An empty Air Canada check-in counter is seen at Montreal-Trudeau International Airport in Montreal, on Wednesday, April 8, 2020. THE CANADIAN PRESS/Paul Chiasson

Air Canada reports $1.05B first-quarter loss due to impact of COVID-19 pandemic

The airline has reduced its second quarter capacity by 85 to 90 per cent

Air Canada says it lost $1.05 billion in its first quarter compared with a profit of $345 million in the same quarter last year as governments imposed travel restrictions around the world due to the COVID-19 pandemic.

The airline says the loss amounted to $4.00 per diluted share for the quarter compared with a profit of $1.26 per diluted share in the first quarter of 2019.

Operating revenue fell to $3.72 billion compared with $4.43 billion in the year ago quarter.

On an adjusted basis, Air Canada says it lost $392 million or $1.49 per diluted share in the first quarter of this year compared with an adjusted profit of $17 million or six cents per diluted share in first three months of 2019.

The airline has reduced its second quarter capacity by 85 to 90 per cent when compared with the same quarter last year, while its third quarter capacity is expected to be reduced by about 75 per cent compared with a year earlier.

Air Canada is also accelerating the retirement of 79 older aircraft in a move that it says will simplify the airline’s fleet, reduce costs structure and lower its carbon footprint.

READ MORE: WestJet joins Air Canada in hoping to qualify for wage subsidy to bring workers back

READ MORE: Air Canada and others suspend flights until June as sector slammed by COVID-19

The Canadian Press


Like us on Facebook and follow us on Twitter.

Air CanadaAir TravelCoronaviruseconomy

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

No changes coming to Fernie’s Second Avenue

Following a public survey, council holds off on repurposing Second Avenue

Tourism ramps back up in the Elk Valley

Heading into phase three, Tourism Fernie kicks off various inititives supporting local businesses

Business Beat

Coal Valley Boxing reopens to public Fernie and Sparwood’s Coal Valley Boxing… Continue reading

Sparwood ramps up recreation activities

The district launched their summer camp, a street banner program, and opened the Fitness Centre

Provincial COVID-19 data can now be used for B.C. to prepare for a second wave

In the past week, B.C. has seen a slight spike in daily test-positive case counts

‘It’s really frustrating’: B.C. Indigenous groups share impact of border closures

The closures have resulted in disputes between Indigenous groups and local businesses

Trudeau apologizes for not recusing himself from WE decision

He says his and his family’s longtime involvement with the WE organization should have kept him out of the discussions

Wage subsidy will be extended until December amid post-COVID reopening: Trudeau

Trudeau said the extension will ‘give greater certainty and support to businesses’

Beverly Hills 90210 star’s family selling Vancouver Island Beach Resort

You can own Jason Priestley’s Terrace Beach Resort in Ucluelet for less than $5 million

New comet appears in pre-dawn sky above Cranbrook

Neowise can be seen without a telescope over the next couple of weeks

Islanders want BC Ferries to follow order that lets residents board before tourists

For ferry-dependent communities, ferries are often the sole practical lifeline to work, school or medical appointments.

Washington’s NFL team drops ‘Redskins’ name after 87 years

The franchise was given the name back in 1933, when it was still in Boston

Genetic detectives begin work to trace spread of COVID-19 in Canada

The kinds of genetic technology being used for this project did not exist when SARS hit Canada in 2003

Most Read