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Bolivia clips wings of Spanish airport firm

Bolivia's President Evo Morales has ordered the nationalization of Spanish airport operator SABSA after accusing the firm of failing to invest enough in local business.

Published: 19 February 2013 10:22 CET

Bolivia clips wings of Spanish airport firm

Morales has a history of nationalizing Spanish firms operating in Bolivia. Photo: Aizar Raldes/AFP

Morales on Monday announced he plans to take over the SABSA airports serving Bolivia's three largest cities.

Morales, who made the announcement at a news conference in the city of Cochabamba, promised negotiations with SABSA, an affiliate of the Spanish firms Abertis and Aena, within 180 days on the amount of compensation.

He also ordered the military to take control of the three airports "to safeguard the public interest" and warned that any attempt to impede the nationalization would mean prosecution for those involved.

The company has run the airports serving La Paz, Cochabamba and Santa Cruz since 1997, when they were privatized. It was acquired by the Spanish group Abertis-Airports in 2005.

It is the third nationalization affecting Spanish investments in Bolivia in less than a year.

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Ryanair demands that Air France give up French airport slots in exchange for state aid

Could Air France be forced to give up airport slots if it accepts more aid from the French state? Photo: AFP

Paris is in talks with European Union officials on the delicate issue of state aid to the French flagship carrier, which has already received substantial help from the government.

“Should yet another enormous and illegal state aid bailout occur, then effective remedies must be applied to ensure fair competition in the French market and to protect the interests of the French consumer / visitor,” a Ryanair statement said.

The low-cost airline is based in Ireland and regularly underscores the amount of money being allocated to keep struggling rivals in the air.

In exchange for more aid, Air France must be prepared to give up “a substantial number of its take-off and landing slots at key French airports including Paris Charles De Gaulle, Paris Orly and Lyon,” Ryanair argued.

French officials and the European Commission are currently discussing the terms of a further recapitalisation of the Air France-KLM group, which has suffered from the Covid-19 crisis.

EU officials have already indicated that in exchange for their approval, Air France should give up coveted slots at Paris' Orly airport, which is essentially saturated now.

Air France on the other hand has indicated that such a move posed a serious threat because it was counting on Orly operations to help it rebound from the crisis.

French officials want to avoid putting Air France, which was struggling even before the pandemic, at a competitive disadvantage.

Ryanair urged EU competition chief Margrethe Vestager to “stand firm in her discussions with the French government.

“Either Air France gets no state aid or proper remedies should be put in place to ensure a fair and level playing field for all airlines,” it insisted.

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