Earnings Call: Q2 2020

Aug 6, 2020

Ladies and gentlemen, thank you for standing by. Welcome, and thank you for joining the Analyst and Press Conference Call of the Second Quarter Results 2020. Throughout today's recorded presentation, all participants will be in a listen only mode. I would now like to turn the conference over to Dennis Weber. Please go ahead. Thank you for your interest in today's call. Let me briefly outline the format of today's conference call, which we have again set up as a joint call for annual and investors as well as the press. Our CEO, Carsten Spohr, will present you our first half year results and give an update on how we are addressing the effects of the corona crisis. I'd also like to introduce Wilkin Beaumont, Executive Vice President, Finance, and William Wilms, our Executive Vice President Corporate Strategy And M And A. Both will be happy to help answering your questions later on. The presentation slides, which they referred to are available in the Investor Relations section of our Lufthansagroupdot com website in case you haven't downloaded them already. The management presentation will be followed by 2 separate Q and A sessions, one for our analysts in English language and the second one for journalists in German language. We kindly ask all participants to stick to this order. Thank you very much. I'd now like to hand over to Patrick Spohr who will discuss our quarterly results. Yeah, thank you very much ladies and gentlemen, welcome also from my side for this onto this conference call. I hope you're all doing well. I hope you in these extraordinary times. It's now 7 months after the beginning of the corona pandemic and we are obviously working hard on the recovery of the Lufthansa Group. And like any other airline around the world, we face enormous challenges and therefore, our force to make hearts and painful cuts. Currently, customer demand is only improving on a low base. And especially long haul bookings are still challenged. Just a few days ago, the World Health Organization warned that the effects of the pandemic are likely to be felt for decades to come. And at this point, I think nobody is able to predict for certain when we will have a destiny against COVID-nineteen and how long the current situation will last. And therefore, we share the view of our industry association, IATA, for aviation, a return to pre corona pandemic levels cannot be expected before 2024. And as a Chairman, current chairman of YATA, I can only confirm this in the same concern around the world and view on this issue whenever we convene our CEOs around the world in IATA. We are convinced that our an opportunity to question the status quo and and commit even stronger to sustainability goals and to stop aiming for growth at any price. And instead create value both in a sustainable and responsible way. And let me assure you that Lufthansa Group is determined to use this opportunity. Therefore, we developed a comprehensive restructuring program called Renew Now I will go into detail on the program later today. But first, let's take a quick look back on the past quarter. Capacity offered by the Network Airlines was down 96% in the second quarter and 61% year to date. In April May, we just flew a minimum schedule at Lufthansa in Swiss. In June, we started to ramp up again and also Austrian Airlines and Brussels Airlines were flying again whose fleets have been grounded since March. At the end of June, the Network Airlines capacity reached around 10% of the prior 64% in the second quarter. But obviously, these reductions were not enough to offset the revenue shortfall. As a result, the Network Airlines adjusted EBIT amounted to negative 1,000,000,000 in the 2nd quarter, and negative 1,000,000,000 in the first half year. The forward Eurowings where the trends were very similar to those of the Network Airlines with a comparable reduction of capacity and cost. As a result, adjusted EBIT amounted to negative 1,000,000 in Q2 and negative 1000000 in the first half year. In March, we announced a comprehensive set of measures to adjust our cost base to the current market situation. Fixed cash cost usually accounts for 30% of our airline cost base. And therefore, we set the target to reduce those fixed cash costs by the third. And we achieved this target with a reduction of 34% in the second quarter. The implementation of short term work contributed the most to this decrease, including other personal measures such as the expansion of part time work and the offer of unpaid leaves, staff costs declined by a good third at the Network Airlines and almost halved at Eurowings in the second quarter. In addition, the postponement and cancellation of projects and the shift of aircraft maintenance drove the reduction of fixed costs. As a result, the group's average monthly cash burn in the second quarter amounted to around 1,000,000. That was lower than successful ramp up in June and lower than expected losses from over hedging. Looking at our non airline business in more detail, especially our logistics business recorded a stellar performance in the second quarter. The almost complete grounding of the world's passenger aircraft fleet caused a shrinkage of global air freight capacity. Central Takargo normally generates around half of total sales in the benefits of the group Passinger Aircraft fleet, which was obviously largely grounded. The effect led to higher yields industry wide. Yields at Lufthansa Cargo doubled so that the adjusted EBIT reached 1,000,000, a new record level. We are confident that our logistics business is uniquely positioned to benefit from the structural changes that come with the current crisis. It is located in the center of Europe, in the export nation of Germany and serves the need of a global economy by making sure that goods obviously are where they are. Needed. And Lufthansa's current performance confirms our decision to continue operating a dedicated freighter leads, even though he will get smaller, as you know. Our non airline businesses, however, suffered significantly from the indirect effect of the epidemic. The operating result that looks at Teshnik was burdened by 2 factors in particular: the slump in demand for aircraft maintenance and the financial challenges, which many of our airline customers are facing. The latter cost receivables write downs in about an amount of 1,000,000 in the 1st 6 months. This explains a large part of the total operating loss of 1,000,000 in the first half at Ophthansa Technics. Let's talk about the catering business. Which was hit not just by the widespread constellation of flights, but also by the Corona induced restrictions of onboard services. Year, adjusted EBIT amounted to negative 1,000,000,000. Finally, adjusted EBIT in the other businesses and group functions improved to a negative EUR 122,000,000 in the first half year. Last year, this figure amounted to minus 1,000,000. The reason for the improvement was a strict cost discipline in the central overhead functions. In sum, the group's adjusted EBIT declined to negative 1,000,000,000 in the second quarter and negative 1,000,000,000 in the first half year. Adjustments, which explain the difference within EBIT and adjusted EBIT amounted to 1,000,000. 1,000,000 were due to aircraft impairments following the decision to retire 65 planes. The vast majority of these impairments were already made in the first quarter. The same is true for the impairment of goodwill and Eurowings in LNG North America. Total goodwill impairments reached 1,000,000 in the first half year. And this sum includes 1,000,000 of impairment charges made for 2 engine maintenance joint ventures that look for the technique in the second quarter. Other adjustments, including the write down of LNG Europe assets accounted as held for sale, amounted to 1,000,000. Here, we're still confident to close the deal with the gate group within the third quarter. Below the EBIT line, the loss related to the over hedging of fuel purchases amounted to 1,000,000 in the first half year. This is 1,000,000 below 1st quarter levels and primarily reflects the recent oil price increase. The higher oil price reduced the negative value of options for the hedging of fuel costs in the coming quarters. Taking the positive tax result of almost 1,000,000 into consideration as well, the group's net loss amounted to 3.6 1,000,000,000 in the first half year. Let me now turn to our cash flow performance, which was markedly better than earnings suggest. We reduced our investment to just 1,000,000 which is