Copa Airlines Could Cancel over 80% of its June Flights

Panama-based Copa Airlines barely expects to fulfill a meager 12% of its original schedule for the month June. 

The carrier had said last week it may not have enough liquidity to survive the coronavirus crisis despite cutting costs, becoming the second major Latin American airline to suggest that it may cease to exist due to the outbreak. 

Unfortunately for Copa Airlines, the airline depends mostly on its international traffic. The Panamanian carrier has only one domestic route as long as it has flown to almost any other American country before the pandemic.

But as borders in the region began to close, Copa remained without countries to fly to. To add insult to injury, the Panamanian government also closed its borders on March 22 to combat a pandemic.

During March, the airline dropped 43.4% of passenger miles (RPM). It also experienced a fall of 35.7% of available miles (ASM). The Kope flight load factor was 73.4% in March.

An even bigger drop can be expected in April as the only flights operated by the airline are currently under way for freight and repatriation. The scenario will repeat next month, in May.

Copa Airlines is currently planning to resume flights on June 1. But that date depends on the Panama government lifting travel restrictions. “Against the backdrop of a significant drop in demand, the carrier reduced capacity in June to 12%,” said Zacks Equity Research.

Source: The Media Hell