As to a press release from the 29th of April, 2020, the international law firms Gide Loyrette Nouel and Willkie Farr & Gallagher LLP have advised Group Air France – KLM and Air France on a 7-billion-euros financing to keep up with the COVID-19 crisis. 

The support mechanism, which remains subject to approval by the European Commission, is dedicated to Air France, and is subject of an agreement in principle that is currently being finalised with the French state and banking institutions. Once approved, it will help Group Air France – KLM to guarantee to Air France the means to carry out its obligations, continuing its transformation to adapt in a sector that is hit hard by the current global coronavirus crisis. 

Included in the mechanism is a loan guaranteed by the French state (Prêt Garanti par l’État, or PGE) with an amount of 4 billion euros that is granted by a banking syndicate to Air France – KLM and Air France, and a direct loan from the French state to Air France – KLM over an amount of 3 billion euros. 

To date, this operation is the largest in France regarding the implementation of financial support, PGE financing and state shareholder loan, for the purpose of facing the economic consequences of the COVID-19 pandemic.