COVID-19: CAPA says most airlines will be bankrupt by May-end unless there is coordinated government-industry action

News Network
March 16, 2020

New Delhi, Mar 16: Due to the coronavirus pandemic, most airlines in the world will be bankrupt by the end of May and only a coordinated government and industry action right now can avoid the catastrophe, said global aviation consultancy firm CAPA in a note on Monday.

"As the impact of the coronavirus and multiple government travel reactions sweep through our world, many airlines have probably already been driven into technical bankruptcy, or are at least substantially in breach of debt covenants," it stated.

Across the world, airlines have announced drastic reduction in their operations in the wake of the coronavirus outbreak. For example, Atlanta-based Delta Air Lines stated on Sunday that it would be grounding 300 aircraft in its fleet and reduce flights by 40 per cent.

The US has suspended all tourist visas for people belonging to the European Union, the UK and Ireland. Similarly, the Indian government has suspended all tourist visas and e-visas granted on or before March 11.

CAPA, in its note on Monday, said, "By the end of May-2020, most airlines in the world will be bankrupt. Coordinated government and industry action is needed - now - if catastrophe is to be avoided."

Cash reserves are running down quickly as fleets are grounded and "what flights there are operate much less than half full", it added.

"Forward bookings are far outweighed by cancellations and each time there is a new government recommendation it is to discourage flying. Demand is drying up in ways that are completely unprecedented. Normality is not yet on the horizon," it said.

India's largest airline IndiGo -- which has around 260 planes in its fleet -- said on Thursday that it has seen a decline of 15-20 per cent in daily bookings in the last few days.

The low-cost carrier had stated that it expects its quarterly earnings to be materially impacted due to such decline.

CAPA said the failure to coordinate the future will result in protectionism and much less competition.

"The alternative does not bear thinking about. An unstructured and nationalistic outcome will not be survival of the fittest.

"It will mostly consist of airlines that are the biggest and the best-supported by their governments. The system will reek of nationalism. And it will not serve the needs of the 21st century world. That is not a prospect that any responsible government should be prepared to contemplate," the consultancy firm said.

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News Network
November 15,2024

Udupi: The Tourism Department is planning a major eco-friendly development initiative for Kamini Island, located near the Blue Flag-certified Padubidri End Point beach, aiming to attract more visitors while maintaining environmental sustainability.

Assistant Director Kumar CU emphasized that, given the island’s proximity to the Blue Flag beach, all development efforts will center around eco-friendly practices. “We are looking to enhance the Kamini River and the island’s surroundings by adding a hanging bridge, nature trails, and eco-friendly food courts offering traditional cuisine. Visitors will also be able to reach the island by pedal boats or kayaking,” he said.

The development project is estimated to cost between Rs 3 crore and Rs 4 crore. Meanwhile, the Blue Flag beach, Padubidri, continues to see a steady flow of visitors. Vijay Shetty, manager of the beach, shared that tenders for food courts and water sports have been awarded to private parties. Recently, three new coracles have been introduced, which are proving to be a hit with visitors. Additionally, three more shelters are expected to be ready by November 20.

Shetty mentioned that the beach can now accommodate between 2,500 and 3,000 visitors daily, although footfall remains lower than other district beaches due to user fees and activity restrictions. “Initially, most visitors were from Mangaluru, but now nearly 40% come from other districts, showing a shift in the visitor demographics,” Shetty noted.

To further boost tourism and promote a healthy lifestyle, a Beach Carnival is set to take place on November 23-24, featuring the National Sea Swimming Championship and a sea marathon in collaboration with the Padubidri JCI, which is celebrating its golden jubilee. Cultural events will be held at the main beach, with some sports events taking place at the Blue Flag beach. Emphasis will be placed on making all activities environmentally friendly.

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News Network
November 3,2024

Mangaluru, Nov 3: A quiet morning turned perilous for a farmer in Elathur, near Kinnigoli on the outskirts of the city, as a leopard attacked him while he was cutting grass. 

Ligori, a resident of Kalkare, was startled by the sudden assault and suffered injuries to his face but managed to escape and reach safety. He was promptly taken to the hospital for medical care.

Residents in Elathur have been on edge for over a week following reports of leopard sightings in the area. Today’s incident has heightened concerns among the local farming community, who now fear for their safety.

With a significant population of farmers in the region, villagers are demanding immediate action from the forest department to capture the leopard and ensure their safety. 

The community awaits a response, hoping for swift intervention to prevent further attacks.

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News Network
November 10,2024

gazajournalists.jpg

The media office in the Gaza Strip, where the Israeli regime has been waging a genocidal war since last October, says as many as 188 Palestinian journalists have been killed since the onset of the brutal military onslaught.

The office provided the figure on Saturday, naming four journalists as the most recent victims of the onslaught.

It identified the foursome as Zahraa Mohammad Abu Sukheil, Ahmad Mohammad Abu Sukheil, Mustafa Khadr Bahar, and Abdel Rahman Khadr Bahar.

The office said it “strongly condemns the targeting, killing, and assassination of Palestinian journalists by the Israeli occupation and holds it fully responsible for committing this heinous crime.”

“We call on the international community, international organizations, and those involved in journalistic work worldwide to take action against the occupation, pursue it in international courts for its ongoing crimes, and pressure it to halt the genocide and the targeted killings of Palestinian journalists,” it said.

Earlier in the day, the office said the Israeli regime had bombed the tents sheltering journalists and displaced persons at the al-Aqsa Martyrs' Hospital in the city of Deir al-Balah in central Gaza for the ninth consecutive time.

The atrocity that claimed the lives of two people and injured 26 others came as part of “the genocidal crimes committed by the Israeli occupation army against hospitals, civilians, and displaced persons,” it said.

The media office held the regime and the United States, its biggest ally, as well as other countries aiding the genocide fully responsible for such systematic crimes.

At least 43,552 Palestinians, mostly women and children, have been killed and 102,765 others wounded since the launch of the war that followed a retaliatory operation by Gaza’s resistance groups.

The fatalities include 44 people, who were killed across the coastal sliver, in the most recent phase of the military onslaught.

As many as 24 of the victims were killed in the northern part of the territory, where the regime has markedly intensified its deadly attacks for weeks.

They included an eight-year-old child and a five-year-old one, who lost their lives after Israeli warplanes targeted a group of minors filling up jerry cans with water alongside their mother at the Jabalia Refugee camp.

Gaza’s heath ministry, meanwhile, said a number of victims remained under the rubble and in the streets following Israeli airstrikes, saying ambulances and civil defense teams could not reach them due to the sheer extent of the destruction caused by the raids and obstruction caused by the regime.

Also on Saturday, the Integrated Food Security Phase Classification (IPC) report, a United Nations-backed assessment, warned that famine was looming in northern Gaza amid escalated Israeli aggression and the regime’s near-total siege of the targeted areas.

The alert from the Famine Review Committee warned of "an imminent and substantial likelihood of famine occurring, due to the rapidly deteriorating situation in the Gaza Strip."

On October 17, the body projected that the number of people in Gaza facing "catastrophic" food insecurity between November and April 2025 would reach 345,000, or 16 percent of the population.

The IPC report classified that figure as Phase 5 -- a situation when "starvation, death, destitution, and extremely critical acute malnutrition levels are evident."

The Israeli military, however, questioned the report's credibility.

"To date, all assessments by the IPC have proven incorrect and inconsistent with the situation on the ground," the army said in a statement, denouncing "partial, biased data and superficial sources with vested interests."

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