While Deloitte, as administrator, seeks to find new money to restart the carrier, it’s also going to be restructuring the airline’s debts. Since Virgin Australia reportedly owes about US$10 million to the Perth airport in unpaid fees, the airport decided to block a Boeing 737-800 from taking off as a way of physically securing their claim – using a bulldozer.
There’s a new analysis of the best cities in the U.S. to be quarantined in. It takes into account average apartment size (very important), prevalence of high speed internet (crucial), amount of park land (so you can get out and still social distance), and number of takeout food options.
A roundup of the most important stories of the day. I keep you up to date on the most interesting writings I find on other sites – the latest news and tips.
The U.S. government is clear that airlines must refund passengers whose flights are cancelled. The European Union is clear on this too but airlines have ignored their rules. In fact, European airlines have offered refunds to Americans (or where itineraries touch the U.S.) but not for Europeans (travel that doesn’t touch the U.S.).
Canada had been clear that airlines do not have to refund passengers for cancelled flights. Fortunately they are backtracking from that position.
It would be actually be shocking if there haven’t been discussions at each U.S. airline around what a bankruptcy filing might look like. Chapter 11 bankruptcy doesn’t mean ceasing operations. It means freezing obligations and restructuring its debts. And one of the things that would be looked at in any bankruptcy is the airline’s labor contracts.
However the specifics of this rumor are utter nonsense.
A roundup of the most important stories of the day. I keep you up to date on the most interesting writings I find on other sites – the latest news and tips.
A 1977 Piper Cherokee Lance N43756 registered to Reid Katan in North Beach, Maryland spelled out “Get Well Soon, Bailey” in the sky.
When Eli Beer, the President of United Hatzalah (a free emergency medical services non-profit based in Jerusalem) sought to return home to Israel after recovering from COVID-19 in Miami, he had the help of Sheldon Adelson, the CEO of Las Vegas Sands Corporation.
Taking money from poor people in Africa to give to airlines is bat crazy. GDP per capita in Sub-Saharan Africa (2018) was US$1586. In some countries it’s much lower. 18 countries in Africa are already at their capacity for debt. Safe drinking water strikes me as a higher priority than airline subsidies, and in the current pandemic I’d focus more on lack of testing and lack of ventilators and personal protective equipment than giving it to failed airline executives.
The Wall Street Journal had reported that both Delta and United were in talks to do this again with their credit card partners, but Ed Bastian appears to deny this is the case. There was some reference during the airline’s earnings call that the government could take part of SkyMiles as collateral for a subsidized CARES Act loan although nothing was definitive.
Gary Leff is one of the foremost experts in the field of miles, points, and frequent business travel -- a topic he has covered since 2002.
Co-founder of frequent flyer community InsideFlyer.com, emcee of the Freddie Awards, and named one of the "World's Top Travel Experts" by Conde' Nast Traveler (2010-Present) Gary has been a guest on most major news media, profiled in several top print publications, and published broadly on the topic of consumer loyalty. More About Gary »