less than half of the prior year level This reflects our absolute focus on preserving cash and our commitment to adjusting the size of our operations to the new market the negotiations with our aircraft suppliers focused on 20202021 deliveries. In this regard, We agreed with the postponement of 5 deliveries originally planned for 2020 and of 24 aircraft scheduled for delivery in 2021. This leaves us with just 23 aircraft deliveries in 2020, 9 of which were already received in the As a result, group investments will amount to around 1,000,000,000 in 2020. This is significantly less than our pre crisis expectations of more than 1,000,000,000. In 2021, investments are targeted to remain at a similar low level. In the second step, we will reassess our fleet planning for the years after 2020 in the context of the renew program. This will potentially lead to a further stretch of plant deliveries and associated investments over a longer period. In doing so, we remain committed to continue modernizing our fleet, to keep our products competitive, to generate fuel and cost efficiencies and to improve our environmental footprint. This is why we plan the acquisition of up to 80 new aircraft until the end of 23. In addition, We will retire around the 4th of our current fleet. This will shrink our total fleet by 100 aircraft compared to pre crisis levels. In addition to lower investments, we manage working capital very tightly. The significant decline of receivables reflects the ramp down of our business as well as our collection efforts. We also benefited from the expansion of payment terms with suppliers. An initiative, which we had started even long before the crisis. As a result, the working capital contribution to operating cash flow remained on the prior year level. We also implemented balance sheet measures aimed at protecting liquidity in the short term. For instance, we concluded repurchase agreements for unused emission certificates. Finally, the non recurrence of prior year tax payments limited the decline of adjusted free cash flow Consequently, net debt was only up 10% compared to the year end 2019 level, amounting to 1,000,000,000 at the end of June. Pension provisions increased 11% to 1000000000. This was caused by the negative performance of plan assets, which outweighed the benefits from the 10 basis point discount rate increase. Leverage defined as the sum of net debt and pension provisions over adjusted EBITDA in the past 12 months increased by 7.5 points to correct, sorry, 10.3, increased by 7.5to10.3. Strict cash management ensured that liquidity still amounted to 1,000,000,000 at the end of June, enough to prevent an insolvency but insufficient to ensure the group's going concern in light of the current crisis. The billion stabilization package ensures that the group is fully funded. For at least the next 12 months. It brings total availability liquidity to 1,000,000,000 at the end of June, And please note that this includes the financial support measures we negotiated in Austria, Belgium and Switzerland. They will be netted with a KFW loan and the silent participation, which we agreed with the German Economic Civilization Fund. Supported by the stabilization package, the group has started to successfully tap public security markets again. In July, we took our 2 loans amounting to 1,000,000 secured by aircraft. More transactions of this nature will follow in the next few weeks months. The financial stabilization measures also played an important role in ensuring that the group remains competitive on a global level and continues to have the necessary means to invest. However, I cannot stress often enough that this is not a gift. The complete repayment of the loans and investments including interests will place an additional burden on the companies for years to come. We are determined to achieve maximum payback as quickly as possible, but we need contribution of all stakeholders involved. And we are, for instance, very grateful that with one exception, which is Frankfurt, all other hub airports of our multi hub network have already offered or announced significantly lower charges. And of course, this is where we mainly now position our growth. Repaying all funds will also include the refinancing of parts of the package at least in the first step as market conditions normalize. We have also been clear what our intentions to actively manage our portfolio, potentially including the divestiture of non core assets in part or in full. However these measures will not be able to replace the thorough restructuring of our company. With our program renew, we aim to maintain our global competitiveness and to secure future viability. Is supposed to create an even better Lufthansa group. 1 that is smaller, but also leaner, less complex and more efficient. With renew, we set ourselves ambitious targets. By the end of 2023, the group's portfolio and organizational structure are to be aligned even more closely with our core airline businesses. The individual restructuring plans of our business units are to be implemented and contribute significantly to improved margins. As said before, our fleet is to be permanently reduced by 100 aircraft. However, we strive to offer our capacity in 24 that corresponds to that in 2019. In order to reach last year's ASK level with less resources will increase our productivity by 15% until 2023. The bundling of flight operations will contribute to their target. We'll reduce the number of our ASCs to 10. We already started this process by announcing the shutdown of Germanwings. And we have high hopes for strategic objective, which we have already begun in 2019 to expand the long haul leisure traffic from our hubs in Frankfurt and Munich. I mentioned it before, the future outlook on the group will be a smaller one than today. That implies adapting to this new size also in terms of personnel. Renew includes arrangements for the cut of 22,000 full time jobs. This effect the various boards, which are to be downsized. This affects the number of leadership positions, which are to be reduced by 20%. And this affects 100 positions in the administration of Lufthansa AG, which are to be cut. We have reduced the number of employees by 8300 already. And even though we always wanted to avoid redundancies as far as possible, this goal is no longer realistically within reach for Germany either. Reasons for that are the recent market developments in global air traffic and its outlook and the current disappointing course of the negotiations on necessary agreements with the collective barging partners in Germany. Please gentlemen, even the best restructuring program won't create a future for our company if we cannot restore the confidence in flying around the world. We will therefore focus even stronger on our customers. To protect both our passengers and our staff, we have introduced hygiene measures across the entire travel chain. However, the slowly returning customer demand shows that people are still cautious and insecure about planning their next flight. One of the main reasons for that are the various travel restrictions. Only with more consistency and stability more customers will be willing to book their flight. In this regard, we welcome the expansion of COVID-nineteen tests for passengers. And we will of course support the implementation of the new regulations together with all other parties involved. We believe that persons who tested negative for COVID-nineteen should always be allowed to travel regardless of their origin and regardless of their passport. Restoring customer confidence also means restoring customer satisfaction, especially when it comes to ticket refunds, airlines worldwide have to win back trust, including us. And therefore, the Lufthansa Group has increased the capacities to enable faster processing of inquiries. In July alone, we paid out refunds of 1,000,000,000 to customers of our group airlines. Including the month of July, we refunded 1,000,000,000 year to date. And refunds in an amount of slightly less than 1,000,000,000 are still pending and will be paid out by the end of August. Hey, gentlemen, since the beginning of July, we have further expanded our flight program focusing especially on touristic short haul routes. We were able to offer around 20 percent of the previous year's levels last month. On European short haul flight, to reach a load factor of over 70% regarding longer term bookings, our customers remain cautious. Also, we can still only fly a very limited number of long haul routes due to ongoing