Malev - another airline gone

[Harmonica]

Bit of an unfortunate BBC headline

BBC News - Hungarian airline Malev collapses

The Hungarian national airline Malev has folded after its financial situation became unsustainable.

"At 0500 GMT... after 66 years of almost continuous operation Malev will no longer take off," it said.

It came after the European Commission ordered Malev to repay various forms of state aid received from 2007 to 2010.

The sums involved amounted to 38 billion forints (130m euros; $171m; £108m), a sum equal to its entire 2010 revenue.

"Despite its best interests the owner can no longer provide financial resources for the operation of the airline in the wake of the condemning decision of the European Commission," an airline statement said.

The European Consumer Organisation, which "defends the interests of all Europe's consumers", said the news came after Spanair's collapse in the very same week.

"This development is yet more incontrovertible proof that the current update of European legislation on air travel must incorporate a mandatory guarantee against airline bankruptcies," it said.

Prime Minister Viktor Orban said on state radio that two Malev planes were still overseas, one in Tel Aviv, the other in the Irish Republic.

The premier said those planes were not allowed to take off because of Malev's debts.

Looks like at least 25% of their revenue was taxpayer subsidies. Who gets to keep the stranded plane here?

[harshreality]

What will Michael O'Leary say about this I wonder.

[irish_bob]

flew with them once , kip of an airline from a kip of a country

[forest]

I am shocked by this and it is devastating news for Hungary
Malav was a great airline and acted as a transit airline to visit other places like Ukraine and Russia
I hope they can sort it out in the end

[johnfás]

Flew them once, good experience actually.

[irish_bob]

Flew them once, good experience actually.

they were a lot more expensive for a flight from dublin to budapest with aer lingus and the service was no better and unlike the girls in green , hungarians are not known for thier warm personalitys

[luvmycountry]

ya, I flew with them as well.. it was very good. shame to see good airlines go down (no pun intended..)

[Ruff says Flaherty]

What will Michael O'Leary say about this I wonder.

That they failed because they aren't as good at being prudent and cost-effective as Ryanair.

[harshreality]

That they failed because they aren't as good at being prudent and cost-effective as Ryanair.

Exactly, and I can see Ryanair moving in and occupying much of the space that once belonged to Malev.
They failed to adjust to circumstances and are now unfortunately for them paying the price.

[EndDiddlyaism]

Exactly, and I can see Ryanair moving in and occupying much of the space that once belonged to Malev.
They failed to adjust to circumstances and are now unfortunately for them paying the price.

Michael O'Leary announced this on January 24th last Ryanair launches new Dublin-Budapest route - RT News

Poor old Hungary is completely fooked as an economy and this new lad Viktor Orban is looking to ride roughshod over it's citizens http://www.globalpost.com/dispatch/n...eo-nazi-eu-imf. It's gonna get very very messy out there.