ELAL to split

ELAL may split into two companies to cope with economic problems, ISRAland reports.

One of the companies will carry out flights at standard prices using Boeing-777. The other one will organize flights to Europe using Boeing-737 at low costs.

ELAL lost $49 million last year and is trying to compensate it. Benefits for employees were cut. Chiefs of the company had wage reductions by 20%. Staff working according to personal agreements had wage reductions of 7-10%.