23 airlines in the world have gone bankrupt. Do you still have a chance to return to the blue sky?

 23 airlines in the world have gone bankrupt. Do you still have a chance to return to the blue sky?

Specifically, the airlines facing bankruptcy mainly include: South Africa Airlines, the largest airline in South Africa; Columbia airlines, the second largest airline in Latin America; airitaly, the second largest airline in Italy; virgin Australia, the second largest airline in Australia;

Air Georgia of Canada, Ernest airlines of Italy, airdeccan of India, levelloop of Austria, nokscot of Thailand and tiger air Australia of Australia;

Lata Argentina, an Argentine subsidiary of South American Airlines, compass airlines, Leeward Islands air transport, Flybe, braathens regional airlines, Miami air interna, Miami air interna, and transtates airlines, are the main carriers of the United States;

One airlines, the sixth largest airline in Chile, ravnair, SunExpress Deutschland, Atlas global, tameep, etc.

Among the 23 airlines that went bankrupt, Columbia Airlines has just passed its centenary, and it is also the second oldest airline in the world. Due to the novel coronavirus pneumonia impact, the companys revenue has dropped by 80% since March this year, and faced huge pressure of capital liquidity. Columbia, which filed for bankruptcy in New York on May 11, said it had filed for voluntary protection.

In fact, the companys operations have long been in jeopardy, with Columbia airlines in debt of $7.3 billion by 2019.

Columbia Airlines is not alone in being overwhelmed by the last straw of the epidemic.

At present, Bain Capital, a US private equity company, is starting to acquire virgin Australia Airlines, but it has not disclosed the purchase price and how many of its 9000 employees can keep their jobs. It is reported that Bain will submit a report to creditors before the second creditors meeting on August 19, and relevant information will be disclosed in the creditors report.

It is worth mentioning that the announcement of bankruptcy and bankruptcy of airlines does not mean permanent outage. Through restructuring and acquisition, these airlines are expected to return to the blue sky in the near future.

Although Columbia Airlines declared bankruptcy, it did not intend to sell assets to repay its debts. Instead, it sought court approval and actively negotiated with creditors to solve the debt problem through bankruptcy reorganization. During this period, the company will continue to operate to ensure the positions of more than 20000 employees of the group.

As far as the domestic aviation market is concerned, according to the flight standard statistics, in the first half of this year, the number of take-off and landing flights at mainland airports decreased by more than 75% compared with the same period last year, and Chinas civil aviation industry has regressed to the level of 2001.

Fortunately, with the gradual reduction of emergency response level of epidemic prevention and control in various provinces and cities, Chinas aviation market has slowly recovered, and there is no bankruptcy of airlines.

However, according to the forecast of the International Air Transport Association (IATA) in June, the global air traffic volume is only about one-third of that before the outbreak, and the loss of the entire aviation industry may reach billions of dollars. It is estimated that the demand for passengers air travel will return to the level before the crisis by 2023 or 2024.