Airlines beg for aid as corona hits business

The rapid worldwide spread of the coronavirus since it was first revealed in China less than three months ago has dealt an unparalleled shock to the global economy.

Following are weekend business developments related to the outbreak as governments attempt to stabilize their economies, companies navigate through an altered landscape, and millions of people face job losses and interrupted goods and services.

Airlines and retailers are pleading for aid as Congress and the White House continue to negotiate a rescue package. In a letter to US House and Senate leaders Saturday, the CEOs of 10 airlines and cargo companies said they will be forced to take “draconian measures,” including laying off many of their 750,000 workers, if Congress doesn’t immediately approve at least $29 billion in payroll grants. The companies promised not to reduce employment through Aug. 31 if those grants are approved. Airlines are seeking a total of $58 billion in loans and direct grants; so far, the White House and Senate Republicans have offered up to $50 billion in loans but no grants. Airlines — cognizant of criticism — also promised to limit executive compensation and eliminate stock buybacks and dividends for a time if they are granted at least $29 billion in loans.

Also Saturday, the National Retail Federation, the nation’s largest retail trade group, sent a letter to the White House stating that retailers and their vendors are losing tens of billions of dollars every week due to the virus outbreak.

“As the nation’s largest private sector employer, supporting 52 million working Americans, retailers are committed to sustaining their workforces even if stores must close temporarily,” the letter said. The letter, which was also signed by 89 retail trade groups, urged policymakers to consider proposals that would provide sufficient liquidity for small, medium and large-scale businesses to remain viable until the end of the crisis.

RETAIL IS CURBED: Best Buy, the nation’s largest consumer electronics chain, is moving to curbside pickup service only as it tries to stop the spread of the coronavirus. Earlier this week, Best Buy had started to limit the number of people in its stores to only 10 to 15 at a time.

“We are seeing a surge in demand across the country for products that people need to work or learn from home, as well as those products that allow people to refrigerate or freeze food,” said Best Buy’s CEO Corie Barry in a statement. “As we meet the demand for these necessities, we are adjusting how we operate in many ways to improve safety.”

 

Airlines beg for aid as corona hits business

The rapid worldwide spread of the coronavirus since it was first revealed in China less than three months ago has dealt an unparalleled shock to the global economy. Following are weekend business developments related to the outbreak as governments attempt to stabilize their economies, companies navigate through an altered landscape, and millions of people face job losses and interrupted goods and services. Airlines and retailers are pleading for aid as Congress and the White House continue to negotiate a rescue package. In a letter to US House and Senate leaders Saturday, the CEOs of 10 airlines and cargo companies said they will be forced to take draconian measures, including laying off many of their 750,000 workers, if Congress doesnt immediately approve at least $29 billion in payroll grants. The companies promised not to reduce employment through Aug. 31 if those grants are approved. Airlines are seeking a total of $58 billion in loans and direct grants; so far, the White House and Senate Republicans have offered up to $50 billion in loans but no grants. Airlines cognizant of criticism also promised to limit executive compensation and eliminate stock buybacks and dividends for a time if they are granted at least $29 billion in loans. Also Saturday, the National Retail Federation, the nations largest retail trade group, sent a letter to the White House stating that retailers and their vendors are losing tens of billions of dollars every week due to the virus outbreak. As the nations largest private sector employer, supporting 52 million working Americans, retailers are committed to sustaining their workforces even if stores must close temporarily, the letter said. The letter, which was also signed by 89 retail trade groups, urged policymakers to consider proposals that would provide sufficient liquidity for small, medium and large-scale businesses to remain viable until the end of the crisis. RETAIL IS CURBED: Best Buy, the nations largest consumer electronics chain, is moving to curbside pickup service only as it tries to stop the spread of the coronavirus. Earlier this week, Best Buy had started to limit the number of people in its stores to only 10 to 15 at a time. We are seeing a surge in demand across the country for products that people need to work or learn from home, as well as those products that allow people to refrigerate or freeze food, said Best Buys CEO Corie Barry in a statement. As we meet the demand for these necessities, we are adjusting how we operate in many ways to improve safety.