DUBLIN — International Airlines Group (IAG), which counts British Airways and Iberia among its subsidiaries, on Friday announced a 55.7 per cent drop in revenue and losses of 3.8 billion euros (4.5 billion dollars) for the first half of 2020. Total revenues across the IAG’s fleets, which also include Ireland’s flagship airline Aer Lingus and low-cost carrier Vueling, fell from 12.02 billion euros to just over 5.3 billion euros, IAG said in a statement. IAG attributed the losses to the novel coronavirus, which it described as having “a devastating impact on the global airline and travel sectors.” After the World Health Organization in March declared the outbreak a pandemic, countries across Asia, Europe and North America imposed travel restrictions that in some cases included border closures. “As a result of government travel restrictions, quarter 2 passenger traffic fell by 98.4 per cent on a capacity reduction in the quarter of 95.3 per cent,” IAG said in its statement.
DUBLIN — Retailer Amazon will hire 1,000 people in Ireland over the next two years, according to a Monday statement by the country’s official investment promotion agency, IDA Ireland. The jobs are expected to take Amazon’s Irish headcount to 5,000 and are mostly in engineering and technical roles. “We have seen a surge in demand for cloud services in Ireland and globally, and we are excited to add 1,000 highly skilled roles,” said Mike Beary, Amazon’s country manager in Ireland. US-based Amazon will also invest in a cloud computing centre due to open in 2022 in Dublin, according to the IDA Ireland statement. Irish Prime Minister Micheál Martin said that the announcement bolsters Ireland’s “reputation as a leading nation in global technology.”
DUBLIN — Budget airline Ryanair will shutter its base at Frankfurt Hahn Airport and is considering doing the same with Berlin Tegel and at Weeze Airport near the Dutch border, Ryanair division Malta Air said in an internal memo seen by dpa on Tuesday. The move comes after majority of German pilots voted against a proposed deal of savings including paycuts that Ryanair said were required because of disruption caused by the coronavirus pandemic. According to the memo, management has decided the airline “must move on to deliver savings in other ways and adjust our German operations to tackle the unsustainable cost base at our German airports.” German pilots union Vereinigung Cockpit (VC) said late Tuesday that as many as 170 pilots could be affected by the decision, adding that negotiations with the airline had not been concluded.
DUBLIN — A German-registered boat was detained overnight by Ireland’s navy for “alleged breaches of fishing regulations,” the Irish Naval Service and Irish Defence Forces said in a statement on Friday. The intercepted vessel is being escorted to port by an Irish navy ship named after poet William Butler Yeats, where it will be handed over to police, the navy said. The vessel was stopped in the Atlantic Ocean around 250 nautical miles (463 kilometres) north-west of Malin Head, the island of Ireland’s northernmost point. The waters where the vessel was detained are rich in cod, haddock, whiting and plaice, according to the Food and Agriculture Organization (FAO), a United Nations body.
DUBLIN — Ireland’s investment promotion agency warned on Wednesday of a “very challenging” two years for the country’s economy if the coronavirus pandemic leads to investment plummeting along predicted lines. Though Ireland is a hub for US businesses operating in the European Union, a looming plunge in global foreign direct investment (FDI) will leave ireland facing “heightened competition,” according to state body IDA Ireland. The United Nations Conference on Trade and Development warned in June of a 40 per cent drop in worldwide FDI due to the pandemic. “We will have to fight harder than ever before for new investment projects,” said Leo Varadkar, Minister for Enterprise, Trade and Employment.
DUBLIN — The novel coronavirus pandemic and related restrictions could shrink the Irish economy by nearly 14 per cent in 2020, according to the country’s central bank. In a report published on Friday, the Central Bank of Ireland said that a “widespread shutdown of businesses caused by the pandemic” led to “sudden and large-scale job losses” and a “severe negative shock to both consumer spending and investment.” The worst-case scenario of a 13.8-per-cent recession is based on the virus lingering through the year and prompting some restrictions to be reimposed. The bank’s best-case outcome would see Ireland’s gross domestic product (GDP) down by 9 per cent, slightly better than the 10.5 per cent projected earlier by the Finance Ministry.
CLAREMORRIS — Some of Ireland’s pubs were pouring pints on Monday for the first time in nearly four months as the country lifts most coronavirus-related restrictions. Speaking over the evening chatter of customers in The Western, a pub and hotel in Claremorris – a town of around 4,000 people in the west of Ireland – manager Patrick Mitchell said “we had no idea what to expect today, we have been quite busy, but it is a bit different.” Patrons are allowed one hour and 45 minutes drinking-time in bars that serve food – as long as they splash out on a “substantial meal” priced at 9 euros (10 dollars) or more and adhere to social distancing requirements. Inside The Dalton Inn, about 100 metres down the street from The Western, owner Andrew Cooper said “we’re sticking strictly to those rules.” The regime means that only bigger pubs equipped with kitchens will reopen for now – with the food tab so far a deterrent to would-be punters.
DUBLIN — Citing a slump in air travel due to the coronavirus, Aer Lingus on Friday announced it will fire 500 workers and slammed Ireland’s interim government for failing “to take steps that other European [Union] member states have taken.” Citing a “catastrophic” collapse in air travel that has reduced it to 5 per cent of its pre-pandemic operations, the airline said that other European countries “have progressively restored transport services and connectivity in response to a European Commission invitation to do so.” The 30 flights undertaken by Aer Lingus in the past week amount to around 10 per cent of the level of activity the same week one year ago, the airline said. Friday’s jobs cull followed a Monday announcement by Aer Lingus that pay and working hours will be cut to 30 per cent of pre-pandemic levels.
KUALA LUMPUR — Malaysia’s exports dropped 23.8 per cent year-on-year in April, the biggest fall for South-East Asia’s third richest economy since the height of the global financial crisis more than 10 years ago. The government’s chief statistician Mohd Uzir Mahidin said on Thursday that April exports tallied “the largest decline since September 2009,” a slump he put down to Malaysia’s economy largely closing from March 18 to May 4 during a strictly-enforced lockdown aimed at stemming a rise in new coronavirus cases. Malaysia’s total trade for April fell 16.4 per cent, which the Ministry for Trade and Industry said was due to “major disruptions to global supply chain” caused by the pandemic. Key sectors such as oil and liquefied natural gas shrank by over 20 per cent each as global demand receded and prices fell. Also down by a fifth were electrical and electronics exports, hit hard by disruptions to global supply chains.
KUALA LUMPUR — Commerce in Singapore hit a new low in May due to the coronavirus pandemic and worldwide lockdowns, going by a widely-cited business yardstick published on Wednesday. The IHS Markit Purchasing Managers’ Index (PMI) – based on a survey of 400 businesses about new orders, output, employment, suppliers’ delivery times and stocks of purchases – dropped to 27.1 during May. Any reading below 50 suggests economic contraction. IHS Markit said that the decline was because “demand for goods and services plummeted at an unprecedented rate” due to the pandemic. The impact of a lockdown that ran from April 7 until Tuesday saw new orders collapse in May – when “firms remained firmly in retrenchment mode, reducing staff numbers and input purchasing.”