Coronavirus-hit Qantas posts £1bn annual loss

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Qantas has reported an annual loss of almost A$2bn (£1bn; $1.4bn) as it deals with the impact of the coronavirus pandemic.

The Australian airline says much of the loss was due to writing down the value of assets and redundancy payments.

The firm also says around 4,000 of its 6,000 planned job cuts are expected to be finalised by the end of next month.

The global airline industry has been hit hard as travel restrictions have been imposed around the world.

«The impact of Covid on all airlines is clear. It’s devastating and it will be a question of survival for many,» Qantas Group chief executive Alan Joyce said in a statement.

«Recovery will take time and it will be choppy,» he added.

Mr Joyce also warned that he expects a «significant underlying loss» in the next financial year.

On top of the airline’s job cuts a further 20,000 of its workers remain temporarily stood down.

With Australia’s international borders all but shut and no sign of this changing, the Sydney-based carrier reiterated it was not anticipating resuming international flights until July 2021 at the earliest – with a possible exception of flights to New Zealand should trans-Tasman travel be possible.

Qantas joins much of the rest of the global airline industry as it announced major losses and thousands of job cuts after the near-destruction of their normal businesses.