Virgin Atlantic’s petition for a government bailout has been clever. The airline has struggled with profitability over the years and now, like the rest of the industry, is in a parlous state because of the coronavirus pandemic. Air traffic figures have fallen off a cliff, with the International Air Transport Association estimating that travel restrictions now cover 98 per cent of global passenger revenues.
“Even an airline that’s not flying is still incurring a lot of costs,” says John Strickland, the director of JLS Consulting, pointing to the constant overheads of storing and leasing planes.
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