global travel restrictions. Nevertheless, we will continue to gradually and flexibly expand our flight schedule following the recovery of customer demand but also triggering customer demand. By the end of the year, we expect to reach substantial adjusted EBIT losses also in the second half of twenty twenty. I already mentioned this in our last call. The Karuma pandemic hit us earlier and harder than other industries, and it will surely take us longer to recover from it. But aviation has bounced back before. We can and will do so again and we may and must change for the better in the process. The Group and the group is determined to use this unique situation as an opportunity to become leaner, more agile and even more competitive. Thanks for your attention and I look forward to your questions. Ladies and gentlemen, at this time, we will begin the question session. The first question is from the line of Muneba Kajana from Bofa. Please go ahead. Good morning. My first question is on the capacity Pap Plant. So for your year end targets, what are you expecting in terms of the lifting of U. S. Travel restrictions in the second half of this year. And also in terms of next year, you'd initially mentioned parking 300 aircraft in 20212022. Is that still the plan? And then on CapEx, how much of the CapEx reduction is related to the change in funding from owned versus leased aircraft? Yeah, thank you. I will take the first 2 and hand over to our EVP finance for the 3rd. On the U. S, as many other things in the U. S, that's hard to predict I'm planning to take my family to California in October and definitely hope to be able to do so. But I think in September, it's not very likely to see a lift. So that's somewhere where we are adjusting our capacity. And when it comes to the number of aircraft grounded, the $300,000,000 for $21,000,000 and the $200,000,000 are still in our plans probably on the lower end with the outlook being some work. Less positive than maybe a few months ago, but for both of your questions, who knows? I don't. I think nobody else does, but we do know about our investments. So I hand over to Mr. Baumann. Yeah. I mean, as mentioned in the numbers, so we have reduced our CapEx for this year to 1,300,000,000 and for next year to 1,300,000,000 as well. And there is a there is a slight amount included here for leasing of aircraft but this is still dependent on the negotiations we are going to do in the the next period of time, but there is a small portion included here as well. But that needs to be finalized over the next month. Thank you. Just to clarify, so the $1,300,000,000 includes the leased portion of the fleet financing? Yeah. So if there is an operating lease, for example, for 6 years, so we are currently negotiating d for our lease period of 6 years and this lease period is included in the 1,300,000,000. The next question is from the line of Danielle Roska with Bernstein Research. Your question, please. Good morning, gentlemen. Please, if I may. First, reducing and refinancing the government debt is your first priority, but how are you thinking about your overall net debt position and how that relates to the sale of subsidiaries you just mentioned? Had you considered any scenario in which the operational improvements from renew would be sufficient to kind of forego the fuller partial sale of Lufthansa Technic, which likely has the largest price tag here. So is there any kind of any way out of this without actually tackling quite a substantial amount of sales of subsidiaries? And secondly, as you're thinking about the 15% productivity improvement, How much of that is aircraft productivity and how much of that is aircraft configuration? So are you are you changing the layout of new aircraft to higher density or also reconfiguring kind of aircraft out of the existing fleet. Then lastly, maybe a little bit broader topic, the VSF contract stipulates a limit on bonus and pay. Could you elaborate kind of how you're thinking about this? What measures you're putting in place? And what your current thinking is on how this will impact ability to retain key talent and maybe also more visibly attract a new CFO. Thanks. I'll start with the last one. We only lost one key to that recently. He went to become an analyst. So, but he didn't. Besides that, I think we can retain our talents because this is a unique industry. It's, I think, fascinating as ever before and especially for key performers. The accelerated change the company is going through. For example, with a renewed program, it's actually something very attractive to the top players in management. And we all know there's an end to this eventually we will be able to repay You all know the mechanics and we don't even need the agreement with the government. We can unilaterally take both the shareholding out and repay the government. So I think everybody in this company knows that this is just a period of time. You all know we want to be paid back in 'twenty three So I don't think that is that much an issue as somebody might suggest. On your first questions, On the assets, our view has not changed. We are in the middle and, you know, hope to close the sale of LNG Europe in the third quarter. We have passed, but only passed the sale of the rest of the world business of LSG. We indeed are looking for ideas for loops and technique when the market is back. I mean, right now, timing is terrible. And that's why we have received sufficient funds to not to be forced into fire sales, which I think is very important both on aircraft, as Wilton pointed out, but also on assets. But eventually, we believe there could be solutions to look for the technique with a minority IPO with strategic partnering, or other ideas, and we will pursue those. And also, we look at the assets on the edge of our portfolio. As I mentioned, we'll be focusing more on the core in the program renew and whatever is on the edge of the universe could be up for sale if the price is there. And, that altogether, I think, will contribute to our ability to pay back. But of course, also in the operationally, we're looking to positive cash flows again in 2021. In the end, that's where the money has to come from as well. On your second question, it will be both. We're increasing profitability of our operations, reducing of AOCs, more efficient labor contracts. But also, we are looking at configuration of aircraft wherever it makes sense. You know that there's various aircraft in the Lufthans are which can be reconfigured. The 350 has 2 versions in Lufthansa of the 744 has even 3 versions. But of course, which aircraft are we retiring and which are we keeping in the fleet also has a significant effect on the productivity of the fleet by obviously retiring those aircraft, which are less. Productive faster, which I think is being helped by corona, we will clean up our fleet a lot faster than we were able without corona. And COVID impacts. The next question is from the line of James Hollens with Exane BNP Parias. Please go ahead. Hi. Yeah. Good morning. 3 for me, please. First one on free cash flow in 2021. I think your statement says you'll be free cash positive in the course of 2021. I was wondering if you could confirm whether you'd be free cash positive for the year as a whole. Secondly, I don't know if you said anything on q3 pricing. Clearly, it's, you know, q 2's yields are very strong with Network Airlines. But I was wondering if direction you could give us an indication on q3 pricing, whether it's significantly down, down, even up. And then finally, I think when we last spoke, we were quite concerned about here, Keith, your major shareholder. I was wondering where we are on that. Is he putting a lot of influence on your strategy and the businesses as a whole, or as you sort of gone away. Thank you. I'll start with the third one. I hand over to Dennis, well, actually I can't do the first one. Sorry. So the cash flow positive is for parts of 21, not for the whole year at this point. Who knows, but that's what the planning is. Mr. Teeler, I must say beat our biggest shareholder, the government, or our 7 biggest mister Teder, I've not seen and heard any thing from them, be it in public or in private, which I'm not in line with. So I think they both support of what we are doing. And so I think that can some stability to the Lufthansa shareholding and has no reason to be concerned at this point at all about either one as a shareholder. And the second one, I would ask Dennis to answer. Right. That was on the yield outlook for the 3rd quarter. We