Covid Crisis 2020

Article • Covid Crisis 2020

IATA: Industry Will Lose $84b This Year

IATA now thinks the global airline industry will lose a massive $84b net this year, and another $16b in 2021. Operating margin this year will be something like negative 23%, and next year negative 4%. The last year in which...

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Article • Covid Crisis 2020

IATA Calls for Coordinated Response, and Cargo Faces Capacity Crunch

IATA gave its review of air traffic trends for April, the “disaster” month in which aviation all but came to a standstill. Measured by revenue passenger kilometers (RPKs), worldwide traffic was down 94% on 87% less ASK capacity. Mercifully, airlines...

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Article • Covid Crisis 2020

The Latest Pandemic News

What’s the focus of IATA’s latest discussion of the Covid crisis? It’s the emergency government aid airlines are receiving. By IATA’s count, carriers have received $123b in cash assistance so far. But half of that has come in the form...

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Article • Covid Crisis 2020

The Latest Pandemic News

IATA released recommendations for the safe resumption of air travel, calling on governments to shoulder much of the responsibility for health screening and passenger biosecurity. Airlines should be responsible for the safe transportation of passengers, it says. But it’s imperative...

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Article • Covid Crisis 2020

The Latest Pandemic News

IATA’s now-routine weekly update for journalists covered several key topics, including the group’s opposition to quarantine measures for arriving airline passengers — the U.K. announced a 14-day quarantine just last week. IATA is separately still fighting with the E.U. over...

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Article • Covid Crisis 2020

The Latest Pandemic News

IATA’s latest weekly crisis update with journalists focused on the prospect for airfares in the post-Covid world. Some forces, it said, will push fares down, namely weak demand, cheap fuel, excess capacity, the relatively early return of service by LCCs,...

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Article • Covid Crisis 2020

The Crisis in Europe

This week is Norwegian’s fateful shareholder meeting, at which owners will vote on whether to accept a major dilution of their holdings. Shareholders aren’t the only ones that Norwegian needs to convince, however. It also needs to convince aircraft lessors...

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Article • Covid Crisis 2020

The Latest News on the Pandemic

There’s still no airline industry consensus on when exactly people will start travelling again. But there is general agreement now that domestic demand will return earlier than international demand, particularly longhaul international demand. IATA shares that view, as its director...

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Article • Covid Crisis 2020

The Forecast Gets Gloomier

The assessments keep getting gloomier. IATA, for the fourth time since the Covid crisis started, gave an updated estimate of how much airline passenger revenue will likely disappear this year. On Feb. 20, it said $29b. On March 5, its...

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Article • Covid Crisis 2020

Developments From Around the World

As IATA maintains pressure on governments to provide airline relief, the trade group is also turning its attention to the challenge of restarting the industry when the time comes. It’s calling for, among other things, a “predictable and efficient approach”...

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Article • Covid Crisis 2020

Covid Crisis 2020: The Latest

IATA, on March 31, gave another update to its description of what the Covid-19 pandemic is doing to the world’s airlines. This time, it emphasized the industry’s cash crisis, following its previous week’s assessment that airlines will see their 2020...

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Article • Covid Crisis 2020

Covid Crisis: The Latest

March 5 seems like eons ago in the war against Covid-19. The pandemic is far more pervasive now, and far more impactful to airlines. So last week (March 24), IATA updated its industry damage assessment. It now says airlines worldwide...

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