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Blommerg: Risk of bankruptcy in European airlines. Two transporters from Albania among the most exposed

Blommerg: Risk of bankruptcy in European airlines. Two transporters from Albania

Analyze Boomberg

Europe's weakest airlines face an increased risk of collapse this winter amid rising inflation, according to analysts at Sanford C. Bernstein.

While the pandemic brought airline failures, carriers now face challenges from higher fuel costs and seasonal declines in travel. This is just as governments struggle to meet rising household bills.

Smaller carriers in Central and Eastern Europe will be more vulnerable, Bernstein analysts said. The most exposed carriers include one from Cyprus and two from Albania, as well as airlines based in Belarus, Bulgaria, the Czech Republic, Georgia, Moldova and Romania, Bloomerg writes.

This will favor the stronger players in Eastern Europe, mainly Budapest-based Wizz and Ryanair, which have the ability to quickly deploy aircraft to newly-polished markets.