Coronavirus flight cuts could extend until summer. Airlines call for $58 billion in aid

Responding to new government travel restrictions and plunging demand, U.S. carriers plan to slash flight capacity by up to 75% on international routes and as much as 30% on domestic flights, with cuts projected to last until summer. The growing coronavirus outbreak also prompted a trade group that represents the U.S. airlines to call on the federal government to provide at least $58 billion in grants, loans and tax breaks to respond to an economic blow that the group called “staggering.” “This is a today problem, not a tomorrow problem,” Nicholas E. Calio, president and chief executive of Airlines for America, said in a statement Monday. A thread: 1/11 — Sara Nelson March 16, 2020 The union that represents more than 63,000 pilots called on federal lawmakers to ensure that “any economic relief package must contain strong labor protections for the airline employees who have — or will — suffer financial harm, experience quarantine or treatment, or need to care for a loved one.” The union that represents airline mechanics and railroad workers issued a letter to its 140,000 members Monday, saying, “we must be prepared for short term turmoil that could be even greater than we endured in the wake of the 2001 attacks.” Such cuts have already begun in Europe. “However, I want to emphasize that this is temporary, because when the world returns to normalcy my goal is to keep as many of our dedicated colleagues as possible.” International Airlines Group, which operates Aer Lingus, British Airways and Iberia, among others, said it plans to cut flight capacity by at least 75% for April and May. American Airlines, the world’s largest carrier, is reducing costs by about $3 billion in response to the cut in demand, but in a news release, S&P Global predicted the savings will be “more than offset by sharply weaker traffic levels.” Still, the credit rating company noted that American and United both set aside hefty cash reserves and that the managers of some of the largest carriers have overcome the impacts of the Sept. 11 terrorist attacks and the 2008-09 recession.