Iberia will downsize due to coronavirus: CEO

Iberia will reduce the size of its fleet, the number of destinations it flies to and how frequently as the coronavirus pandemic continues to drag on demand, its CEO said. Luis Gallego also told El Pais that Iberia wants to extend a temporary layoff scheme for workers, known as ERTE, until December. "In Iberia, we will be smaller, but we will exist, something that it is not clear other airlines will be able to say," Gallego said in the interview, published on Sunday. "Smaller, unfortunately, with the capacity adapted to the demand. We will have fewer planes, fewer flights and fewer destinations." The airline has been losing E7m per day as lockdowns to curb the spread of coronavirus have grounded planes, he said. Iberia will withdraw 17 Airbus A340-600 planes from its fleet, he said. Gallego, who will take over as chairman of IAG in September, said demand in the airline industry was not expected to return to 2019 levels until 2023 or 2024.<br/>