United Airlines, the world’s fourth biggest carrier by revenue, has lost $2.1 billion so far due to the coronavirus pandemic.
The airline’s pre-tax first quarter revenue was down 17%. The overall loss was adjusted to $1 billion, after stripping out special charges.
All the losses came in March and the airline is warning that the next two quarters are likely to be worse.
United has cut capacity by 90% as travel demand has shrunk to virtually zero.
The airline has already been allocated $5 billion in relief from the US government and it plans to apply for additional loans of up to $4.5 billion to see it through the current crisis.
Top executives at United have become increasingly despondent about a quick recovery and expect ‘no sign of improving in the near term.’
Delta Air Lines and Southwest Airlines are also due to post first-quarter results this week.
