still working to create a new company in which we hope to save as many jobs as possible," he said.
Industry analysts believe that almost all Sabena's 12,000 employees are likely to lose their jobs. A spokesman for Aer Lingus said the airline would continue with the Dublin-Amsterdam arrangement until the situation regarding the walk-out of staff in Brussels became clearer.
Meanwhile, it is understood that Aer Lingus will not honour Sabena tickets for flights operated by the Irish airline under a code sharing agreement if Sabena is declared bankrupt. Under the arrangement, Sabena block books space on Aer Lingus flights to and from Brussels and contracts to buy that block of seats from the Aer Lingus. Sabena then markets the seats as its own.
Passengers holding tickets bought from Sabena or one of its agents will not be accepted on Aer Lingus flights. Although it is understood that Aer Lingus will try make capacity available for Sabena customers, those customers will have to pay Aer Lingus for their seats.
