Airbus’s CEO warns the firm is short on cash amid COVID-19

Airbus's CEO warns the company is short on cash amid COVID-19

Airbus’s chief executive has described a stark assessment and significant impact on the planemaker due to the coronavirus pandemic that almost ceased the whole world’s movement.

Guillaume Faury, Chief Executive Officer of the aircraft manufacturer Airbus, send a letter to workers that was seen by news outlets, in which he said the firm bleeding cast at an extraordinary speed.

For this month, the company declared that it was dropping aircraft production by a third.

It looks that one of the most destroyed industries is the aviation industry that is expected to reduce on a very large scale due to the drastic wave of Coronavirus epidemic all around the world.

CEO also said that 135,000 staff members of Airbus have to face deep job reduction and also warned that the company’s survival is at a dangerous position if we didn’t apply any progressive action, said Reuter’s news outlet.

The firm is this week due to distribute financial outcomes for the first quarter of this year. Due to the pandemic coronavirus, the figures would be more darken, and airlines all around the globe are badly struggling to live. Moreover, maximum airlines are completely stopped flight deliveries since the lockdown implemented in maximum countries in March.

Greg Waldron, who is from Flight Global, the aviation industry news website, highlighted the adverse effect of the virus on Airbus, by saying that every statement we had about the aviation industry has been upset.

He added that outlook for the company has shifted from positive to negative, and the simple thing is that there is no demand for new planes at that time.

Airbus's CEO warns the firm is short on cash amid COVID-19

Airbus, in the reaction of the coronavirus pandemic, had already started imposing government-assisted absence schedules and starting with three thousand employees in France. It also said that it would reduce the production of narrow-body plans to 40 per month.

In the United Kingdom, Airbus holds around 13,500 employees and a maximum of them wings makers at its two basic locations Filton, Bristol, and Broughton, North Wales.

Mr. Waldron said that for Europe, Airbus is an important industry program, and I think Europe will keep going Airbus.

He added that there would be going a significantly great deal of pain to pass through. In case if they cut drop production rates, then you are going to get a large number of layoffs. And he was expecting that in a few years people will see a smaller firm than what they have now.