Amendments to the terms of Finnair pension fund have a positive one-off impact of 85 million euros on Finnair’s Q4 operating result
Finnair Plc Stock Exchange Release 28 October 2020 at 9.00 a.m. EET
Certain amendments to the terms of Finnair pension fund have been approved. The amendments relate to pension index increment removals and are expected to have a positive one-off impact of 85 million euros on Finnair's operating result in Q4 2020. The impact will be reported as an item affecting comparability and, therefore, it has no effect on the comparable operating result. The amendments have no immediate cash flow impact, but the impact is deferred to future years.
The amendments form a part of Finnair’s rebuild measures with which the company aims to ensure its competitiveness in the post-pandemic market.
The pension index increment removals have been negotiated with different Finnair personnel groups separately, but the relevant authorities have not yet commenced all approval processes. Thus, the positive impact on Finnair’s operating result may increase significantly from the aforementioned 85 million euros. The company will publish a separate release in this regard, if needed.
Finnair communications, 358 9 818 4020, firstname.lastname@example.org
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Finnair is a modern premium network airline, specialising in passenger and cargo traffic between Asia and Europe. Helsinki’s geographical location gives Finnair a competitive advantage, since the fastest connections between many European destinations and Asian megacities fly over Finland. Finnair is the only Nordic network carrier with a 4-star Skytrax ranking and a member of the oneworld alliance. In 2019, Finnair’s revenues amounted to EUR 3,098 million and it carried over 14.7 million passengers. Finnair Plc’s shares are quoted on the Nasdaq Helsinki stock exchange.