List of airlines impacted by the COVID-19 pandemic explained

Mirroring its impact on aviation, the COVID-19 pandemic has had a significant impact on airline companies due to travel restrictions and a slump in demand among travelers. Several airlines have declared bankruptcy, with some ceasing operations, while other airlines reported historic reductions in flights, as well as accelerating retirements of certain aircraft types, such as the Airbus A340, Airbus A380, or the Boeing 747. By 8 October 2020, 43 commercial airlines had gone bankrupt, and many more were expected to follow.[1] In late October 2020, ACI Europe stated that 193 (mostly regional) of the 740 airports in Europe were also risking bankruptcy.[2]

Bankruptcies

Mergers and acquisitions

In 2019, Air Canada was in talks to buy Air Transat for C$720 million but later revised their price to C$180 million in October 2020 due to the impact of the COVID-19 pandemic.[53]

On January 24, 2020, LOT Polish Airlines announced that it would acquire Condor Flugdienst.[54] On 2 April 2020 it was announced that the sale had fallen through due to the industry turmoil caused by the coronavirus pandemic.[55] [56]

In November 2020, Korean Air (more than 170 aircraft) parent Hanjin announced a W1.8 trillion ($1.62 billion) takeover bid for rival Asiana Airlines (82 aircraft) from Kumho Industrial, becoming one of the ten largest airlines in the world, as state-owned Korea Development Bank will invest W800 billion into Hanjin KAL.[57]

Reductions

On 11 June, the airline announced plans to lay off 22,000 out of its 135,000 employees, with around half the layoffs being German workers.[154]

In January 2021, Lufthansa AG CEO Cartsen Spohr stated all the Airbus A340s will be retired permanently and also stated that the eight remaining Airbus A380s and eight remaining Boeing 747-400s (both of which are currently in long-term storage) could also be eligible for permanent early retirement due to the COVID-19 impact on aviation as both the Airbus A380 and Boeing 747-400 types are inefficient and unprofitable, after Spohr stated that future of long-haul air travel will be served by smaller wide-body twin-jet planes such as the Airbus A330, Airbus A350, Boeing 777X, and Boeing 787 Dreamliner.[155] In April 2022, the airline permanently and prematurely retired its entire Airbus A380 fleet.

See also

Notes and References

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  5. News: Symmes Cobb . Julia . Avianca says U.S. court approves bankruptcy reorganization plan . Reuters . 2 November 2021 . 10 November 2021.
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