IATA has warned more airlines will collapse over the coming months.
Even by the end of this year, passenger traffic will still be down by about 68%, much worse than its previous forecast.
Airlines are burning through $13 billion per month which will lead to more bankruptcies, said IATA Director General Alexandre de Juniac.
“The crisis is growing longer and deeper than anyone could have imagined, and the initial support programs are running out. If these support programs are not replaced or extended, the consequences for an already hobbled industry will be dire,” he said during a media briefing.
IATA is urging governments to provide urgent financial aid.
“The impact has spread across the entire travel value chain including our airport and air navigation infrastructure partners who are dependent on pre-crisis levels of traffic to sustain their operations.”
The total cash burn for the second half of the year is estimated at $77 billion.
Airlines managed to cut costs by an average 50% during the second quarter but overall revenues fell almost 80% compared to 2019.
Twenty five tourism bodies and unions across Europe have joined forces to call for testing to replace quarantine restrictions to save the livelihoods of 27 million working in travel.
In an open letter to European Commission President Ursula von der Leyen, the groups – which represent over 5,000 member companies and their workers – say a continued lack of co-ordination and diverging travel restrictions as crippling their business.
The letter is signed by representatives from across the tourism and travel sector and their workers, including airlines, airports, railways, ground handlers, caterers, travel retailers, air navigation service providers, tour operators, hotels, restaurants, cafes, travel agents, road transport operators and logistics services, camp sites, holiday parks, taxi operators, tourism boards and authorities and all their associated supply chains.
Thomas Reynaert, Managing Director of Airlines for Europe (A4E), said: “With an estimated 55% fewer flights, an overall revenue loss of some €140 billion across the European aviation industry and a growing number of frustrated travellers, it’s about time that Europe shows some leadership in getting travel restrictions coordinated properly across the continent.”
More than 20,000 A4E airline passengers were denied boarding this summer due to what it calls a ‘chaotic, fragmented situation’.
The letter comes as the latest data from airport body ACI EUROPE shows a continued decline in passenger traffic at Europe’s airports during the first two weeks of September – now standing at a loss of -73%; down from sluggish ‘peak recovery level’ of -65% mid-August.
The letter says: “This chaotic situation requires your immediate personal involvement.
“We are thus urging you to make this issue a top priority and calling on you to address this issue directly with heads of state and government”.
“We are therefore also urging you to ensure that the Commission takes the lead in the development of an EU Testing Protocol for travel and its implementation to avoid quarantines and re-open borders”.
The signatories point out that the European Centre for Disease Prevention and Control (ECDC) formally advises states against extreme travel restrictions, which are neither risk-based nor proven effective where community transmission is already present – which is the case across Europe.
The reduction and removal of quarantines is ‘instrumental in re-establishing the free movement of people, ending current discriminations and restoring the essential functionality of the Single Market’, they add.
Business travel association BTA has warned the latest coronavirus restrictions will be a ‘fatal blow’ for the business travel sector without government support.
CEO Clive Wratten said the industry needs financial help ‘well into 2021’, adding that half its employees face redundancy at the end of October when the Government’s furlough scheme is due to end.
Wratten also called for Covid-19 testing on departure to get people flying again.
“Business travel powers our economy and Britain’s reputation for trade,” he said. “Today, 50% of our industry stand to lose their jobs at the end of October and that figure is quickly rising. There is no time to delay if we want to keep Britain open for business.”
The tragic explosion in Beirut affected local businesses from essential services to restaurants, fashion and even the arts – shattering buildings and centres. British auction house, Christie’s has just announced it will support Beirut’s throbbing art community with a charity auction.
Dubbed We Are All Beirut – Art for Beirut: A Charity Auction, the online auction will take place from late October to the first half of November.
“Seeing the images of devastation on Tuesday 4 August will always remain in all our collective memory and our thoughts are with all families, friends and artists who have lost so much. We hope to raise enough funds with this initiative to make a significant difference,”CEO at Christie’s, Guillaume Cerutti, commented, continuing “we are committed to help and hope that many of our international clients, friends and collectors will follow our call to action.”
According to Caroline Louca-Kirkland, Managing Director at Christie’s Middle East, the initiative will include approximately 40 to 50 lots of international and regional art, jewellery, design and watches. Funds will be allocated to restore the city’s art and cultural community, including the Sursock museum – Beirut’s modern and contemporary art museum.
Read more, please click on the link: https://www.graziame.com/culture/art-books/christies-is-holding-an-auction-to-help-rebuild-beiruts-cultural-scene?fbclid=IwAR1DY1-_nw478VQLKRWvt2Q2UkrXTQPgBEwBLoTGBmL_ehaaEj-G89oLhYg
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Dear Friends & Partners,
Our hearts and prayers are with those who lost loved ones in the apocalyptic blast of Beirut… and with all those Injured and Missing, our thoughts are with all those Shattered Lives and shuttered businesses…
We must proclaim an end to our grievances….
We must re-write our History as we deserve a better living, New Hopes, New Beginnings.
by Patrick Whyte, Skift, – Jan 29, 2020 8:15 am
Wizz Air is looking east rather than west for further expansion in the wake of an ambitious move to establish a Middle East subsidiary.
The airline is partnering with the state-owned Abu Dhabi Development Holding Company to create a joint venture that will start operating sometime in the second half of 2020. The announcement was somewhat surprising given that Etihad Airways is setting up its own low-cost carrier in partnership with Air Arabia.
It doesn’t necessarily mean more joint ventures will follow but it does seem to be part of a shift in perspective for the airline, which has risen to become a dominant player across much of Central and Eastern Europe.
“I think Abu Dhabi is a unique opportunity for Wizz. I mean, structurally, we are very excited about opportunities going further east and we are more excited going further east than going west,” CEO József Váradi, said on Wizz Air’s third quarter earnings call on Wednesday.
The legalization of marijuana in many states is becoming an increasingly perplexing challenge for one key part of the travel industry: hotels.
They’re confronted with figuring out how to let guests partake in it on-property, training and drug testing employees, and dealing with confusing and ever-changing laws. In short, hotels have much to figure out.
“This is an emerging trend that’s not going away,” said Michael Blank, principal of Woodmont Lodging. “In many ways, it’s akin to the casinos when they were trying to make their push nationally.”
Marijuana is now legal for medical use in 33 states. It is legal in 11 states for both medical and recreational use for adults over 21. Illinois became the 11th state to legalize recreational marijuana as of Jan. 1.
Yet under federal law, it’s still a drug listed on Schedule 1 of the Controlled Substances Act, which makes it a federal crime to own, sell, or possess it. Other drugs listed on Schedule 1 include heroin, LSD, peyote, and ecstasy.
Under President Barack Obama’s administration, then-Deputy Attorney General Jim Cole issued a directive to federal prosecutors in 2013 that effectively told them not to interfere with marijuana-friendly state laws. Former Attorney General Jeff Sessions under President Donald Trump attempted to reverse that decision before his ouster in November 2018.