The group, which owns British Airways, said on Thursday that it expected the impact of the Corona pandemic to last for at least three years, with no “meaningful return” to the nature of services until July at the earliest.
The International Consolidated Group of Airlines announced that it had put in place temporary plans to resume many flights in July, with a total passenger capacity drop of about 50% for the rest of this year.
The group said in a quarterly financial statement: “But these plans are very uncertain and subject to easing closures and travel restrictions.”
The group, which also owns Spanish airline Iberia and Irish airline Air Lingus, added that it “does not expect the recorded passenger demand level to return in 2019 before 2023, which makes it necessary to take further restructuring measures at the group level.”
The group posted operating losses of 535 million euros ($ 577 million) in the first three months of this year, compared to a profit of 135 million euros in the same quarter of 2019.
“The industry will adapt to new requirements in the same way that it has adapted to developments in security requirements in the past,” said Group CEO Willie Walsh.
“This means that restructuring at the group level is necessary in order to overcome the crisis and maintain an adequate level of liquidity,” Walsh added.
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