Hong Kong Carrier Cathay Pacific Posts Its worst record loss

Cathay Pacific Reports Worst Record Loss


In March 2021, Cathay Pacific posted its worst-ever financial results. They Report that they lost about 21.6 Billion Hong Kong Dollars In 2020 due to the pandemic.

The figures released by the airline were not expected by analysts.

What Happened Exactly to Cathay Pacific?

As we all know, the aviation industry has been crippled due to the COVID-19 pandemic. For Cathay, The more people that did not fly, the more they slashed the number of passenger flights.

Their Daily passengers dropped by

99%

from their pre-pandemic average of 100,000 people.

Many of their aircraft have been grounded or sent away for storage. Their freight subsidiary saved the airline from recording even deeper losses and going bankrupt in 2020.

To survive from bankruptcy, they got a 5 Billion dollar bailout from the government and share holders in June 2020.

The pandemic also forced them to slash 6,000 jobs and to close it’s regional airline, Cathay Dragon.
Cathay Pacific also says that the following months will be very challenging.

Their recovery is linked to the roll-out of its vaccinations as well. Officials hope that vaccinations will be adopted in ‘key markets’ by July or August.

Do you think that Cathay would survive in 2021?

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Oh no this isn’t great, I hope they survive like Virgin Atlantic did, if they weren’t operating freight then they would probably collapse immediately

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I guess we wait and see.

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It will be really sad if Cathay go bankrupt after around 75 years of history as the main carrier for most of its life of Hong Kong, and I hope Cathay survies this crisis to see bluer skies ahead (this coming from a Hong Konger so a bit biased)

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I hope that they dont go bankrupt, cause i know for sure @Captain_Ry will be upset

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Almost everyone will feel a least bit sad, seeing such a big airline fall, right?

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The government should help Cathay and maybe expand their cargo business more?

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They already did, I am not sure about their cargo sector though.

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They already gave them a massive 500 million package in June

Cathay Cargo is already quite big

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My bad I must of skimmed through and not seen

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COVID was also quite poorly timed after the HK protests in 2019, which travel to HK also dropped. That combined with COVID would probably be devastating in the long term

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I was sad then they killed off Cathay Dragon but now it seems like it was a necessary evil 🥲

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That’s very sad 😔

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