commented on performance in July, especially when it comes to load factors in European short haul, was a positive performance. Load factors exceeded 70%. So that was clearly encouraging. We also had a good yield performance. But it continues to be our expectation, that yields and also loads will remain under pressure in the coming months. And so, they will clearly continue to be below pre crisis levels because of low customer demand and also, quite a lot of capacity returning to the market. The next question is from the line of Andrew Lobbenberg HSBC. Your question please. Good morning. Can I ask about the labor situation because I think you announced that there was an agreement with Unfou, Italian Group, but I don't know that it's gone through? And where are we with cockpit and ground staff? And then on the same issue, and I suspect the answer is linked. But how much restructuring costs should we be thinking about in terms of P and L and in terms of cash. And then a final question would be Carson, you speak about cleaning up and simplifying the business with fewer AOCs, but the first measure we've had is a new one just founded with Ocean. Well, I kind of see the logic of where you're going, but, how how is this, how is this gonna work? What what is the point of it? And I appreciate it to step in the opposite direction but yes, where are we going with Ocean? Andrew, good morning to you. On labor with UFO, cabin crew main line, we have an agreement. It is now up for vote with the staff, I think it's supposed to end August 14th. So there, we still have our hopes up that, that will be approved and we will kind of avoid unwarranty layoffs in the cabin according to that agreement. On cockpit, for the main line, we, I think, not I think, we had more than 6 days of negotiation, so almost every day. And we had an agreement and then had they had to pull it back because of internal union. Issues. So there, unfortunately, we are nowhere and we'll probably need to go into unvoluntary payoffs in corporate, both in the main line and in German wings. On grounds, very slow process. So that is one of the reasons that we were shifting our also announcement today towards the staff this morning they all received a letter around the world that it's not any more realistic to avoid unborn to pay our layoffs in Germany either. We have done so in the U. S, done so in other parts of the world, but unfortunately, also for Germany, that is something I don't believe in anymore, and we told that to our staff this morning. When it comes to AOCs, we will go down to 10 and Ocean is not on AOC. Ocean is just organizational setup by which we want to tap the touristic leisure markets both short haul and long haul. We have not yet decided which AOC will be used for ocean could be a new one. And then we have to take at least 2 others out. Or it could be an existing one. So that is not to be mixed up. It's consolidating our tourist oriented long range flying, which currently spread out over 3 AOCs, 14 aircraft, but there are over 3 AOCs, Cityline, SunExpress Torchland, Germany and as in Brussels to Dusseldorf, we'll bring that down to one either way. And it puts on top of that probably some of our short haul touristic operations as well. So I think it's more the way how we organize that segment we believe will be recovering faster and not necessarily yet decided which AOC will use. The lowest cost one in the end. Our structuring costs, I look over to Willequin. The only ones which is in the numbers already is the restructuring of Brussels Airlines. That's right. The others are not in the numbers. I think it's too early, Andrew, to make a guess here. That's probably for our next quarter discussion. When we have until today, basically, we were hoping to find ways with the unions to avoid those layoffs in Germany, as I mentioned, that is not realistic anymore, both due to the slow process progress and due to the outlook for the industry. So I think when we reconvene in 3 months, we'll be definitely giving you more detail on the now unvoluntary layoff scheme, which we have to introduce. Okay, thanks. Can I just ask on the ocean on the leisure thing? Where are you going with the branding? Because previously I mean, it was partly branded Eurowings, then it was branded Lufthansa, but then you were saying it didn't want to say Lufthansa because the product was going to be different. No, Andrew, it has always been branded Eurowings. We were exact of these 14 aircraft, I'm talking about 11 are branded Eurowings, and 3 are branded Lufthansa, which are the ones which are operating in City Line. And I think this is not the time to invent new brands. We have other worries here. So we will be using Google using the Eurowings brand for right now. The next question is from the line of Jamie from Rob Bottom. Your question please. Morning, Jamie Robotham from Deutsche Bank. Carson, 3 from me, please. The first is on on the working capital. Within that very positive development in the first half, obviously, part of it was an increase in your contract liabilities from unused flight documents or deferred ticket revenues of about 1,000,000. I think at IAG, that balance had declined by 1,000,000 in the first half. Can you just talk a bit about that increase and the extent to which we might see a reversal in the second half. I think you may have mentioned a figure of 1,000,000,000 going out in August. But any comments on that and also the extent to which you can retain some of the benefits you've got on trade receivables excluding the, the ticket related stuff in the full year would be helpful. Secondly, on capacity, are you, I think Air France was saying next year, they'd run ASK's 20% below 2019. IAG said 24% below 20 team. What's the Lufthansa plan if you can disclose it for, 2021, perhaps you want to split it between Continental and Intercontinental? And then thirdly and finally, after that very strong second quarter, how do you see the outlook for cargo in the second half, please. Thanks. Thank you. Good morning. I'll take number 23 and Dennis will come back to the number 1. Again, the outlook is very, very difficult. I'm sure both for my big competitors and also for myself, but the current planning we are going for is that we will see only 2 thirds of last year's capacity in 2021. But don't forget, we have this German scheme of Kutsevibe, which allows us to be very flexible both ways because we don't need to fire the people or furlough the people like in other parts of the world and Europe. We keep them on in the company, adjusted the salaries, to the largest park paid by the government, and then we can reactivate those people at short notice or also the other way around, we can put active people back into the short term scheme at short notice. So we probably have a little bit more flexibility than my 2 biggest competitors. And it's 2 thirds of the capacity we're shooting for at this point for 21, obviously 1 third less than to refer to your examples. On cargo, I mean, that has been an extraordinary quarter, but I think there will be a strong future for cargo in the short and midterm because there will not be all the value capacity coming back that quickly. Unfortunately, for the passenger business, but good for the cargo business, there will be a squeezed capacity situation. Freighters are very, profitable right now. The global economy, as you know, when it comes to the supply chains and so on, just needs that air freight, especially in market like Germany with our strong export focus is probably the number one explanation in the world, maybe 1 or 2 with China depending on how you look at it. So that is optimism on my side to your first question. And now Dennis, on the first question, please. Yes, let me discuss working capital in a bit more detail. So first of all, we've been very successful in collecting receivables. We've had a strong decline there. So this decline of receivables was even stronger than the decline of trade payables because of the overall ramp down of the business. In other words, we have also been very successful in renegotiating supplier contracts. And as we mentioned earlier, this was something which we had started, long before the crisis because we believe that we've continued to have an upside here. When it comes to, refunds, also this is something that we've discussed extensively in the last few weeks months. You know, that, our systems are not geared on nowhere close to be able to cope with the current amount of refunds. By now, we have adjusted to that, which means, that customer