Cathay Pacific has reported a loss of £1 billion for the first half of the financial year as the Covid-19 crisis continues to decimate demand for global air travel.
Cathay Pacific has said it expects to report a loss of HK$9.9 billion (£1 billion) for the six months ended June 30th. The figure compares to a net profit of HK$1.3 billion for the same period in 2019.
Cathay Pacific has launched Cathay Care, a new protocol that incorporates cleaning, protection and hygiene measures to ensure the safety of both employees and passengers, from check-in to landing.
This three-part plan, financed by the government of Hong Kong, is designed to provide Cathay with sufficient funds to withstand the industry-wide downturn, as well as a stable platform from which it will be able to conduct a wholesale review of operations.
Cathay Pacific and Cathay Dragon will reduce capacity by 96 per cent across passenger networks in April and May in light of the severe drop in demand due to the coronavirus pandemic.
The Hong Kong-based carrier, which has been among the airlines hardest hit by the virus, said it has reduced capacity across its network by 65 per cent in March and April.
Cathay Pacific has asked staff to take three weeks of unpaid leave to help it cope with the impact of the coronavirus. The Hong Kong flag-carrier has offered a voluntary special leave scheme to all employees.
Cathay Pacific has announced today that John Slosar, chairman of the company, will be retiring at the conclusion of the next board meeting. The board of directors has appointed Patrick Healy to succeed Slosar as chairman.
Rupert Hogg has stepped down as chief executive of Cathay Pacific. Hogg warned on Monday staff could be fired if they “support or participate in illegal protests” in Hong Kong.
Cathay Pacific has completed the acquisition of Hong Kong Express Airways. Cathay Pacific chief executive and HK Express chairman, Rupert Hogg, said: “We are very excited to welcome HK Express into the group.”
Cathay Pacific is reopening its newly renovated Shanghai Pudong Cathay Pacific Lounge, marking the introduction of the airline’s awards-winning lounge design to mainland China for the first time.