Financial news

EasyJet grounds entire fleet as Covid-19 hammers global travel industry

By  | 

Via RT Business

UK budget carrier EasyJet said on Monday that it has parked its entire fleet after completing repatriation flights. The coronavirus health crisis is bringing the global travel industry to a halt.

According to the company, it has worked out an agreement with cabin crew, who will get 80 percent of their pay under a government program. EasyJet said it is looking for ways to increase its access to cash, adding that the company has a strong balance sheet and no maturities until 2022.

“We are in ongoing discussions with liquidity providers who recognize our strength of balance sheet and business model,” said Europe’s second-largest budget airline. The timing of a restart of scheduled flights is uncertain and will depend on government restrictions as well as demand, the carrier added.

Also on
Which businesses can survive the greatest financial crisis of our lifetime?

The global aviation industry has been hammered by the coronavirus pandemic. International Air Transport Association chief Alexandre de Juniac appealed to world governments this month for cash bailouts and emergency loans, claiming that the virus could see airline revenues worldwide drop by up to $113 billion. 

For more stories on economy & finance visit RT’s business section

Print Friendly, PDF & Email
READ ALSO  Renault secures €5 billion government loan to survive coronavirus shutdown

Latest from