As mass quarantines, travel bans, and states of emergency take effect this week, airlines are now responding by suspending international travel. Airlines have also terminated most, if not all new plane orders, driven by a drop-off in demand and a scramble to maintain a positive balance sheet. There is much speculation about the impact this will have on the airline industry as a whole. Some pundits are predicting that most airlines could face bankruptcy by early summer if significant action and intervention is not taken.
Here is what some people are saying about it:
Westjet suspends flights starting March 22.
WestJet to suspend all international and U.S. flights for 30 days starting March 22 https://t.co/Fs6aPPSoFP— National Post (@nationalpost) March 17, 2020
Canadian provinces close their borders
Canada is closing its borders to travellers who are not Canadian citizens, permanent residents or Americans. #COVID19— CBC British Columbia (@cbcnewsbc) March 16, 2020
But B.C. Health Minister Adrian Dix says Canada's travel restrictions don't go far enough, as he calls for a travel ban on non-essential U.S. travel into B.C. pic.twitter.com/fHtMHyu8sm
Are we witnessing the beginning of a string of bankruptcies and bailouts?
Okay, airlines, here are the terms of your bailout! https://t.co/PN6Vy4lcbW— Henry Blodget (@hblodget) March 17, 2020
Airlines bankruptcies by May unless immediate, significant action is taken.
Coronavirus will bankrupt most airlines by the end of May unless governments and the industry take coordinated action, an aviation consultant warns https://t.co/P8SQrEAZsD— Bloomberg (@business) March 17, 2020