Swiss regional carrier Crossair has unveiled details of a large capital increase that will allow it to obtain some two thirds of the fleet and destinations of the collapsed Swissair Group.

Crossair said on Thursday that its equity capital would be boosted by SFr2.74 billion ($1.65 billion) following an October 22 national salvage deal by the Swiss public authorities and private companies for a national airline company flying both short and long haul distances.

Crossair said it planned to split its shares five for one while certificates could be swapped into registered shares at a two for one ratio.

It said it would give owners of its current shares and certificates the right to boost their stakes back to the old level at a pre-split price of SFr280 per share.

Crossair said the public authorities and the new corporate shareholders would also buy shares at SFr280. They will have to pay at least 30 per cent of the price at issue and will gradually make further payments until March 2002.

Crossair added it wanted to create a conditional share capital to allow for an employee share participation plan.

swissinfo with agencies

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