aviation

Tony Fernandes said in an Instagram post that he and Executive Chairman Kamarudin Meranun “will not be taking a salary during this period”, while staff from across the business “have accepted temporary pay reductions of anywhere between 15-75%.

In light of the worsening situation, the SIAEC Board has also volunteered a deeper reduction of 25% in fees accruing with effect from Apr 1 in solidarity with its management and staff.

Delta Air Lines Inc is the top borrower this month, obtaining US$5.6 billion, followed by Singapore Airlines, which secured a S$4 billion bridge loan

Jetstar Asia says it has been working with the Ministry of Finance, the Public Service Division, and the Civil Aviation Authority of Singapore to find temporary job opportunities offered by the public agencies and the private sector institutions.

Recently, Malaysia Airlines (MAS) group chief financial officer Boo Hui Yee told its 13,000 employees that many airlines are now at risk of going bankrupt, and the national flag carrier is no different.

The plan would include about US$500 billion in loans and assistance for larger companies, as well as states and cities, according to the latest drafts being circulated. But the aid comes with strings attached after pressure from Democrats.

Cargo rates have risen over 10% in recent weeks as some companies are prepared to pay more to ship goods after drastic cuts in passenger flights left airlines with less capacity for cargo.

Moody’s sees the passenger airline sector as one of the most adversely affected industries given its exposure to travel restrictions and sensitivity of consumer demand and sentiment.

“Make no mistake – we expect the pace of this deterioration to accelerate," says SIA CEO Goh Choon Phong.

Takeoff and landing slot rules mean airlines must fill at least 80% of their slots in any given season, or risk losing their allocation next time round.