Shares in Europe’s biggest airlines and tourism companies tumbled on Monday as new travel restrictions heightened doubts that the crisis-hit industry was poised for recovery.
Low-cost airline easyJet led the declines among big carriers with a fall of more than 10 per cent, while British Airways’ owner IAG lost 8 per cent and Germany’s Lufthansa slid 6 per cent.
Several European countries have imposed new travel restrictions following rising cases of Covid-19 in parts of the region, dealing a significant blow to hopes of a late-summer revival for the tourism industry.
The UK and France have warned over travel to parts of Spain, with Britons returning from Spanish holidays now required to self-isolate for 14 days following a spike in infections in three regions.
About 600,000 British tourists are due to fly into Spain this week, according to estimates based on flight-tracking data from the PC Agency, a travel PR group.
The UK has defended its decision to impose quarantine rules without warning over the weekend, saying it had been forced to act “quickly” after seeing data at the end of last week showing a rapid rise in infections in parts of Spain.
“We had to make the decision to act very rapidly and decisively,” health and social care minister Helen Whately told the BBC, adding that the government would “take action” if infection rates spiked in other European countries.
She said the government had considered more targeted restrictions that took into account regional variations in infection rates in Spain, but decided it was safer to offer “a clear decision”.
The UK’s decision led to an angry response from Madrid, which has insisted the pandemic is under control.
Foreign minister Arancha González Laya said the Spanish government was now focused on securing exemptions for the Canary and Balearic Islands, two popular tourist regions with lower case numbers.
She added that the epidemiological data on infections from the islands was “well below” the levels currently in the UK.
The new uncertainty deals a fresh blow to an airline industry that is struggling through an unprecedented crisis, leading carriers to slash jobs and raise cash in a fight for survival as they prepare to carry fewer passengers.
Ryanair slipped 5 per cent, having reported a loss earlier on Monday, and warned that a new wave of infections in the autumn was “our biggest fear right now”.
The airline said it hoped European governments would not implement further travel restrictions but said it expected a “very challenging year” and was unable to offer financial guidance.
Coronavirus business update
How is coronavirus taking its toll on markets, business, and our everyday lives and workplaces? Stay briefed with our coronavirus newsletter.
IAG on Friday said it was considering launching a rights issue of up to €2.75bn to strengthen its balance sheet. The company also plans to cut roughly 30 per cent of the workforce at British Airways and has previously warned that it is in the “deepest crisis the company has ever faced”.
Tui, Europe’s largest tourism group, fell more than 11 per cent and said it would cancel trips to mainland Spain up until August 9 and would offer refunds or incentives to rebook.
It said it would not cancel holidays to the Balearic or Canary Islands, and called for a more “nuanced” policy allowing quarantine-free travel to some parts of Spain.
Additional reporting by Guy Chazan and Alice Hancock
https://news.google.com/__i/rss/rd/articles/CBMiP2h0dHBzOi8vd3d3LmZ0LmNvbS9jb250ZW50L2ZlN2Q1OGViLTEzMjctNGY4My05ZTk4LTExZGU3OTI5ODZiY9IBAA?oc=5
2020-07-27 09:41:00Z
CAIiECzTJSmnH8M8cPaUMOxfW_AqFwgEKg8IACoHCAow-4fWBzD4z0gw0tp6
Tidak ada komentar:
Posting Komentar