Vietnam Airlines postpones shareholders’ meeting until July 16

Domesitc passengers leave a Vietnam Airlines aircraft at Noi Bai International Airport in Hanoi. Vietnam Airlines has completely restored domestic flights and been expanding its domestic network (Source: VNA)

Hanoi (VNA) - Vietnam Airlines Group will postpone its shareholders’ meeting until July 16, according to a decision signed by Chairman of Vietnam Airlines Executive Board Pham Ngoc Minh.

The meeting was due to be held on June 29, however, it was delayed because the group had not yet completed preparations for the meeting.

In the first quarter of this year, Vietnam Airlines was among Vietnamese businesses suffering the most from the COVID-19 pandemic, reporting a drop of 26.3 percent to 18.8 trillion VND (808.4 million USD) in net revenue in the January-March period and an after-tax loss of 2.6 trillion VND.

VNA suspended all international routes. It was only operating domestic routes at a minimum level while increasing operation of cargo flights to facilitate trade and increase revenue. It has also asked for Government support in terms of a loan package worth 12 trillion VND to help ensure the corporation’s solvency.

In the second quarter, Vietnam Airlines completely restored domestic flights. Even in May and June, the group also opened a total of 13 domestic routes. In July, Vietnam Airlines plans to open five more routes, bringing the total number of domestic routes of the airline to 57.

International passenger transport activities of Vietnam have not been resumed due to concerns of COVID-19 re-entering the country.

Vietnam Airlines recently announced its restructuring schedule for low-cost airline Jetstar Pacific Airlines. The carrier was renamed as Pacific Airlines with a new logo and brand identity.

Major shareholder Qantas Airways is willing to divest 30 percent of its capital from Pacific Airlines so that Vietnam Airlines will hold a majority share and complete restructuring.