US Senate bill set to give aviation sector up to US$33b bailout, say sources

The aid package is also expected to include another US$29 billion in loans for airlines, and the government could receive equity, warrants or other compensation as part of the rescue package. — Reuters pic
The aid package is also expected to include another US$29 billion in loans for airlines, and the government could receive equity, warrants or other compensation as part of the rescue package. — Reuters pic

WASHINGTON, March 25 — A compromise US$2 trillion (RM8.9 trillion) economic rescue package that will be voted on by the US Senate today is set to give passenger airlines about US$25 billion in grants, and up to another US$8 billion for cargo carriers and airport contractors, three people briefed on the negotiations said.

Reuters reported that a deal for cash grants for payroll and other airline employee costs was near yesterday, after airlines made a last-minute effort to convince lawmakers they needed the cash to prevent the layoffs of tens of thousands of workers.

The aid package is also expected to include another US$29 billion in loans for airlines, and the government could receive equity, warrants or other compensation as part of the rescue package. US airports are set to receive US$10 billion in grants under the agreement. The final text is still being drafted. — Reuters

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