Calio Calls the Covid Crisis Worse Than 9/11 Crash

The US government is preparing to aid the airlines industry to avoid the financial to operational downgrade.

The major US airlines and carriers are about to face a massive bankruptcy as the US government ceases the government business-imposed travel. The airline trade associations of the US have claimed assistance from Donald Trump to bail the crisis and white house is looking for ways to help the industry through tax relief, loans and grants.

“We very much appreciate the ongoing constructive conversations we are having with the White House and Congress. The economic impact on U.S. airlines, their employees, travelers, and the shipping public is staggering. In the short span of two weeks, U.S. carriers – both passenger and cargo – have seen their positions of strong financial health deteriorate at an unprecedented and unsustainable pace. By all accounts, this situation is worse than the financial and operational impact caused by 9/11” assures, Nicholas E. Calio, President & CEO, A4A.

U.S. airlines are grateful to the President, Vice President, Sec. Mnuchin and Sec. Chao for their ongoing support as we work to protect our employees, keep commerce moving and continue flying people and products across the globe

Before the Covid-19 outbreak, the US airlines were responsible to transport 2.5 million passengers and 58,000 tons of cargo each day. As the fear of Coronavirus spread consumes the US, people prefer to be home-safe, leading to loads cancellations of flight bookings. Even the cash cancelations are far to outpace new bookings. The dramatic cuts in the capacity are all in vain, as the flights on-board are only 20 to 30 percent full and involving 70-80 percent reduction in traffic.

“Amid this crisis, the U.S. airline industry is doing everything possible to preserve the 750,000 jobs of hard-working men and women who are directly employed by U.S. airlines, including pilots, flight attendants, gate agents, and mechanics, as well as the 10 million jobs supported by the industry. Our employees are the backbone of the industry and our greatest resource”, states Nicholas. “U.S. airlines are grateful to the President, Vice President, Sec. Mnuchin and Sec. Chao for their ongoing support as we work to protect our employees, keep commerce moving and continue flying people and products across the globe,” he adds.