Virus ripples through travel, energy, financial markets

Virus ripples through travel, energy, financial markets

SeattlePI.com

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The economic affects of the coronavirus have preceded the spread of the virus itself, with financial markets swinging wildly, companies closing offices or asking employees work from home in affected areas, and throttling air travel across the globe. Following is a brief look at how things are changing in the economy and the workplace today as the outbreak widens.

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AIR TRAVEL: An industry group says the spreading coronavirus could cost airlines as much as $113 billion in lost revenue. That figure, released Thursday, is four times the number released just two weeks ago by the The International Air Transport Association, which is imploring governments for assistance. The group says the industry urgently needs help from governments in waiving some requirements and fees.

Southwest Airlines cut its revenue expectations for the quarter by $200 million to $300 million. “In recent days, the company has experienced a significant decline in customer demand, as well as an increase in trip cancellations, which is assumed to be attributable to concerns relating to reported cases of COVID-19," the company said Thursday in a regulatory filing.

The struggling British airline Flybe collapsed Thursday as the outbreak quashed ticket sales. The British regional airline narrowly avoided bankruptcy in January, but the spread of the coronavirus sealed its fate, left passengers stranded, and is now threatening the viability of regional airports across the U.K.

Smaller carriers are particularly at risk. The low-cost carrier Norwegian Shuttle canceled 22 long-haul flights between Europe and the United States from late March to early May. The national carrier Finnair is laying off its entire staff based in Finland for two weeks to a month due to the economic impact of the outbreak.

ADRIFT: Princess Cruise Lines has notified passengers...

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