EasyJet posts first loss in 25 years as boss urges more state support

EasyJet has slumped to a GBP1.3b annual loss, the first in its 25-year history, as the industry-wide aviation crisis shows few signs of easing. The low-cost airline on Tuesday said it expected to fly just a fifth of its normal schedule for the rest of this year, as it tried to keep losses to a minimum. With demand for flying expected to be low even over the traditionally busy Christmas period and recovery hopes delayed until next year at the earliest, EasyJet CE Johan Lundgren again called for more government support. Lundgren, who has repeatedly pressed for more government backing in the past few weeks, said he would welcome new state loans or the removal of air passenger duty to stimulate demand. Although he stopped short of calling for direct cash injections into UK airlines, he noted that some continental carriers have received billions of euros in support. “I am concerned funds are being very unevenly distributed around the network to some of these airlines. We are having a constructive dialogue with the government,” he said. The company had announced earlier an extension to the repayment of a GBP600m UK government rescue loan to manage its finances through the winter season. The airline will repay the loan in two stages in March and November, rather than in full in March.<br/>