Monarch Airlines has revealed it will cut over 1,000 jobs and ground twelve of its 42 aircraft as part of new CEO Andrew Swaffield's radical restructuring plan.
After last week's announcement that the airline will cease its East Midlands operations after April 2015, Monarch has now proposed dropping long-haul charter flights to India, the US and the Caribbean in favour of a more regionally-oriented, LCC business model.
The airline’s transformation from a charter carrier into a scheduled operator will be accompanied by a fleet renewal in the form of a pending order for thirty B737 MAX 8s from Boeing.
Management is also in talks with the airline's pension fund trustees concerning a £158million ($263.79million) deficit.
The airline’s owner, Swiss billionaire Sergio Mantegazza, has expressed a desire to sell his controlling stake in the airline under the right conditions and for the right price. Monarch's board recently approached Mantegazza for a £60million ($102.2million) cash injection to finance the fleet renewal plan.
Overall, Monarch hopes the restructuring programme will render the airline appealing enough to land an investor before the end of the year.
Monarch to cut 1,000 jobs and ground 12 aircraft in radical restructure
