Share article:
Share article:

American Airlines loses over $2 billion in first quarter

Credit: Belga

American Airlines lost $2.2 billion in the first quarter of the year due to the new coronavirus (Covid-19), the airline announced on Thursday.

Revenue declined by nearly a fifth compared to the first quarter of 2019. At the same time a year ago, the airline had recorded a profit of $185 million.

“Never before has our airline, or our industry, faced such a significant challenge,” said American Airlines Chairman and CEO Doug Parker. The coronavirus pandemic has brought air traffic to a virtual standstill and the aviation industry has been hit by severe financial difficulties.

Related Articles

 

The U.S. government has provided a rescue plan for its country’s airlines, with some $5.8 billion being put aside for American Airlines. The company is currently losing about $70 million a day and needs additional liquidity.

“We have a lot of difficult work ahead of us. And while there is still uncertainty in what’s to come, we are confident that through the dedication of the American Airlines team and our swift actions, we will get through this for our team, our customers and our shareholders,” Parker said.

Other airlines across the world are also struggling. In Europe, Lufthansa Group’s Austrian Airlines and Brussels Airlines are both in talks for state aid, and Richard Branson is looking for a new buyer for his Virgin Atlantic airline.

Jason Spinks
The Brussels Times

Latest news

New coronavirus infections above 3,000 for first time since May
The number of people testing positive for coronavirus has skyrocketed to the highest rate since the start of May 2021. Between 9 and 15 October, ...
Brussels Airport adds 10 flight destinations this winter
Some 130 destinations will be served from Brussels Airport this winter, the company announced on Monday, just a few days before the start of the ...
Brussels pharmacies report rush on rapid tests due to Covid Safe Ticket
Many pharmacists in Brussels have noticed a remarkable increase in the demand for Covid-19 tests this weekend, following the official expansion of ...
Students filmed naked on ULB campus given a warning
A group of students caught on camera mimicking sexual acts on the campus of the Université Libre de Bruxelles (ULB) have been issued an official ...
EU Digital Covid Certificate becomes an international success story
The European Commission adopted on Monday a report on the EU Digital Covid Certificate and its implementation across the EU. According to the ...
Belgian chocolatier agrees to $15 million settlement over misled consumers allegations
Internationally recognised Belgian chocolate manufacturer Godiva has reached a $15 million (€12.9 million) settlement after US consumers said they ...
‘Buying second home does not mean you are rich’: government disagrees on tax break
The Francophone liberal MR party and the Flemish socialist Vooruit party strongly disagree on the current scheme for tax benefits on people's second ...
EMA starts evaluating Pfizer vaccine for children over 5 years old
The European Medicines Agency (EMA) has started evaluating an application to extend the use of the Pfizer/BioNTech coronavirus vaccine to children ...
Energy prices: EU’s demand and supply dilemma in importing natural gas
The European Commission adopted last week a plan on how to tackle the rise in global energy prices in the short-term while relying on the transition ...
Tram line and cycle path to connect Brussels’ outskirts to airport
Works on a tram line connecting Brussels, the NATO headquarters and Brussels Airport in Zaventem, which could attract up to 10,000 passengers a day, ...
SKYFALL: European police complete counter-drone training in Antwerp
In a joint project between Belgium’s federal police and the Brussels Capital Ixelles Policing Area, 15 European police officers visited Antwerp to ...
Offshore wind farms could help reach climate neutrality by 2050
A study carried out by the Bureau fédérale du Plan (BFP) – an independent Belgian organisation that investigates questions of environmental and ...