Airbus takes measures to tackle coronavirus crisis

Airbus announced new steps on Monday to bolster its financial position as a coronavirus pandemic cripples the travel industry, including the signing of a credit facility for €15bn. The European planemaker added it was withdrawing its 2020 financial guidance, dropping a proposed 2019 dividend that had a cash value of €1.4bn and suspending funding to top up staff pension schemes.

“We have withdrawn our 2020 guidance due to the volatility of the situation,” CEO Guillaume Faury said in a statement. “At the same time, we are committed to securing the liquidity of the company at all times through a prudent balance sheet policy. I am convinced that Airbus and the broader aerospace sector will overcome this critical period.”

Airbus said it had enough liquidity to cope with any further cash requirements related to the coronavirus, adding that it had around €30bn worth of available liquidity. Over the weekend, Airbus said it would resume partial aircraft production when its French and Spanish factories reopen on Monday after a four-day shutdown to tackle health concerns over the coronavirus.

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