Virgin Australia can manage short-term Covid19 issues says Fitch

Virgin Australia has the flexibility to manage potential liquidity pressures over the short term that may stem from falling demand for air travel due to the COVID-19 outbreak, according to Fitch Ratings. The rating agency says that Virgin’s  high levels of liquidity reported at the end of 2019, combined with cost savings already achieved under its strategic cost-reduction programme and enhanced operational discipline under the airline’s new chief executive, will provide the airline with time to implement measures to address any issues it may face. Fitch expects the negative impact on demand for air travel to increase the longer and wider