Copa Holdings - which operates Copa Airlines and Wingo will reduce 80% of its operations by April, due to regional restrictions been imposed in to prevent the entry of foreigners as a result of the coronavirus pandemic.
On Tuesday, February 17, the CEO of Copa Holdings Pedro Heilbron said:
"We have been forced to take drastic measures to ensure our sustainability in the future and, in this way, protect the impact of Copa Airlines on the economy of Panama and the countries we serve, the well-being of tens of thousands of people who depend on directly and indirectly from us, and the connectivity we provide to millions of passengers throughout America. ”
The company disclosed the measure to the United States Securities and Exchange Commission, the market in which the shares of Copa Holdings are listed .
“The company expects the grounding of most of its fleet, without ruling out the possibility of a temporary closure of its operations, they detailed to the United States regulatory authorities.
“The extent of the impact of this situation on the company, the operational and financial performance will depend on the evolution of the virus, including the duration and spread of the outbreak, travel restrictions and how quickly the demand for travelers recovers after the coronavirus. be controlled.
“The continuation of the current situation could have a material adverse effect on the company's operations and finances. At this time, the duration of the current situation cannot be predicted, to what extent will it be able to reduce costs or the time for any potential recovery, ”.
Heilbron, said, that they face "the most important challenge in the history of aviation and Copa Airlines." However, he believes that in situations like this it is when "we must reinforce our commitment to all our passengers and transport those who need it, as long as it is possible to do so."
“For this reason, we have made our commercial policies more flexible to facilitate changes, we substantially lowered our rates and created a digital tool at copa.com , so that our passengers to easily cancel their ticket on their own account and maintain a credit for their r next trip with us ”.