Qatar Airways will need government support in the face of lack of liquidity

Qatar Airways assures that it will need the support of the government because it will run out of liquidity "very soon", the executive president of the airline, Akbar al-Baker, told Reuters on Sunday. The airline is one of the few to maintain its services despite the coronavirus pandemic and plans to operate up to 1,800 flights in the coming weeks. The company is the largest shareholder in IAG, which owns British Aiways, and Iberia. It is also a shareholder in Latam, a South American airline. 

"We have received many requests from governments around the world and embassies to keep Qatar Airways flying," Baker said. The state airline operates flights to Europe, Asia and Australia and is repatriating people who have been trapped by border closures. 

The executive president has assured that they will continue to fly as long as necessary and have requests to take people who have been trapped in other countries, as long as the airspace is open and the airports are operational. However, Baker has warned that the airline is spending all the cash at its disposal and only has enough to maintain operations in the very short term. 

"We will need state aid," said Baker, who has refused to specify how much money he will need in the form of loans or capital. The manager also said he was taking steps to save cash. Employees have taken paid and unpaid vacation time voluntarily, while the CEO's salary has been frozen until the airline returns to full operations. 

The staff will not be forced to accept salary costs, although Baker has explained that some had offered to do so. The airline had already anticipated before the pandemic that it would make losses this year as a result of the boycott that Saudi Arabia, the United Arab Emirates, Bahrain and Egypt have subjected it to since 2017. Qatar Airways has been forced to take longer and more expensive routes to avoid the airspace of these countries. 

Qatar Airways allows passengers who have booked or reserved flights until June 30th to change their travel plan free of charge by changing the dates of their reservation or exchanging their ticket for a travel voucher valid for one year. Both changes will apply up to three days before departure. 

The company has ensured that all sheets and blankets on board the airline are washed, dried and pressed at temperatures that are lethal to viruses. In addition, the foams on the headsets have been removed and disinfected after each flight.