A EUR 50m bailout was approved by the government in June. The cabinet also sent it to Brussels for approval. Apart from state aid, the plan also entails a conversion of Adria's outstanding debt in banks worth some EUR 38m.

Although Adria Airways business results are improving this year, they are not high enough for the company to break even.

"Considering the government's decision and the negotiations with banks, we're optimistic that the capital increase will be carried out some time by the end of September, after which we will be able to use the money to repay our debt."

Vuga said that at least four routes will be scrapped from the carrier's flight plans in autumn. "Many of these routes are not directly linked to the Slovenian market and cancellations would not diminish the mobility of Slovenia's population."

TV Slovenija reported that the least lucrative flights were those to Paris, London, Istanbul and Warsaw. The cutting of routes would unavoidably also lead to layoffs. "However we're working on a staff restructuring programme and on solutions to help redundant workers."