Red: SNCF will not solicit help of State

The public group lost 780 million euros in the first half of 2021, after having lost 3 billion in 2020, but “is in rebound situation,” explains his boss.

Le Monde with AFP

The SNCF will still be in the red this year, but should be able to do without a new assistance from the State or additional assignments, considers its President and CEO (CEO), Jean-Pierre Falandou, in An interview in Figaro, see Tuesday, November 2nd

“I’m afraid we’re still in losses this year because of the third containment” In the spring, “says Farandou. “At this point, I do not ask for aid to the state. We will take the equivalent of our deficit to deal with current expenses,” he adds.

The public group had directly benefited from a recapitalization of 4 billion euros from the state in 2020, intended for the network. He lost 780 million euros in the first half of 2021, after having lost 3 billion in 2020, but “is in a rebound situation,” according to Mr. Farandou.

“Our Geodis logistician is one of the winners of the” sanitary “crisis. “When the TGV lung is a little array, the logistics lung works well and it breathes the group. This allowed us to amortize the effect of the crisis,” he says.

“The road” as the main opponent

“For us dendere, we have sold Ermewa very well, a rental car rental, which was not a strategic asset,” says Mr. Farandou. The sale of Ermewa, finalized on October 22, will translate into a net deleveraging of about 3.2 billion euros for the SNCF. “Today, we do not envision other disposals”, ensures the leader.

Jean-Pierre Farandou also confirms the objective of financial equilibrium in 2022, agreed with the State during the 2018 rail reform. “We will be balancing next year. To get there, we Let’s work to develop sales. We will not be far from returning to 2022 at the level of the COVID, “he says.

“And we reduce our charges with savings plans,” he adds. “We also pushed back some investments in rolling stock or computing.” The SNCF will also lower the number of employees of “1.5% to 2% by not replacing all retirements”, recalls- he.

If he recognizes that the arrival of the competition is “a shock”, Mr. Farandou considers that his main opponent is “the road”, the goal being to double the share of the rail in ten years. According to him, the SNCF “will carry more passengers” if the market grows, even if it loses market share.

/Media reports.