Last checked at 8 Sep 2020 07:00
8 September 2020
easyJet plc
('easyJet')
easyJet Statement - Capacity Update
easyJet has today announced that, due to the constantly evolving government restrictions across Europe and quarantine measures in the UK, including yesterday's announcements that removed seven Greek islands from the exemption list, customer confidence to make travel plans has been negatively affected.
In response to this reduced demand for travel, based on current travel restrictions and quarantines in the markets where we operate, easyJet now expects to fly slightly less than the 40% of planned capacity for Q4 2020 which was highlighted at our Q3 trading update. This is the result of continued schedule thinning as we continue to focus on profitable flying.
Given the many changes to government restrictions since our Q3 update, the lack of visibility and the continued level of uncertainty, it would not be appropriate to maintain any forward looking financial guidance, for FY'20 and FY'21, at this time.
easyJet will continue to focus on delivering a flying schedule that drives a positive contribution while maintaining focus on minimising cash burn through our cost out programme that will drive down costs in all areas of the business. easyJet will also continue to review its liquidity position on a regular basis to assess any further funding opportunities.
Johan Lundgren, CEO of easyJet, said:
"As we said at our Q3 trading update, we are closely monitoring customer behaviour and amending flying to ensure our schedule is aligned with demand. Following the imposition of additional quarantine restrictions to seven Greek Islands and the continued uncertainty this brings for customers, demand is now likely to be further impacted and therefore lower than previously anticipated. We now expect to fly slightly less than 40% of our planned schedule over the current quarter. We will continue to take a prudent and conservative approach to capacity, as we have done during this period.
"We know our customers are as frustrated as we are with the unpredictable travel and quarantine restrictions.
"We called on the Government to opt for a targeted, regionalised and more predictable and structured system of quarantine many weeks ago so customers could make travel plans with confidence.
"It is difficult to overstate the impact that the pandemic and associated government policies has had on the whole industry. We again call on the Government to provide sector specific support for aviation which needs to take the form of a broad package of measures including the removal of APD for at least 12 months, the alleviation of ATC charges along with continuation of the slot rule waiver. These steps will support the retention of skills in the sector - all of which would support jobs and promote connectivity."
For further details please contact easyJet plc:
Institutional investors and analysts:
Michael Barker Investor Relations +44 (0) 7985 890 939
Holly Grainger Investor Relations +44 (0) 7583 101 913
Media:
Anna Knowles Corporate Communications +44 (0) 7985 873 313
Edward Simpkins Finsbury +44 (0) 7947 740 551 / (0) 207 251 3801
Dorothy Burwell Finsbury +44 (0) 7733 294 930 / (0) 207 251 3801
A copy of this Trading Statement is available at http://corporate.easyjet.com/investors