Impact of the coronavirus crisis on aviation

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Re: Impact of the coronavirus crisis on aviation

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Daily review:

Ryanair appealed to the European Court of Justice against direct funding of around €200 million from the Italian government to Alitalia to compensate for the damage done by the pandemic.
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Air Austral has delayed indefinitely the delivery of its two A220s, as financial guarantees were requested by EDC (Canada).

Air India disinvestment may be pushed by two to three months due to the current health crisis in the country.

Air New Zealand to operate to the Cook Islands 2-3 times weekly on 17 May 2021 using B787-9, following the opening of a two-way quarantine-free travel bubble between New Zealand and Rarotonga.

Azul president John Rodgerson believes in a rapid recovery in the aviation sector and a boom in domestic flights later in 2021.

StarLux Airlines of Taiwan is considering pushing back the start date for its flights to the US, from 2022 to 2023, due to the pandemic.

India’s DGCA extended the suspension on international flights from/to India till 31 May 2021.

Latvia’s State Audit Office urges to strengthen the monitoring of compliance with the conditions of state aid provided to airBaltic.
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Re: Impact of the coronavirus crisis on aviation

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Air Serbia to focus on getting back to some sort of normality. The carrier is flying over 800 charter flights in summer and is looking at long haul destinations, including China, the US, and Canada.

Emirates plans to restore around 70% of its capacity by winter 2021/22 travel season. The airline has resumed passenger flights to 120 destinations, representing about 85% of those it flew to before the pandemic.

European Commission has approved €12 million in Portuguese support in favour of SATA Air Acores as compensation due to damages suffered from the pandemic. Furthermore, it approved up to €255 million additional liquidity support to SATA. The EC also extended the ongoing in-depth investigation into other support measures.

Lufthansa asked shareholders for permission to raise €5.5 billion in fresh capital, calling it a necessary step to repair the stricken carrier’s balance sheet.

Pasifika Air of New Zealand is back on track after the announcement of a quarantine-free travel bubble with the Cook Islands from 17 May 2021. The startup aims to fly by 2021 end, once the AOC is issued.
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Re: Impact of the coronavirus crisis on aviation

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Of the almost 100.000 tests on KLM crew members, only 0.07% has tested corona positive (76 on 97.600).

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Re: Impact of the coronavirus crisis on aviation

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Australia’s international borders might not fully reopen until the middle or second half of 2022, in a blow to airlines and the tourism sector.

Mauritius will not allow entry until at least 15 May 2021 as the travel ban was extended.
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Re: Impact of the coronavirus crisis on aviation

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Pakistan International Airlines will lay off half of its 14,000 employees, replace some of its fleet and permanently close loss-making routes in a bid to become profitable by 2023. The fleet will be kept under 30 aircraft, and flights to Tokyo and Manila will be some of those ended.
They havent served Manila in 20 years and Tokyo was suspended last year.

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Aer Lingus has “too many resources and will need to adapt”, the airline said, as it continues to grapple with the impact of Covid-related limitations on its services.

Air Tahiti Nui will resume Los Angeles – Paris service from 02 June 2021. The carrier’s Auckland and Tokyo services from Papeete remain suspended until 29 October 2021.

China Airlines of Taiwan will temporarily reduce international cargo flight services to cope with a pilot shortage caused by the pandemic.

Kenya Airways is in talks with its lenders to extend moratoriums on repayment of loans, with demand in the aviation industry still heavily affected by the pandemic.

Bangladesh plans to provide support with necessary stimulus packages to rescue local carriers from the impact of the ongoing partial global lockdown.

Israel’s government approved an aid plan to support the country’s aviation industry, including US$210 million for EL AL and $16 million for Israir.
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Re: Impact of the coronavirus crisis on aviation

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African airlines’ traffic sank 73.7% in March

IATA announced that passenger traffic fell in March 2021 compared to pre-COVID levels in March 2019 but rose compared to the immediate month prior to February 2021.

African airlines’ traffic sank 73.7% in March versus March two years ago, marking a deterioration compared to a 72.3% decline recorded in February compared to February 2019. March capacity contracted 61.8% versus March 2019, and load factor fell 22.3 percentage points to 49.0%.

Asia-Pacific airlines’ March international traffic was down 94.8% compared to March 2019, barely better than the 95.4% decline registered in February 2021 versus February 2019. The region continued to suffer from the steepest traffic declines for a ninth consecutive month. Capacity was down 87.0% and the load factor sank 48.6 percentage points to 31.9%, the lowest among regions.

European carriers recorded an 88.3% decline in traffic in March versus March 2019, just slightly ahead of the 89.1% decline in February compared to the same month in 2019. Capacity fell 80.0% and load factor fell by 35.0 percentage points to 49.4%.

Middle Eastern airlines’ demand fell 81.6% in March compared to March 2019, improved over an 83.1% demand drop in February, versus the same month in 2019. Capacity fell 67.2%, and load factor declined 32.3 percentage points to 41.3%.

North American carriers saw March traffic sink 80.9% compared to the 2019 period, a gain compared to the 83.4% decline in February compared to two years ago. Capacity sagged 62.6%, and load factor dropped 41.0 percentage points to 42.9%.

Latin American airlines experienced an 82.4% demand drop in March, compared to the same month in 2019, a slight improvement compared to the 83.7% decline in February compared to February 2019. March capacity was down 77.4% compared to March 2019 and load factor dropped 18.1 percentage points to 63.6%, highest among the regions for a sixth straight mont

https://www.africanaerospace.aero/afric ... march.html

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Re: Impact of the coronavirus crisis on aviation

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Aeromar pilots’ union signed a new agreement with the airline, which will run until December 2021 and will allow the company to optimize its finances and consolidate its operational recovery.
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Qantas Group will adjust its planned international flights from end-October 2021 to late December 2021. Trans Tasman flights are unchanged.

EU has decided to take action in the matter of the controversial rescue of the Spanish airline Plus Ultra and has opened an investigation on the matter.
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Re: Impact of the coronavirus crisis on aviation

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European Commission has found that an Italian aid measure of € million to support Alitalia is in line with EU State aid rules. This measure aims at compensating the airline for the damages suffered on certain routes due to the pandemic during January 2021.

https://www.aviation24.be/airlines/alit ... ronavirus/

La Compagnie obtained a new State Guaranteed Loan of €10 million, which will enable it to relaunch its “100% Business Class” flights to Newark in June 2021 from Paris, and in July from Nice.

Philippine Airlines reiterated it is undergoing “restructuring” as part of its plan to weather the pandemic, amid reports of a bankruptcy protection plan.

Rolls-Royce is confident that the significant restructuring actions it has taken in 2020 will deliver permanent cost reductions, positioning it well for the rebound in international air travel. RR continues to expect to turn free cash flow positive at some point during 2H 2021.

Thai Airlines Association, which represent seven local airlines, is seeking to meet PM Prayut Chan-o-cha to ask about the government’s stand on their request for long-awaited US$448 million in soft loans.

Tunisair CEO Khaled Chelly believes that the financial situation of the carrier is critical, and funds of US$371 million will be needed to get the company back on its feet. The company’s debts exceed $817 million.

Virgin Australia Group to defer most short-haul international flying, including to Fiji and Indonesia, until at least December 2021 due to expected low demand.
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Re: Impact of the coronavirus crisis on aviation

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Air Transat has extended its suspension of operations through to 29 July 2021 due to continued travel restrictions.
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