It was made known last week that a formal request made by El Al Israel Airlines to the government for a $10 million compensation payment, for lost revenue and increased expenses caused by the second Lebanon war, was rejected by the Ministry of Finance. No explanation was given by Ministry officials for the rejection.
 
El Al claimed that the financial losses it incurred during the Lebanon war were mostly security related.
 
The airline, according to its spokesman, had to strengthen security in various international locations in response to official warnings of terrorist attacks.
 
The company also claimed that following demands made by the defense establishment it had not only to increase staff at various international airports but also extend flight routes because of worries of attacks on its aircraft.
 
In addition it was claimed that the call-up of the company’s pilots for reserve duty with the IDF, and the cancellation of reservations both by Israelis who were called up for reserve duty and by tourists intensified its losses.
 
It was also made known that the Ministry also rejected a request for compensation by Tamir Airlines Ltd., a local company which began domestic flights to the northern part of Israel a few days before the war broke out.

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