Alaska Airlines has posted a net loss of $439 million in Q2 the second with the carrier attributing this to the ongoing COVID 19 pandemic.
Alaska Airlines grounded 89 mainline aircraft from their fleet and eliminated 300 management positions from their payroll. In addition as part of a cost-cutting programme the carrier has boosted its balance sheet with $1.2 billion CARES Act financing as well as a USD 1.2 billion round of enhanced equipment trust certificates secured by 61 aircraft in the company´s fleet. Alaska also hast the option to take an additional $1.1 billion in CARES Act loans.
Over the past three months, Alaska only flew around 1.5 million revenue passengers in the three-month period, a fall of 87.7% compared to the same period in 2019. While, the load factor over that period was only 38.4% — a near 50% drop from the same quarter last year.
Alaska has cash reserves of $3.8 billion.