Cathay Pacific: current conditions “very difficult”; but seeing stabilisation in cargo business
Cathay Pacific CEO, Tony Tyler, stated that current business conditions are “very difficult”, with the CEO adding, “we haven’t yet seen any sign of a recovery”. The carrier is facing a “toxic” combination of low fares, a significant reduction in premium travel, weak cargo load factors, “poor” yields and a negative currency impact, which is making it “more important than ever” for the carrier to protect its cash levels. [1504 words]
Unlock the following content in this report:
- More aircraft deferrals
- Significant unpaid leave scheme uptake; further cost-cutting measures likely
- Reducing passenger capacity by 8% and cargo capacity by 11%
- No intention of selling stake in HAECO
- Planning to alter fuel hedging programme
- Enhances cooperation with Finnair; to reduce Kota Kinabalu frequencies as part of redeployment strategy
- Launches 'Booking Management Service'
- Executive appointments
Graphs and data:
- Cathay Pacific passenger number and cargo volume growth: Apr-2008 to Mar-2009
- Cathay Pacific fleet delivery plan: as at Jun-2009
- Cathay Pacific Special Leave Scheme: Announced Apr-2009
- Cathay Pacific cost-reduction measures in response to business downturn
- Cathay Pacific major subsidiaries and associates
- Cathay Pacific capacity share (% of total network)
- Cathay Pacific reductions compared with the 2008 peak
Please login to continue reading or find out more about CAPA Membership below.
This content is exclusively for CAPA Membership Subscribers
CAPA Membership gives you the latest aviation news and alerts, access to CAPA articles, reports, and our leading aviation data with optional premium add-ons.