refunds, which we paid out over the course of the second quarter were limited now that we are capable to process much more. We've done so. We've talked about EUR 1,000,000,000, which we have paid out to customers in July. There's a similar amount going to follow in the near future. So what was obviously supportive to working capital in the 2nd quarter will result in outflows in the third quarter. So both clearly has to be seen in combination. Thanks Dennis. Thanks Colton. The next question from the line of Johannes Braun MainFirst. Your question please. Yes, thank you. Good morning. I have two questions. Firstly, can you talk about, breakeven load factor on cargo heavy routes versus non cargo heavy routes? I guess the breakeven load factor, obviously, on cargo heavy, which is much lower currently given the profitability in cargo. But maybe some quantification from your end would be helpful. And then secondly, you talked about airport fees being reduced in your network. Can you quantify the savings there? That you will have, I guess, in 2021? And also in relation to that, what is the consequence of, obviously, thanks for the airport, not lowering fees, but rather going, I guess, into the other direction. Hello, Blanca. There's an interesting answer, I think, interesting for your first question. We currently have passenger routes where the load sector is 0 breakeven because Chicago alone carries the variable costs. We never I mean, in the industry 30 years, I've never seen that. Uncertain days, of course, but not on the whole route. So, we actually have seems we even had some routes. Swiss was operating where we blocked passengers, but we have changed that now. So we're expecting passengers on all of our flights. I think different than our competitors, but indeed some of these routes are breaking even with even 0 passengers on board because of the high cargo revenues. And of course, from there on, you have other routes where it's all the way down to normal breakeven load factors risk because cargo could be minimum. On airports? Sorry. Can you give an example of routes or No, I can't do that because my competitors are probably listening. But, obviously German home market helps on that one, but we and again, we are accepting passengers on all of these routes because additional revenue. So it's almost the other way around, and we all learned it in network school where you fill the passenger that work first, then you add cargo revenues on top. This is sometimes now the other way around. And again, it's unique, but maybe also unique to our whole market, Germany and Switzerland. I'm not saying it's the same in other markets. I wouldn't know, but yet your question is answered the right way. I cannot give you a boost again because of my competitors. On airports, as I said, we have already published lower fees by Zurich Airport. We're talking double digit savings by Vienna Airport as part of our negotiations. We are in negotiations with Munich and also in Brussels part of the package are double digit lower airport fees. And it's only Frankfurt, which even have announced higher airport fees, which are pretty deep generated, but unless it was in this print, that of course means when we allocate our traffic streams, we take, as you know, infrastructure costs right now are higher than fuel cost. So that is our prime driver of allocating our hub operations, infrastructure cost. But linking that back to my first question, isn't the cargo contribution out of Frankfurt much higher than at your other hubs? Josh, in general, yes, Zurich has the breadth of the cargo. Very vocabo farmer and that is high in Zurich, but course, that's why we pay our network people so well because they have to put all these parameters into an optimization mechanism and then they allocate our, our especially long range, depending on revenue, where cargo indeed, although Frankfurt is positive and cost, where Frankfurt is the worst. So that we are operating still out of Frankfurt, as you know. The next question is from the line of Malte Schulz with Commerzbank. Hi, good morning. That's a three question from my side. First of all, how do you now position Brussels Airlines going forward? Will it be a little bit more monitored on all or a little bit similar even to like Swiss or Lufthansa from your positioning? 2nd question would be even now with your state aid? And would there be a possibility in the near future that you would even tap the general market for an equity capital raise also to partly refinance in your state 8 package? And my final question would be, can you give us any idea how much of the vouchers are already used when you're booking so far and how that will affect, kind of your cash going in for the next quarter or is people just using the vouchers and not paying in your cash? Yes. On the first question, I'm not quite sure. If I read that question correctly, as you know, we have decided to look at Brussels Airlines as part of our multi hub model. So they are in line with putting traffic flows across our five hubs, as I explained before, in an optimum way. That's what we are the last years have been doing more and more efficiently. And but, of course, by size and magnitude and performance and profitability, it's indeed closer to Austria and then to SWISS or Lufthansa, if that was your question. State aids and our look a capital increase, we just think this is not the right time for a capital increase because the share price is so low. So we have the long breath to wait for the right time for capital increase, which surely will come at a certain point. But, again, with that, liquidity buffer we have, no need to do either a fire sale when it comes to assets, the question of Mr. Oscar, or your question to go into an equity, a capital increase now, and we can optimize our timing on both, which I think is part the solution we found with the 4 governments, which we negotiated now for weeks. And Dennis, you have something on the refunds. Right. Yeah, I should have mentioned that before that it's of course, our targets, to, also issue vouchers instead of refunding customers in cash. And this has again, a lot of acceptance of this has been taken up well. So at this stage, we've been able to convert a low to mid triple digit €1,000,000 amount, into vouchers. And of course, we'll continue doing that also going forward. Yes. But if I may, and how many of them are already used for flights, so actually flown of the vouchers Is it a kind of also the use of the uptake of the vouchers, not just in receiving them, but also using them would be interesting to hear. The vast majority is still for bookings, which are sometime out, many of them only in 2021. So the minority has been flown already. The next question is from the line of Gerald Cassel from UBS. Your question, please. Thank you. 3 as well. Any commentary in terms of how you're thinking about business travel? Obviously, the leisure is going to taper off in Q3. And any comments from the German corporates about winter business travel. Secondly, you kind of said 21 you expect, cash flow positive at some point. But I guess from 22, your CapEx will ramp up. So, you know, could, could we still be expecting a positive contribution, I guess, from 22 calendar rise. And then lastly, can you say anything in terms of what the current cash burn rate is? You know, you kind of put the $550,000,000. But considering everything, what is the total burn? Thank you. Hello? Yeah. Sorry, I just forgot to push the button in this car, and I'll do the first 2 and, the ball man will do the third one. Outlook on business is very difficult to do. The German corporates are definitely saving our signals that there will be short haul recovery before long haul because there's less restrictions. But I think they are very much driven by travel restrictions where can they their people without putting them in core time when they come back, blah blah blah. So I think that is part of the business where outlook is even more difficult on the leisure side which basically is a formula, leisure will improve faster than corporate and short haul will resume fast than reporting. These are the 2 elements we have in our planning. Cash flow, as we mentioned before, in 2021, will turn positive. During the year and, 22, 23, we have made our investment commitments because still negotiating with the OEMs and others. So, once we have positive cash flow, I'm not willing to give it up. Maybe I can answer your question in that way. And, again, we have this government package, which allows us to