Kampars blasts airBaltic

RIGA -- Latvia's economy minister has lashed out at an embattled air-baltic, saying the company may face bankruptcy.

"Last year Latvian government invested more than LVL 15 million into the company to make sure that "airBaltic" can buy new planes on lease and continue development. "airBaltic" head and co-owner Bertolt Flick was showing the government his business plan that was promising a large profit this year and in 2012 - instead, the company is losing enormous money," said Kampars in a radio interview.

"This makes me think that what we are seeing is a premeditated attempt to pump out funds from the company," said Kampars.

The comments caused airBaltic to call for the ministers resignation, saying the minister had caused "much damage to the company".

In a letter to shareholders, Transport Minister Uldis Augulis said the state could not continue to pump funds into the company.

Kampars has noted that the company received 15 million in government support last year, but posted 18 million in losses.