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Cathay Pacific lowers Q4 capacity forecast as travel restrictions linger By Reuters


© Reuters. FILEPHOTO: Cathay Pacific’s jet can be seen in front the Hong Kong International Airport air traffic control tower on October 24, 2020, Hong Kong. REUTERS/Tyrone Siu/File Photo

(Reuters) -Hong Kong’s Cathay Pacific Airways (OTC:) Ltd said on Monday it had lowered its passenger capacity forecast for the remainder of the year to 13% of pre-COVID levels, down from an earlier 30% target for the fourth quarter as travel restrictions linger.

For the rest of 2018, the airline stated that it continues to strive for a cash loss of less than HK$1billion (130 million).

Hong Kong has no domestic market for aviation and is subject to some of the strictest travel restrictions due to pandemics.

To spend 3 weeks in quarantine, the city will require travellers who have been fully vaccinated from “high-risk” destinations such as Britain or the United States to be present.

Cathay stated last month its goal of reaching 30% pre-COVID passenger capacity for the fourth quarter was dependent on loosening quarantine rules.

According to Cathay, August’s passenger numbers increased by strong student traffic from China and Britain. But they were only 95.3% less than that of the same month in 2019.

Cathay stated that August saw a strong cargo market, as freighter demand increased to the peak season.

Due to the impact of pandemic on passenger demand, air cargo made up 80% of airline revenue for the first half.

($1 = 7.7875 Hong Kong dollars)

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