Humberto Pedrosa says TAP will end in 2020 without government intervention

Former TAP shareholder Humberto Pedrosa said on Tuesday that without government intervention, the airline will cease to exist in 2020, but believes the path could have been different, through additional payments rather than equity.

“In fact, there was no other solution than the intervention of the Portuguese state in TAP. These funds were needed, either the state intervened and placed the necessary funds in TAP, or TAP ended, and I think it was a good option, ”said Humberto Pedrosa in a parliamentary commission investigating the activities of the airline, questioned by Social Democrat MP Paulo Moniz.

The businessman considered, however, that the intervention could have been at the expense of additional benefits, not capital, or even a mixed option.

Humberto Pedrosa dismissed the idea that he was “kicked” out of TAP because “it actually got to the point where there were no conditions to continue”.

“I saw that the government’s strategy did not count on me. Since it did not count on me, I did nothing there, but my decision [de sair] it was late,” he remarked, making sure that he did not “mourn” the money he left in the company. [nela]” he repeated.

Asked by PSD about Lufthansa’s interest in buying TAP before the pandemic, Pedrosa said he was aware of an interested party, although he did not know it was a German company.

In connection with this interest, an estimate of the cost of TAP was carried out, which indicated an amount of 800 to 1,000 million euros.

Humberto Pedrosa even said that if the COVID-19 pandemic was delayed for another month, “the deal would probably be done.”

Asked about the new privatizations the government intends to pursue, Pedrosa believes there could be an “interim solution”, a continuation of state-owned TAP but with a private management contract.

In response to a statement by Socialist MP Bruno Aragao about the Airbus deal struck by David Nieleman, the owner of the Barraqueiro group said he remained convinced that his consortium partner “always did his best for TAP”, although he disagreed with the decision on the termination of a flight between Campinas (Brazil) and Lisbon, which was ultimately operated by Azul, in which David Nieleman has a stake.

Asked if he understood that Azul would compete with TAP flying to Europe due to the Portuguese company’s “slot” (time slot) recall, Humberto Pedrosa replied categorically: “Of course, yes.”

“Today it is difficult to control competition. Meanwhile, Azul began flying to Portugal. […] It’s difficult, but I like these questions, you know?” he replied to Bruno Aragao.

Later, in a reply to Cheg’s deputy Filipe Melo, Humberto Pedrosa said he did not believe David Nieleman won with these decisions, but acknowledged that “in the midst of it all, Azul probably won.”