Coronavirus Is Pushing Some Airlines to the Precipice

As the panic over coronavirus ripples worldwide, airlines are facing their biggest challenge since the post-9/11 period. While many carriers should have strong enough balance sheets, or enough government support to get through it, some may not make it. IATA, the industry trade group, said last week airlines could lose out on as much as $113 billion in revenue this year, up from an earlier estimate of $29 billion the group made about two weeks earlier. The difference: IATA realized the virus is no longer just an Asian problem, but a global one, affecting airlines everywhere. European airlines may lose about $44 billion from a prolonged slump, the group said, while U.S. and Canadian airlines might miss out on $21 billion. "Bookings have fallen off a cliff over the last week and airlines sound gravely concerned about the outlook," Hunter Keay, an analyst at Wolfe Research who covers North American airlines, wrote in report. "Commentary from the airlines this week is extremely simila