El Al Israel Airlines departure counter is pictured empty after it cancelled flights to Italy at Ben Gurion International Airport, near Tel Aviv, on February 27, 2020.
Jack Guez | AFP | Getty Images
Airlines could lose $63 billion to $113 billion in revenue for passenger traffic globally in 2020, depending on how the coronavirus spreads, International Air Transport Association (IATA) said on Thursday.
The last time the industry faced a revenue shock of this magnitude was in 2009 during the global financial crisis, IATA Chief Economist Brian Pearce said at a media briefing in Singapore.
The $63 billion figure is for a scenario where the disease is contained in current markets with over 100 cases as of March 2, following a v-shaped recovery, IATA said.
The $113 billion estimate is for a scenario with a broader spreading of the disease.
This fall would translate to 11%-19% of worldwide passenger revenue loss.
IATA on Feb. 20 estimated the outbreak would cost carriers $29.3 billion in revenue, if the outbreak was largely confined to markets associated with China.
https://news.google.com/__i/rss/rd/articles/CBMiWGh0dHBzOi8vd3d3LmNuYmMuY29tLzIwMjAvMDMvMDUvY29yb25hdmlydXMtaWF0YS13YXJucy1wYXNzZW5nZXItcmV2ZW51ZS1jb3VsZC1mYWxsLmh0bWzSAVxodHRwczovL3d3dy5jbmJjLmNvbS9hbXAvMjAyMC8wMy8wNS9jb3JvbmF2aXJ1cy1pYXRhLXdhcm5zLXBhc3Nlbmdlci1yZXZlbnVlLWNvdWxkLWZhbGwuaHRtbA?oc=5
2020-03-05 09:38:00Z
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