Ex-Augsburg chief Dlugi plots Fairchild Dornier move

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Olaf Dlugi, the former CEO of German regional airline Augsburg Airways, expects shortly to release details of a proposal by a new investment group to take over parts or all of bankrupt airframer Fairchild Dornier.

He is personally in line to be appointed CEO of the company if the deal is successful with former Dornier CEO Heider Heydrich assisting him.

Contacted by ATI, Dlugi confirmed that he was involved in embryonic company Aviation Finance Consulting which is identified by German financial daily Handelsblatt as being the vehicle for the negotiations.

Dlugi says he does not know how the information was released and declines to discuss the matter any further. But he does not dispute the information already made public and says further details should be made public shortly.

Handelsblatt reports that the unknown investors behind the Swiss-registered company have put up around €1 billion ($990 million) and are seeking further lines of finance.

Separately, administrators handling Fairchild Dornier’s affairs remain in discussions with Sibirsky Aluminium and Irkutsk Aircraft Production (IAPO) of Russia. A firm Russian offer is due within days.

Other discussions about various elements of the business, including those with US equity house Dimeling, Schreiber & Park over the 328JET programme, are also still underway.