German carrier Lufthansa reported a record annual operating loss of €5.5bn ($bn) in 2020 vs. a €2bn ($2.4bn) profit in 2019. Net losses were at €6.7bn ($8bn) as against a profit of €1.2bn ($1.44bn) in the previous year. Revenues fell 63% to €13.6bn ($16.3bn). The company currently has a cash burn of €300mn ($360mn)/month. Lufthansa flew 76% fewer passengers in 2020 than the year before. The company said it expected capacity levels to return to 90% by 2025 and said it may end this year with only 40-50% of its capacity. Lufthansa plans to permanently retire roughly 100 aircrafts and CEO Carsten Spohr said, “We expect demand to pick up again as soon as restrictive travel limits are reduced by a further rollout of tests and vaccines”. Lufthansa’s bonds were slightly lower with their EUR 4.39% 2075s down 0.2 to 93.5, yielding 4.7%.

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