If you are, as I am a travel addict- these last two weeks have been a nightmare. The area I live in just put a shelter in place order so it will be at least three months before I can go anywhere. I was lucky I got to Japan when I did – for it may be sometime before I can journey back to the sacred soil.
The Corona Virus aka COVID-19 is a serious, and cataclysmic event. (And for the record, if you call it the Chinese Virus here – you will have your comment edited or deleted – consider yourself warned).
You know things are getting really bad when this happens:
Sources in Patttaya have confirmed tonight that the provincial government of Chon Buri, including the Bang Lamung district, has ordered that, from tomorrow, all entertainment venues must close until the last day of the month. The Pattaya News spoke with the Banglamung Police Chief this evening and confirmed the information. He says it’s a proactive measure to reduce the potential spread of the Covid-19 Coronavirus .
Pattaya has not reported a single confirmed case of the virus. ( That was as of the 17th of March). The total of cases in Thailand now stands at 411 since the virus first struck Thailand in January. (as of the 21st of March).
I think it is all because I was planning to go there in May. I was supposed to be in New Zealand right now as a matter of fact, but that evaporated at the beginning of last week. Over the previous five years, I have tried to visit the Southern Hemisphere four times. Only one of those trips happened, and it was an ordeal getting to South Africa. Of two trips to Australia and one to Namibia, they all got canceled for various reasons.
Approximately one person in 10 in the industrialized world works in a travel/tourism related industry. As this epidemic continues to spread, the travel industry is going to be decimated for several years to come, I fear. And thanks to the stock market collapse and the massive increase in the US debt coming from giving Steve Mnunchin a 500 billion dollar slush fund for his corporate cronies, I won’t have any money to travel anyway. My carefully planned timeline for retirement has been burned to the ground, and it appears I will be working for a lot longer than I intended to.
Airlines are in trouble, but here is the thing, some of this trouble they made for themselves.
But despite a history of rough patches during unforeseen events, such as the Sept. 11, 2001, attacks and the volcanic eruption in Iceland in 2010 that disrupted air travel, large U.S. airline companies spent most of their free cash flow over the past 10 years on share buybacks, propping up their quarterly earnings-per-share results.
So did aerospace giant Boeing US:BA, but to a lesser extent.
American Airlines’ $29 billion in debt and massive share buybacks are coming under increased scrutiny as the aviation industry looks for government aid to deal with tumbling sales from the coronavirus outbreak.
U.S. airlines, including Fort Worth-based American, have asked Congress for $58 billion in direct aid and low- or no-interest loans to keep business afloat as travel demand deteriorates amid increasing restrictions on public life to deal with the spreading virus.
But it comes after years of airlines stockpiling debt and spending billions to drive up stock prices through buybacks. American Airlines has spent about $12.4 billion on stock repurchases since 2014. Southwest has spent $10.7 billion buying back stock.
In other words, they could not be bothered to invest in their infrastructure or their employees. All while charging for bags, upgrades ( near and dear to my heart) and everything else under the sun. And don’t get me started on how they devalued their frequent flyer programs.
All of which makes me agree with Mark Cuban: