Singapore Airlines extended its long-haul flight cancellations by another month, just four days after the announcement of a one-month extension.
This means that 96 percent of its scheduled flights until the end of June will be canceled, amid travel restrictions worldwide and a drastic drop in demand for air travel.
The first set of cuts was announced in late March. It was initially for scheduled flights until the end of April.
In a notice on its website on Friday (April 24), SIA said it will continue to adjust its services in response to the ongoing COVID-19 pandemic.
Customers whose flights have been canceled by SIA or SilkAir will retain the full value of the unused portion of their tickets as flight credits. They will also receive bonus flight credits when they book their flights again.
Further information on the carrier cancellation policy is available on the SIA website.
The extended cuts mean that SIA will fly in just 15 cities until the end of June.
Until this crisis hit, SIA was the 15th largest airline group in the world, serving around 140 destinations in over 35 countries and territories.
The courier is trying to raise up to $ 15 billion with Temasek’s help. This will be done by issuing new shares to current shareholders to raise approximately $ 5.3 billion and issue mandatory convertible bonds to raise up to $ 9.7 billion.
Globally, airlines have also struggled to cope with the impact of the COVID-19 crisis.
The International Air Transport Association (IATA) said Friday that global airline passenger revenue could decrease by $ 314 billion ($ 447 billion) this year, a 55% drop over last year.
Asia Pacific airlines will see the largest drop in revenue of $ 113 billion this year from last year. It is also expected that they will experience a 50% drop in passenger demand this year compared to 2019.
Conrad Clifford, IATA regional vice president for the Asia-Pacific region, said: “The situation is deteriorating.
“We witnessed the first victim of an airline (Virgin Australia) in the region. There will be more victims if governments do not intervene urgently to ensure that airlines have enough cash flow to cope with this period.”
Virgin Australia, which belongs to 20% of SIA, handed over control to administrators on April 21.
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