EasyJet founder fears for airline’s future

EasyJet founder, Sir Stelios Haji-Ioannou has voiced his concern of the airline’s financial difficulty, caused by the current drop in travel demand.

Haji-Ioannou believes that “the airline could run out of money as soon as August if drastic steps are not taken soon.” In order to benefit easyJet’s position, he expressed the want to cancel its forthcoming order of 108 Airbus aircraft as a move to ease its financial concerns. The order is worth an estimated £4.5billion but is “jeopardising the future of the airline”.

The founder also states that easyJet should look to reduce its fleet from 350 to 250 to reduce costs, as well as removing directors. However, the airline’s CEO, Johan Lundgren indicated that there is a possibility of gaining financial support from the UK government, although it would “not need loans” if the Airbus order can be cancelled.