SIA Group: Capacity may reach less than half of pre COVID levels by end of FY2020/21

Singapore Airlines Group (SIA) reported (29-Jul-2020) its current view for planning purposes is that by end of FY2020/21, passenger capacity may reach less than half of pre COVID-19 levels. The group continues to pursue cost management measures and will also explore additional means to shore up liquidity as necessary. It is reviewing the potential shape and size of its network over the longer term given COVID-19 and its impact on passenger traffic and revenue. This will provide better clarity on the fleet size and mix that the group will need. The review is likely to lead to a material impact of the carrying values of older generation aircraft, particularly the A380 which would account for approximately SGD1 billion (USD727.3 million). It expects to complete the review by second half. [more - original PR]