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Swire Announcement:
Download: http://iis.aastocks.com/20200609/9312812-0.PDF?noembed
http://iis.aastocks.com/20200609/9312812-0.PDF
As someone who was a regular flier (and hopes to be again), this is good news. The last thing our troubled city needs right now is its only major airline to go broke leaving us at the whim of overseas airlines or being permanantly reduced to a rump of what it once was.
As a tax payer, I have mixed feelings but can see the "public need" argument for supporting the airline. Other countries have done the same so it's not like the HKSAR is boldly going where no government has gone before and, quite frankly, Cathay is a lot more important that Ocean Park.
As opposed to having to cover the losses entirely themselves or declare the airline insolvent - bet your ass they do.Original Post Deleted
Basic Law requires HK to be an aviation hub - arguably it would be a breach if the government let CX fail.
Anyway overall seems like abit replicating what Temasek did for Singapore Airlines.. over there the firepower is much stronger and they already have a proper setup to underwrite all the rights and pref shares, so less controvesial.