Existing shareholders, above all Heinz Hermann Thiele, would have lost their money (capital market risk) and the entire bondholders would have had to convert their bonds into new shares (debt-to-equity).
Lufthansa would be a debt-free company and could take off again in 2021.
The entry of the German state now prolongs and intensifies the consolidation process and is associated with massive austerity measures. The old problems and overindebtedness remain.
Unless a grain of wheat falls into the earth and dies, it remains alone; but if it dies, it bears much fruit. (Jo. 12. 24).