Report: a major airline could go bankrupt by may

Analysis of the aviation industry shows that major airlineswill likely go bankrupt by may because the transportation industry is facing a sharp interruption in travel due to concerns related to the coronavirus.

According to a new report the Center for aviation (Centre for Aviation), published on Monday, 16 March, the airlines do not have enough cash reserves, as flights are either canceled or performed with a small number of passengers.

Shares of major airlines fell heavily. Shares of United Airlines fell by 60% over the past month. Shares of Delta fell more than 40%. Shares of American Airlines fell by 45% last month.

On Monday, Delta announced a reduction in production capacity by about 50% in April and may. The airline expects that these reductions will apply to the summer travel period.

According to estimates of United Airlines, its revenue in March 2020 will be $1.5 billion lower than in March 2019 after the first two weeks of March this year, the company transported a million passengers less than last year. United also cancels 40% of domestic flights and 75% of international routes.

According to the world Council for tourism and travel (World Travel and Tourism Council), it could affect 50 million jobs in the industry.

«The economic consequences will be extremely serious, the timing of any recovery until the question,» said Centre for Aviation.

President Donald trump has offered its support to the aviation industry, but did not specify how it will look this support.

«We’re going to support the airline 100%. No one is to blame, and we’re going to help them,» said trump on Monday.