Airlines face collapse if coronavirus pandemic lasts another two to three months, experts warn
More airlines face collapse if the coronavirus pandemic lasts another two to three months, experts have warned.
The chief executive of the International Air Transport Association, Alexandre de Juniac, said revenue losses across the industry would likely top the £90billion it estimated a week ago – before President Trump’s administration put a ban on flights from Europe to the US.
The warning came as British Airways bosses told staff to brace for job cuts and flight groundings ‘like never before’, as it said the airline industry was facing a ‘crisis of global proportions’ that was worse than the effect of the SARS virus or 9/11.
The chief exec of the International Air Transport Association said revenue losses across the industry would likely top £90bn if the coronavirus pandemic lasts another two to three months
Ryanair is understood to have told staff they may be forced to take leave from Monday.
De Juniac called on governments to review travel restrictions, consider extending credit lines and cutting taxes in a bid to prop up struggling airlines.
They believe firms serving Germany, France and Italy are the most vulnerable.
Regional airline Flybe collapsed earlier this month as a result of the crisis, while heavily indebted Norwegian Air is thought to be on the brink.
US airline Delta was reported to be in talks with the White House to find out what financial support it could expect.
And German newspapers reported that the nation’s flagship carrier Lufthansa will apply to the government for help.