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Saturday, 08.02.2025, 23:17
President of "airBaltic" prepared to revise his salary
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| Bertolt Flick |
Dombrovskis said that airBaltic is not a 100-% state company. However, the premier believes that the salary for the company's head should depend on the economic situation in Latvia and the company's financial results.
The state has made a decision to keep its majority interest in the airline, therefore the state will increase the share capital of the company, Dombrovskis said.
In order to do this, several preconditions will have be taken in consideration, one of which is that airBaltic will have to present to the government its development strategy for the coming years.
Yesterday the government did not yet consider a specific sum of money that will be invested in airBaltic share capital, this will be considered when the preconditions for the increase of the airline's share capital are fulfilled, said Dombrovskis, pointing out that, in increasing the share capital, the state will retain majority control in the company.
Increasing the share capital of airBaltic will not make the state budget deficit larger, which is an important issue in talks with international lenders, Dombrovskis emphasized.
As reported, the government reached an agreement in principle at a meeting behind closed doors yesterday to increase the share capital of airBaltic. It is planned that the government will issue convertible bonds, which will be purchased by the Latvian State Radio and Television Center (LVRTC), thus the state will retain control over 52% of the airline's shares.
As reported, airBaltic was established in 1995, its principal shareholders are the state of Latvia with 52.6% of the shares and the company Baltijas aviacijas sistemas, owned by Flick, with 47.2% of shares.
As the newspaper Diena reported previously, Flick's salary is LVL 14,000 a month. In 2007, Flick's monthly income – the salary and bonuses received for the airline's results in 2006, was LVL 29,000 per month on the average. The salary ceiling established for other heads at state companies does not apply to airBaltic, since the state owns only a part of its shares.
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