Virus could mean $5b in airline losses: UN agency

The new coronavirus outbreak could mean a reduction of $4-5b in worldwide airline revenue, the ICAO said Thursday. The UN agency reported that 70 airlines have canceled all international flights in and out of China and 50 others have reduced their operations. Preliminary estimates show this has meant a reduction of nearly 20 million passengers compared to expectations for Q1 2020. That figure equates to potential lost revenue of up to $5b, the agency said. "Prior to the outbreak, airlines had planned to increase capacity by 9% on international routes to/from China for the first quarter of 2020 compared to 2019," ICAO said in a statement. The reality has been a reduction in foreign airline traveller capacity of 80%. Japan looks to be hardest-hit from a reduction in Chinese air travellers in Q1, ICAO said. The country could lose $1.29b in tourism revenue, with Thailand not far behind at a $1.15b loss potential. <br/>