Lufthansa and ver.di agree on crisis package ​​​​​​​of more than €200 million

©Lufthansa

On November 10, Lufthansa and the ver.di union agreed on an initial crisis package after intensive negotiations. The measures, with a volume of more than €200 million (US$236 million), will help to overcome the economic effects of the crisis.  They mainly apply to the ground staff of Deutsche Lufthansa AG, Lufthansa Technik AG and Lufthansa Cargo AG. This means that in addition to short-time work, the 24,000 ground staff are now also making an important contribution to overcome the serious consequences of the coronavirus pandemic. The savings will take immediate effect through the cancellation of the Christmas bonus for 2020. Read more

Email Post to a Friend Email Post to a Friend

Chorus Aviation reports third-quarter 2020 financial results

Chorus Aviation has reported net income of CA$20.5 million for the third quarter of 2020, a decrease of CA$3.7 million due to the impact of COVID-19 on its results, offset by a change in unrealized foreign exchange of CA$24.9 million. Adjusted net income decreased CA$18.2 million to of CA$10.9 million and Adjusted EBITDA was CA$85.9 million, a decrease of CA$6.8 million over third quarter 2019 primarily due to the impact of COVID-19 on financial results. At the end of the third quarter the company had liquidity of approximately CA$218.0 million, an increase of approximately CA$30.0 million over the second quarter Read more

Email Post to a Friend Email Post to a Friend

Embraer posts third quarter 2020 net loss of US$148.3 million

Embraer has delivered seven commercial jets and 21 executive jets (19 light / two large) in the third quarter of 2020 (3Q20), and the company’s firm order backlog at the end of the quarter was US$15.1 billion. Excluding special items, adjusted EBIT and EBITDA were US$(45.3) million and US$(0.6) million, respectively, negatively impacted by weak commercial aviation results, yielding adjusted EBIT margin of -6.0% and adjusted EBITDA margin of -0.1%; The 3Q20 results include total net positive special items of US$7.6 million: 1) restructuring expenses of US$54.0 million related to the voluntary and non-voluntary dismissal programs announced in September, 2) Read more

Email Post to a Friend Email Post to a Friend

Major blow to Norwegian as government withdraws support

©Norwegian

Norway’s Industry Ministry and the Ministry of Transportation said in a statement on Monday that there would be no further funds made available to Norwegian Air (Norwegian) as the stricken airline struggles to cope with crippling debt and financial problems exacerbated by the COVID-19 pandemic. The low-cost carrier has been a pioneer of cheap transatlantic flights, but a rapid expansion policy left it struggling with a debt of approximately US$8 billion by June this year. Creditors and lessors took over control of the airline in May with a financial rescue package that enabled the carrier to access state-guaranteed loans of Read more

Email Post to a Friend Email Post to a Friend

Singapore Airlines posts record US$1.74 billion quarterly loss

©Singapore Airlines

With no domestic market to rely on, Singapore Airlines has seen passenger numbers plummet by 98.6% for the month of September when compared to the same month in 2019. Additionally, the volume of cargo carried in September 2020 compared to September 2019 fell by 42.3%. The result of the global pandemic has seen the airline cut 4,300 jobs and ground much of its fleet, with little sign of change other than a slight increase in cargo demand. According to the International Air Transportation Association (IATA) it is unlikely carriers will return to pre-pandemic levels until 2024, while Raymond Yap, an Read more

Email Post to a Friend Email Post to a Friend

KLM gets final approval of €3.4 billion loan package by the Dutch state

©AirFrance-KLM

KLM is in the midst of the worst crisis in its 101-year history, with the COVID-19 pandemic eroding its strong performance of recent years. The €3.4 billion loan package, consisting of a government loan and guarantees on bank loans, is crucial to securing the future of the airline and its network for the Netherlands. The Dutch Government has made its loan package contingent on certain conditions, one being that all KLM employees must agree to adjust certain employment conditions for the duration of the loan (expected until 2025). KLM has spent the past few months hammering out the details of Read more

Email Post to a Friend Email Post to a Friend

Bombardier eyes layoffs as it misses quarterly targets

The Canadian plane and train maker has announced that it has missed its quarterly operating profit forecast and, as a consequence, is now eyeing staff layoffs to reduce running costs. Like so many aviation-related businesses, Bombardier has been heavily hit by the widespread effects of the COVID-19 pandemic. Currently Bombardier is streamlining its business with the sell-off of its rail division to France’s Alstom and in future will be concentrating solely on the manufacture of luxury business and private jets such as its Global and Challenger series. “In the weeks to come we will decide all the initiatives we need Read more

Email Post to a Friend Email Post to a Friend

Atlas Air Worldwide posts third-quarter 2020 net income of US$74.1 million

©Atlas Air Worldwide

Atlas Air Worldwide Holdings has posted third-quarter 2020 net income of US$74.1 million compared with net income of US$60.0 million in the third quarter of 2019. On an adjusted basis, EBITDA totaled US$196.3 million in the third quarter this year compared with US$95.6 million in the third quarter of 2019. Adjusted net income in the third quarter of 2020 totaled US$82.7 million, compared with US$9.5 million in the third quarter of 2019. “The positive momentum of our business continued in the third quarter, despite a more complex, costly, and challenging operating environment caused by the COVID-19 pandemic.” said Chief Executive Read more

Email Post to a Friend Email Post to a Friend

Lufthansa Group reports adjusted EBIT of minus €1.3 billion in third quarter 2020

©Lufthansa

The global CORONA pandemic continued to have a considerable impact on the Lufthansa Group’s earnings development in the third quarter of 2020. However, compared to the second quarter, losses were reduced due to substantial cost savings and an expansion of the flight schedule in the summer months of July and August. Adjusted earnings (Adjusted EBIT) amounted to minus €1.3 billion (previous year: plus €1.3 billion). The average monthly operating cash drain, before changes in working capital and investments, was €200 million. In the same period, sales fell to €2.7 billion (previous year: €10.1 billion). Net income was minus €2 billion Read more

Email Post to a Friend Email Post to a Friend

DAE reports financial results for nine months ended September 30, 2020

©Dubai Aerospace Enterprise (DAE)

Dubai Aerospace Enterprise (DAE) has reported its financial results for the nine months ended September 30, 2020. The company reported total revenue of US$984.1 million, compared to US$1,085.1 million for the same period in 2019. Net income totaled US$167.3 million, compared to US$260.5 million the previous year. During the third quarter of 2020, DAE signed agreements to acquire 31 aircraft with a total value of approximately US$1.1 billion, of which approximately US$0.2 billion was booked in the third quarter of 2020 and the remainder will be booked in the fourth quarter of 2020 and in 2021. DAE ended the period Read more

Email Post to a Friend Email Post to a Friend