optimize. Maybe I repeat that one more time, not based on short term optimization, where we can really optimize the business, which I think any business should do on a more mid and long term basis, both on selling assets, which I said before, both on investments. And that why this package, I think, works so well. And even with that package, our you know, the firstly price we had to accept for that package was a 20% shareholding, but still, we have less government shareholding than any of our global competitors with the exception of North America. Both European competitors have a higher government share in London and in Paris Obviously, on the Gulf, Boston, China, Singapore, so you look at all our global competitors, they all have higher government shares than we do. So I think price we had to pay by accepting that for giving us the flexibility to optimize the business, not short focused, but mid and long term focused I think it was a deal we were in the end leaving was right to do for Lufthansa. And let me add something to question with regard to your cash burn. So, during the Q2, there was a cash burn of roughly 550,000,000 per month, which is excluding extraordinary effects like the the tax issues we mentioned before. And for the upcoming year, we expect a lower cash burn for the rest of the year, we expect a lower cash burn from 400,000,000 to 500,000,000 per month. But this is highly dependent on the travel bans and how this is going to change over the next month. But according to our higher production, we reduced cash burn per month. There are no further questions from analysts at this time, and I hand back to Dennis Weber. Yes, thank you very much. And so this concludes the Q and A session with analysts. We'll now switch to German language. Of course, analysts and investors are still invited to stay on the line and, listen. Filleen Bank. Dennis, from here, I'm good morning. Wyhamia, by the account's car, the equipment, if it is asset, fatality, investor on journalists. We are seeing in our regard to our feedback, Gefracht. And we are being positive, the group may overcome this to some of these are biden sessions, if it changes, and that's being since after by Gabriem doesn't scan a vision, obviously there from operator, Kanantin Systematic on the Azdefrager comps. Yes. It's from Mackenzie Schoen. Good morning. Yes, good. AC to earn stunt. We feel we feel making Baird from ticket C in vouchers. You try to target the thrifty slot of lung disease are, the NARCCOM missing think that auction starts here for consideration for the Zane, since it's a slot from Alska Shriem, where the web pissed at all? And I'm Dritha Frager, the Kosten in Frankfort Kunze DART. People who are dealing out briefly invention Hey, it's now good to see Nomura's conference form as a balance of funds. From Lima's hoelters in at the We've got swine,000,000 in the house. So the FS bleeding is in the house. So I'm used to have excellent mine for striking from the hospitals. I'm longer Zachs for him to come, but it's not too. To get us the knee of NUEL. Our VITI balance of such question as the mice to hide from X4 from DND in the HIBDA. Key part of the adhesive of refunds along with Arden mostly how many girls performed. That's in Eversburg, Simony Arden, if it's bleeding out to Einer, straighten off ours. Others outside the Rhines, exempt. But in spots, it's not too fluid. You can that says as a grip, when slots, we are clapped, we haven't solved them. Once it's tried to be on a slot waiver, from what we choose, Grossfield has definitely been there for Langers. On Aspen, this is for WAVA also often cry if they take long. I think this is sorted to full. The cost notice here at Cision Frankfurt and humanian Vansh on 4 Corona FSRU function. It's a large blood solution. So we are turic, whistle on green, and green. Funford, Anglo Clinic, holds again as again the 50% potent by the home. Yeah, Duncan, but they ask for a statement of the ungabted civil vouchers. If you take it from the vouchers, Van Denken? If you take it there, the outside of the without himself and couldn't, the Gavanssen Worten. Targets in advance. You have outside the Esdefrader is, how how to, the country game does of an urgent sale behind the scene from Baker Solutions Art Nook Musman Daimler's session in our Vectrusen Artem Uncrindigumindigumindigumindigumindigumindigumindigumindigumindigumindigumindigumindigumsegment of normal to Ashteumen. Yeah, something is that, maybe, in we feel kundal under anthal here, Wartsendendorf of Yirva, Ashatonk. Yeah. We also have a little bit of Hopin Khamens to the Kuni Gong list in their chart. That's because Zach owner who treats the de Koonagong Suresh to come in Deutschland, Ashland. I'm sorry. I'm brief. The answer is to speak about and that's certain. The local standard video is brief. The micro latency stream want a vital in the student. So it needs to show a signal right. It's just under the. We feel that since that's a visual rhythm limiting effects of the horizon. I was, I'm aligned in the air the airline here and the looks at the left after not to fill. It's there, but we've seen to hopefully meet up for that. Not been shrapnel for a while. It's akin by the king of car in front of him over taken control is as well these are also I get to Wiaten about the target because I come out to it as done. And then the reason, but we're hoping to do is, or we think, a bachelor of does this guy kind of get kind of slow? Done by Irooflager, we feel couldn't in silent holds a either a reference button. Let's go by now. The complete realm is the site. Well, you're all in from Colden Deifen, and that's in Fluke plan. We can get Fluke plan, Govextrotarbum, and it's it's either you're falling harm since refunds in the queue. The other B R budget burden during the, this question will make it happen. I will say the refund, I include mistakes, I've got to Mohammed as I've got to be in a way that too where we are, like, a flueckish crisis, listen, on this thing is detailed. The west down each hall at the Bavini summit to Tundas Lange Novartis Voil. That's how I got to time within feeling capacity. We were off about, in Indian in courts and then you hand the call. This is Carlos from the recent talk. [SPEAKER UNIDENTIFIED COMPANY REPRESENTATIVE:] Ganskefa Vinda unsigned and the wrong dividend on Zagoshi happen on thus far in Yuli, the size the refunds, the 4s and to a non launch potent Aker avoided, is Mark Danof Heineke, a fairly given the complete CSRent, Ava, the newly refer to the group plan and on hubs, no further to the field doesn't cause a, and the cause of unserved from refunds, after last month again. So me comment and let me turn the call over to Mr. Nagerfeld. Yeah. Good morning. Delaying there and consider small concrete design on Vazastak and now gate has a stylized exam, the flatter up the shaft world on Northmatsud in Sanjantlung. Mr. Verkshaften, the Masilay smal of Kabinet on cockpit to strengthen the swacelles often Thijskeling hard on Danvira Turkhanom word or Wieder and Fargesheet. If we were to dust in the outside on the pre splitting hear was Einspapotenciallefwaranmiston on the steel to Ereishen on the Farfetch side. Yeah, for Wiesenbach, this is our limited by the reef with my colleague, Gershunab to fuel the special business data type flooding. The number include right in sight, and then stimulate our upscribing the mid Anya again and the signal is an awkward cold right call mid time. The right lunch taken for the reaction 5 years ago. I'll make it a phone. This is where I'm with Anshawn, our COVID at Cichons under the eager plan that they took to be on their footer to be flooring. But in English, proven an agreement within Seguire Shaft was with the with the agreement of its optimal state, but in it's vital on tile business agreements when it's angular in their heart, whereas of the Swiss with the Kunigong in the Kabiner, the Lufthansa airline to partition. Now I hope it talks here, this We therefore see how we are enforce them for Wachsa Wachan. I'm Paket, Anghenom, out here, north with the helped airline Lufthansa, and pleased with the clinical, then Oscar Schlossen, go ahead. I've got a fully lined up on F Four T, we see this in total goods sold, and this brings a big activity with our safety target. We are former, Mister Robert Wijn Volton on if he's running Zang is get with you to Lanza, yeah, I love of the weld harm into and with the Eirshaf and owner Eirshaf and 100. He doesn't get, yeah, in awardant in cockpit. Remember, the Uphogups in any room, this can't meet