THE founder of easyJet has warned that the budget airline will “run out of money by around August”, as he renewed calls to cancel a £4.5 billion order with Airbus.
The predicted time frame for the carrier to run out of cash, due to the coronavirus pandemic, would clash with peak holiday season for Brits – with millions currently booked to go away during the summer month for their annual break.
⚠️ Read our coronavirus live blog for the latest news & updates
2
Although it is not yet known how much of the travel industry will reopen for business this summer, as the Foreign Office has now advised Brits not to travel abroad “indefinitely”.
Sir Stelios Haji-Ioannou also called on the company to remove chief finance officer Andrew Findlay, as he said it would be “the best way to stop him writing billion-pound cheques plus to Airbus every year”.
It comes after the Luton-based carrier grounded all of its planes last week as demand for flights collapsed due to the coronavirus pandemic.
Chief executive Johan Lundgren has indicated that the airline would consider accepting Government bailout loans if needed.
But Sir Stelios, whose EASYGROUP still owns a third of the carrier, has said it will not need Government loans if it terminates the contract with Airbus.
He also claimed that he will not invest any further cash into the airline while the contract with the plane manufacturer is in place.
2
An easyJet spokesman said: “The board is managing the unprecedented challenges facing the airline and the aviation sector as a whole.
“We remain absolutely focused on short-term liquidity, removing expenditure from the business alongside safeguarding jobs and ensuring the long-term future of the airline.
“We believe that holding a general meeting would be an unhelpful distraction from tackling the many immediate issues our business faces.”
On March 30, easyJet grounded its entire fleet of aircraft due to the coronavirus pandemic.
FLIGHTS GROUNDED How you can get a refund on your EasyJet flights after airline grounds ALL planes
The airline said at the time that it could not give a date for when it will start flying planes again – but its staff are currently being given a two-month leave of absence, meaning the measures will last at least until June.
During this time, staff will be paid 80 per cent of their average pay through the Government job retention scheme.
CORONAVIRUS CRISIS – STAY IN THE KNOW
Don’t miss the latest news and figures – and essential advice for you and your family.
To receive The Sun’s Coronavirus newsletter in your inbox every tea time, sign up here.
To follow us on Facebook, simply ‘Like’ our Coronavirus page.
Get Britain’s best-selling newspaper delivered to your smartphone or tablet each day – find out more.
The grounding of the flights came just 10 days after a £174million payout to shareholders, with a third of the payout going to founder Sir Stelios Haji-Ioannou.
An emotional video from one of easyJet’s last flights showed crew thanking passengers and asking them to “stick together and get through this”.
The video was filmed on the last repatriation flight from Tenerife by passenger Chris Chibbett.
Only a few passengers were on board the plane as it returned to the UK.
EasyJet have launched their winter sale early, with £29.99 flights to Europe – despite the current uncertainty of coronavirus.
The flights, which can be booked today, are available for travel between 25 October 2020 and 28 February 2021.
Give now to The Sun’s NHS appeal
BRITAIN’s four million NHS staff are on the frontline in the battle against coronavirus.
But while they are helping save lives, who is there to help them?
The Sun has launched an appeal to raise £1MILLION for NHS workers.
The Who Cares Wins Appeal aims to get vital support to staff in their hour of need.
We have teamed up with NHS Charities Together in their urgent Covid-19 Appeal to ensure the money gets to exactly who needs it.
The Sun is donating £50,000 and we would like YOU to help us raise a million pounds, to help THEM.
No matter how little you can spare, please donate today here
