IndiGo, SpiceJet combined loss could hit US$1.5b
As a result of the current air travel shutdown, Tata Sons may be strategically compelled to operate just 1 rather than 2 airlines — AirAsia India and Vistara, and Air India’s privatisation is unlikely to proceed in FY21. IndiGo and SpiceJet, the two listed carriers alone could report combined losses of US$1.25b-$1.5b across FY20 and Q1 of FY21, according to the indicative numbers released by CAPA Wednesday. “Given the expected decline in traffic, both Delhi and Mumbai airports are expected to consolidate their operations in a single terminal in the near-term, as and when service resumes,” the CAPA report said, adding that post-Covid-19, a substantially different aviation sector would emerge. The impact of the shutdown due to the coronavirus pandemic will be so severe that even the stronger carriers may not be immune. <br/>
https://portal.staralliance.com/cms/news/hot-topics/2020-03-26/unaligned/indigo-spicejet-combined-loss-could-hit-us-1.5b
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IndiGo, SpiceJet combined loss could hit US$1.5b
As a result of the current air travel shutdown, Tata Sons may be strategically compelled to operate just 1 rather than 2 airlines — AirAsia India and Vistara, and Air India’s privatisation is unlikely to proceed in FY21. IndiGo and SpiceJet, the two listed carriers alone could report combined losses of US$1.25b-$1.5b across FY20 and Q1 of FY21, according to the indicative numbers released by CAPA Wednesday. “Given the expected decline in traffic, both Delhi and Mumbai airports are expected to consolidate their operations in a single terminal in the near-term, as and when service resumes,” the CAPA report said, adding that post-Covid-19, a substantially different aviation sector would emerge. The impact of the shutdown due to the coronavirus pandemic will be so severe that even the stronger carriers may not be immune. <br/>