the islanders in VAS or hot site in Vitarite and here are Nynaine. Thank you very much. Yeah. Hey, good morning. This is Froitner. I'm an owner of my food in in Staine about China, when It's yet. To speed. Does it start to use Pakeno Nycht and Tieton conditioner in Alzheimer's control. I would also ask some time, Aliskiana, as of normal, actually, this is Umviva, owner, be pleased with the clinical in Dutchland. I mean, with on the, we are even not mercury, Babia, but we are in the arbiotic deal, the kids can go to cooling. Our debit here, the follow-up, the directions, fund, loan, letters, the right hand before this, for analysts in Air France and ultrasound and outside Cytoons are involved in the 1st year, the uptake department is this man of the wound. That's why the outside gravity us in brief origins into the border. So from NITARAF allows the first theorem, then we are Yes. It's Michael Madraim, Heitan from Illinois, Aladdin from Illinois. On VSE in yet about that is happening from the Opera team and weak long run team and it will predict for Scholume with the English program. Gambia of Kunta operative and Vic Loom Natulista from us is the invited and follow-up to Sierra is not understanding good. It won't be vehicles. Visit the Raisable Schenkung and Vikeng on Daimler, Vikengkengkung and Vikengkengkengkengkengkengkengkengkengkengkengkengkengkengkengkengkengkengkengkengkengkengkengkengkengkengkengkengkengkengkengkengkengkengkengkengkengkengkengkengkengkengkengkengkengkengkengkengkengkengkeng, we visited derma and derma, we reachedarned dermedkengkeng the Allianan airlines only, all geographies in Kanheenag in our boutique and Italy only, sir. That's the next off key on the Nixis targetslavish from Assistelor, from Hans Lautman. Cash. Yeah. Good morning. They can see the Spanish of police in the state. Now it seems it's a normal start in the. That's been it. So what's their strategy for on the offloading lesson? Hi, Raman. Did Claro also in Australia with the recent, does when they are from Open Ratheft and Alice Hills. Thomas is the abstract. I will skip the office up before it's the outside. That's the roof of the portion. That's when we took themselves from that position out by the start, they're trying to target again to the carbon volume. That's the actual carbon volume. Although if you rather, we're in a pretty thick and also we moved on to the first time where it's on Ziva and its owner in Lasso and Ginge, that's here. I'm sorry. This one's out loud and toys p b. That's the fun known to Langdon Foreangame. I will be outside in these facilities in Dorothy. You'll be advised for some low for care doses Zippo became a airline developed, the owner in Dasong, Alstkom, there again, the Einsigigiviran in Dodgeland. I would have set it up to Anders Laufenghausen, the starter Lufthansa idea of 2 Comms fake is Ganskela that's the minds are material situation we're leading on. Like it's kind of a sense, there's a forced on political. But tight good value. Thanks, Janesh Lautman, on Dammietin, Umfaud, by Stefan Vayer. Yeah. Hello. As well, I'm from Anazata Student AOC. This I'm in a investment from Amazon. We have SunExpress dot 2 or a doc mix, when the ops 12 common on Octane Wallen. The other friend, when an analyst comes back to that other MV, put it by him in an inch flower, that's under the, even giving people that's, on, I've heard they out there floater, they haven't flagged in a, after the middle cracker. See it, the of them. So of course, the course is FYI, we didn't start on to know in terms of. Yeah. I will, by the EOCs on that field built in the same EOCs. That's something that's from Ramform Renewables. They had EOCs assigned Waven is Vonage in Sweden, Linda Irrig. I don't know when the sun expressed to radish even for Lufthansa Gekauf, where the other liquidities, the liquidate sauna house with the Unsanger Hearn, or Eastern where it's all idle for sale. Then some express liquidate periods with the sites within certain internalists or that oom't upset epigramists we need that to, but that's in the fog of our other. Alice Vasyl Alconried yet at AOC, which state, Zol in Zolmo, the Taltzina gave. That's hand works. It's mine. They'll talk to Fogonen. Yes. Erologic niche, honestly, because it is the thing that's hard when marine hoists don't need to. Yeah. Okay. Thank you, Kyle. So then when in Fluke time, affected. It's it's not in WAN Productiva, the WANAN VANAN VENKATAKRISHUNDARKATAKRISHKATAKRISHNANZYNSKI:] Yeah. It's not so slowly. If it's Centa, it's the Vifir, Radawar, the Ajeansa for Ditzen, other than the Vifir Ralf name on a 707 non X Rheinhorn and Rudzugari answer that it's like. I don't know if it's kind of Answald Iroofrager was an admission of IDMzyme. Uncycled from Platts and pork fluke soy, something Schmidt, done. And that's in Zuma and Gawa Auctions. 2nd car naturally, Richard to fuel this with a supplier via their shed centers, yeah, So in 20 out for this noise in the afternoon. Thank you, Nava, Philippe Vargas, on the next caller ID on FOLIq is from Michal Lagache from the handset Good morning to them. Harsh Bois, Yatinirshunden, in Einstein Skaitman, When you're Christian from Midstream, there are VSF, Mozamburger, and Chaitan, of the Lufthansa, De Hilftan, Ondren Landon, Ondam Daph. It's Algren Chydongerfarn, Zwightefrager, the other number from Tima in Stoffer, that with the free school will be rated for the ice this in 2 irons, 2000 irons, swan, and I'm. They also especially on interim prognosis and heighten this 5000 freelance. It's just only one flagged by an input of game mode. They run rate wise for footballers. Requires an aftermarket disease to feel harm by the assessment channel in or after 5th New York tender? Ruthierach. Also, I'm inform her diagnosis as a foreign vet. I was shot from iron and ministerial, Doctor. Tushtung to Ferrant or couldn't be in his cameras. So I'm here on the drug in Wyden, Our advice is not to write a key ring in Bang on the Bristol owned in VINDA direct in yellow. Instead of when we're trying to see a function of harm, then absolute death analysis. We are an image of the common one by this means. I'm here in front of our devices by the star does Anadolpheepaniemi, we are a technical liner, a lady who only imshgolf, they look for care, not had a certain further as the royalty can put nose and go way up here fanticular for unemployment, for noise, and our skin is clap. Give me 2 different answers. On the below the bank, the ARPU net regulation is newer for the Lufthansa airline Yeah, the home affairs, the recently held to that below the shift, the M8000 per load, that was a fixed 1000 from Honda Loma Fair and can scope this is being a Huawei in the Lufthansa airline, Onda, then Ahfundat recognition. So I mean, it was ultra 5000 in the Lufthansa airline in Dufthansa. Region of volatility. Yeah. Yes. I'm. You hit us in the in the bookings log of the lunch tracker of the hunger justice of this country, like, and you got the wrong game for it. If a handlong with cockpit on value, gift station, engager, termina, that's why Zirani has given you a long time as a movement of the, Far Pod, Gitzner, Gitzner, Gitzprazier, a double bit of the. Feel a good stuff, I think it's up to enough. I'll let's survive with you. I'm the last, management aidman down with Akashant again. We lead us then mid card rates at the Forestrand on the management hours. Oh, what, guys? Gucci, as a team of brothers, it's gullible. It was Orange Payson. Absolute the U. S. Birga Vida and the Hopper license. So Taitan, we are new and bought Diplomartan, and we're here with the military, mentioned it by person, I mentioned, in the US are, I was on time, the newer diesel per zone group. So what I'm saying, ypsar width is kind of elastic in our son, full ons, the death of flexible on the frequency. The reason we have all the anoints, we presented it's in a zone updating. I would assume it would feel free reading of the question while with us can oversee Franca Hart in this vision. My assistance, I'm with Verdi, for 1,000,000 for. Think that is the total business under that. The fragrance in Frankfurt and Frankfurt, that was the type plus the answer him, but her initial about the reason, therefore, the Far East Day in Rome, that's Einsigar on the So it's, like, 750,000 Metabytes in Muilash uni, kilobytes, gap in theutschland. In Amsterdam against some group of permanent dip 6000. I don't have 26,000 in Iceland, industrial fiber. Management guide the health management, Bonnie Division, we haven't kind of arrived in Vergutong