Emirates raising debt to brace for more Covid-19 turbulence

International air travel will take at least 18 months to recover, Emirates Airline said Sunday, as the coronavirus pandemic contributed to a collapse in annual net profits at the carrier’s parent.

Emirates, one of the world’s biggest long-haul airlines, said on Sunday it will raise debt to help it through the coronavirus pandemic and may have to take tougher measures as it faces the most difficult months in its history.

The COVID-19 pandemic will have a huge impact on our 2020-21 performance, with Emirates’ passenger operations temporarily suspended since 25 March, and dnata’s businesses similarly affected by the drying up of flight traffic and travel demand all around the world,” the chairman said in a statement. “We continue to take aggressive cost management measures, and other necessary steps to safeguard our business, while planning for business resumption.

We expect it will take 18 months at least, before travel demand returns to a semblance of normality.”

WSJ / Emirates