Sabena facing bankruptcy next week

Sabena, the Belgian state airline, will file for bankruptcy next week, union officials said today.

The officials, representing the airline’s 12,000 employees met management to discuss what future, if any, Sabena has in the wake of the its critical financial situation.

‘‘It is clear we are working on a bankruptcy plan for Sabena,’’ said Inge Vervotte, a union leader adding that management told them that Sabena would file for bankruptcy in the days ahead.

Sabena spokesman Wilfried Remans refused to confirm what union representatives said but added several possible scenarios were discussed with unions during the meeting.

‘‘Sabena management and government are working for a solution that provides as much continuity for passengers as possible,’’ Remans said.

Union officials said the bankruptcy would only cover the airline, and would exclude airline operations by subsidiaries Delta Air Transport, or DAT and Sobelair, which are not part of the current bankruptcy protection and could eventually take over parts of Sabena’s operations.

Sabena management believes bankruptcy could open the door to attract investors for a new and smaller airline built around DAT.

On October 5, a Belgian court granted Sabena bankruptcy protection, giving management and the government which owns 50.5% of Sabena - until November 8 to come up with a rescue plan.

The filing followed the failure of co-owner Swissair, hit by its own cash crunch, to come through with a promised injection of £84m in fresh capital.

One potential suitor, Brussels-based Virgin Express has said it would be interested in investing or taking over parts of Sabena.