Slovenia's Adria Airways management, pilots sign collective agreement

The agreement was signed on September 17 and the pilots' strike planned for September 18-20 and September 30-October 2 was cancelled, Adria said in a statement on Tuesday.

"Signing of the agreement means stabilisation of working conditions in the company and continued focus of the management on the stability of business and providing of services," the statement said.

It added that Adria Airways will operate all flights as scheduled.

Local media reported last week that Slovenia's civil aviation agency CAA has begun a check of Adria Airways' operations and financial performance, which could result in withdrawing the airline's operational licence considering its financial troubles. The outcome of the CAA check will be known by the end of October.

According to a September 11 report by news portal Siol.net, Adria's financial statements in the past three years might have been manipulated to cover up its loss and the growing need of fresh capital.

German-owned fund 4K Invest via its wholly-owned subsidiary AA International Aviation Holding GmbH bought the airline in 2016 from Slovenian sovereign holding company SDH, which is coordinating the privatisation process in the country.