The French airline Air France will largely leave its fleet on the ground. The capacities are to be gradually reduced by up to 90 percent. In addition, 200 million euros in costs are to be saved and investments are to be reduced by 350 million euros.
As a result of the rampant corona virus, British Airways owners will also cut capacity by at least 75 percent in April and May. The outgoing CEO Willie Walsh will also postpone his departure. In order to ensure the survival of the airline, expenditures are also to be frozen, working hours reduced and employment contracts temporarily suspended.
EasyJet, in turn, is demanding support from the UK government for the aviation industry in the crisis. This is the only way to ensure the survival of the industry. Most of the machines are currently on the ground due to stricter travel regulations.
Lufthansa wants to apply for government aid
Europe’s largest airline, the AUA mother Lufthansa, wants to apply for government aid because of the effects of the pandemic, as the company announced on Friday. A meeting between aviation coordinator Thomas Jarzombek (CDU) and representatives of aviation companies and unions is taking place today in the German Ministry of Economic Affairs.
In Austria, the two largest airlines at Vienna-Schwechat Airport, AUA and Ryanair subsidiary Laudamotion, have also started to cut down their flight operations. Lauda almost completely canceled the March flight schedule. The AUA announced yesterday that it would further reduce this week. However, the extent is still unclear. The Foreign Ministry asked all Austrians to return on Thursday, „as long as there are still options for return travel“.
Loss in revenue at United Airlines
The US airline United Airlines announced that it would generate $ 1.5 billion less in March sales than in the same period last year. United anticipated that the virus will worsen the situation until the summer season and announced further measures to deal with the economic consequences of the outbreak.
United said in a statement that it would reduce executive salaries by 50 percent in April and May and cut flight capacity by about 50 percent. „Even with these cuts, we expect flight capacity to fall in the 20-30 percent range – if it doesn’t get worse,“ said United CEO Oscar Munoz and President Scott Kirby in the memo.
