Switzerland and Austria pledged to help Lufthansa with state-backed loans as the airline pursues talks with Berlin over a E9b rescue package. The Swiss government said Wednesday it will ask parliament for 1.275b francs in loan guarantees for Lufthansa units Swiss and Edelweiss. Strict travel restrictions to contain the coronavirus pandemic have brought flights to a near-halt across the world and there is no end in sight for when they can restart, leaving many airlines begging governments for rescue packages. Lufthansa's Austrian airline AUA said Tuesday that it had applied for E767m in state aid, of which a large part should be repayable loans and the remainder grants. An AUA spokesman said these grants were still under negotiation and both Switzerland and Austria attached conditions on their participation in the bailout. "The funds guaranteed by the Swiss government are only to be used for Swiss infrastructure," the government said, adding that the loans would be secured by shares in Swiss and Edelweiss. Dividends or other payments would be forbidden until public assistance has been repaid, it added.<br/>
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Lufthansa has today become the first European airline to introduce compulsory face mask measures for passengers. The new measures will be put in place on May 4 and the airline is asking all passengers to wear a face mask that covers their nose and mouth on board its flights throughout the entire journey - including prior to and after the flight and through the airport. The airline has asked for passengers to bring their own masks and recommends that they have a reusable fabric mask. This new regulation will be in place until August 31 this year. Lufthansa says the introduction of the policy means that the regulation to keep the neighbouring seat free will no longer apply, as the mask provides ‘adequate health protection’. It adds: “Due to the current low occupancy rate, seats will nevertheless be allocated as widely as possible throughout the cabin.”<br/>
ANA will delay the delivery of aircraft as Japan's largest airline makes moves to soften the financial blow from the coronavirus, President and CEO Shinya Katanozaka said. The global outbreak has closed international borders and has essentially grounded the airline industry as whole. To ride out the turbulence, parent company ANA Holdings will engage in aggressive cost-cutting measures supplemented by relief funds, he said. "What is key is self-support," Katanozaka said. "We'll postpone receipt of aircraft and cut executive pay, among other measures. We pay most of the aircraft purchasing cost during the time of delivery. We're moving forward in shifting those payments. We plan to receive 13 aircraft this fiscal year, but we're shifting receipt of the A380 and the 787 from the first half to the second half." He was referring to the Airbus superjumbo jet and Boeing's wide-body craft, respectively. ANA's first fiscal year ends Sept. 30, while H2 ends March 31 next year. "Aircraft due for delivery in the second half of this fiscal year will be shifted to the next fiscal year. As for the 777-9X [Boeing's newest jumbo jet] that we've ordered, delivery has been postponed partly due to circumstances on their end."<br/>
Thai Airways International is being thrown a lifeline in the form of a bailout loan, finance permanent secretary Prasong Poontaneat said on Wednesday. The Finance Ministry is expected to guarantee a loan worth 50b baht to rescue the national carrier. The State Enterprise Policy Committee (SEPC) meeting approved in principle the proposal to rehabilitate the national carrier. The committee, chaired by Prime Minister Prayut Chan-o-cha, assigned a financial consultant to work out a rehabilitation blueprint to be submitted to the THAI board. Central to the plan is the bailout loan to be made available to the airline. A source at Government House said the Finance Ministry will guarantee the loan until the end of the year. The amount falls below the original plan for obtaining a 70b baht loan. At the same time, THAI will have to negotiate its debts with creditors and adopt cost-cutting measures. The loan will be disbursed in tranches to spur the airline to stay on track with rehabilitation.<br/>