Mayor, just because all the time, I'm fortunate with a vaccine Weaning Agar Helve for the survival and 50 percent for T. E. The Farsha Nogma Physics bunnater of 40%. The underwritten tumors, even in exploration efforts, VENIGA, the Hamilton of VENIGA, an anti bribery for Goutong, Hengkkelder Management, it ended up. Do that if I take it. The Zix won't allow from this one? It's in October. Okay. Uh-uh. It's probably the handler I'm going to mention on board, override the evidence in the program to task harm, order and pass Anders harm, thus in Singapore, lalp and Verizon, older, eventually in Singapore, Umstheim invited to flee. Doesn't when you have to send me that cargo cargo cargo. Skip Tiegler, the former World Campus this year and then trust him, Poppy Tableau and his Poppy Tableau are cash positive afanti cargo subsides of vesicles. But you mentioned bugen we are good. Let me do it under the business of Lincoln, Bitcoin, the economy of the car is like a civil rising plant. Say, how may we do this? I'll answer if you get to Umborrow's birthday card, underheng, as a Lindsey Bogen volume over the right to this, which Thank you, Sean. I'm here. I'm here. I'm here. I'm here. I'm here. Thank you, Albert Ralf. I'm done by the Nixon Fagri Von Hern kudomonoskump. Yeah. Loden, is either by the car being onboarding, etcetera. Hello? [SPEAKER UNIDENTIFIED COMPANY REPRESENTATIVE:] Yeah. I won't be put them out. Sorry. I hope that's good. But it looks like it's an airline, those things to me has got a lot of I'm a checker with us, ma'am. It's 5 1000. I don't think that's hard. It's a section of this astronaut. Yeah. Afternoon. Then have a 5500 fluke with glider, iran, 9000 flimfinite on board. And so I moved from the airline. Elynda, our doubts will be determined in the October of Africa. Okay. On as you're not saying as a but we have again also on Of the time for these thousand rands, they advise. We have a first other house land. You guys even thousands of 1. Yeah. The front end Sika L1000 Deutschland didn't know Paahun that this year after about 15,000,000 in Ghana. Other than Nordstrom, it's an only pursuit a Q and A does see, to the Insulin, unless, there are 4 lager to include the right, Saal and Clal, signed the Newtigan, the participant in Kuni government, we see side gains eating a very you are in the I and E, but reached the conclusion in house leases, we are done. That is far the hardening of aircraft in this a half hour game. We're the biggest approach, Peter, even on the wider. As we're beginning yet in upper output tests, it's a hot submitting the air shaft into 400 and the visitors, else by some trial plans. 1 is. I would give an ocean called Sedang. I would have been writing tickets. I need to put this while we get when the whole finished air is included in an important game to current our to the analyst in the general MR and quartile pressure. Vamana unforced us to just include the rising economy. You can see here that we are in just from 4,000,000,000 in the graph shaft capacity. That's kind of Alan off the belt. Not only under fan up to bone, won't we have seen an Auckland, Catan, and then through the Austrian Airlines. You. Question, Musin, other sites in power, warhol games leading the workshops on the north side. It's a It's I don't know. You have a little bit of appetite. Yeah. I'm for 100. For 100. For 100. So the. I I if you did line bar, trot them, Zobel Divan, Nualhausen, and I'm Falam. I'm going to get this car with the fire and cockpit for strokes. It's that's I'm so good at how with EBITDA rider and Ganaku is a air in communic at zone in the Kegunzovsky positive street, Sibeta Vazakh is a he is a greaser That was good in front of your food. That's mostly fiber height, and they're saying Vamil as Visti. Eashlesteak award in fiscal shift, Alshad Pesa, that's in Zuma, Masters, Ibomita, we saw state, Nishma Real Estush, That's to GLOBALM, that's the only the beginning yet. But our German Dings, stag Zimbo's regional provider. Zimblachshund, I mean, Dallas is outside for southbound for hand room. We're on that front where it gets on. It's right. It's in the US R got Saddang. They're really on the name. It was in my in the lord and brief shrine. We are having a minor dish in this commodance and Emodson, a good house that's been closer from the village in Dorsha and Mahan. On the end, we give a Dawshan, when you hit distributors with Schaglowski by Lufthansa. Mhmm. And we did a good Thank you, sir. Yeah. That's good. And then talk with the rest of his constituents of Lewis on Fenders to fail, and he's happy to hear from me by other friends. Again, our chef and his the XDAC's content, that's welcome after our call. Hello, Anthony? Yeah. This is hello. Drive car on. I'm speaking with Doctor. Ryan Swankowski in Dznya on serves in condominium. Basically, it's like me. It's via the flag that I gave. We're triple 7 x. The Hamzia is Emirates Leping Strong. They're less than 5000 science funds. You can get an air to fluke talking of, of 5000 ion funds, golf, and are buoying cattle down. It's a one residency from 1, this one reference within, machine from Boeing. And leaseback to Storken, Jensidar Forangkom, Getstar Efforte in the Henrichs? So, yeah, as of the Volkswagen Basel Basel Basel Basel Basel Leasingra Twenty Neos, the 2 game. This is Yarni. I'll be speaking of 777, Safta, while on the arm, this is a white diaphragm test. Being the nomura, and I'm not sure. Would have off date, but this is, yeah, not too good. Yeah? Yes. By Boeing in their charts, do your business? Boeing had the country game. That's the fluke toy as a funds is fine, Franci Com, Unza Radish Mid Buying in the Elksen. We're answering a lot of for art and, sadly, the Unfruk, Arbaiten, our Turkish most boring as they can't give him only he cannot speak Mahan, saying is that the outside in preference is boring than the outside. And that's once we have gotten the fluke, so it gets an acquisition good growth. And for Anurag, I'm a boeing a vehicle in this new operational. I'm bouncon, pull out and trading on the right, I'll keep 'twenty one. Our people was planning on the boring ham debit in 'twenty 2 and 'twenty. Say it on leaseback, the handler, we had approved tickets for cough and stroke release. Our country of foreign standards is by even that so I can obviously get the other 1,000,000 dollars, buy service and try and bring in 3 months LNG settings. You have to buy an RFP for from Douglass and all of us have seen a positive clause in Homemade, a very busy year with production and COVID, I think. So you will want to speak for Agar Hartat. Our sales business events is untapped. I spoke to Inger Ratan. I was speaking to Amber Shrondikit. Dania Novak. Yeah. Are no tie advisor, as I'm tired as young positive sign that comes I've been for a hand loan with Airbus on Boeing, been concerned, and our costs managed in British, Hashibon, their fluke. So I don't May I just speak to you? Yes. This is my cash flow. I'm exactly in love for the CRM 20 post even cash flow, so we can. So this is on the outside diva of English utility camera, so so busy of George. Costs, it is a issue we have loop target that screws these offers down. If a 100 and that's not about when it's under a bit, I was in Boeing, even these are oste problems playing it. Wife's a kinase for the O4 name, Winston, but and I'm whole complexity for how long is demanded. Yeah? Cands regard. That's on salary savings in Spain, Raman. So we'll need that for you. Yeah? Okay. Clarksville, we have no snow on. Good morning. Hello. I just have my in V Filium with our body, the lead shaft by Swiss on Edelweiss and Jean Marcalucziot. I don't have that complex owner and Platts on the club? Yes, Adi. The asset side, the recently concluded that we've hoarded out on the wester conference to ask and happy to share in our advice as well. Under the mechanism, the codes are right, Sebastian. It's kind of off talking with Albert Givers, may are up here in Van De Zinsomar. The condemned by the onboard We're seeing, hamadhy and the tightness prices of this year. Only the trees including Wongerschaft was a finished crisis of kind of death type of plant. How does this limit the hand to a fragrance? Easy for you to answer the female number and for him. Yeah? This is Kanla. Ghana Fizzy here, Shelly. That's given on the Hamburg, Theresa Munk. With the next refund upgraded. Yeah, for Lucas Amazon, when Kuna and ticket coughed, then it's of the Fargo V. Zoliter is the airline for the Asian ticket car for Thailand Carpentscheide by Lufthansa, Avastakondu, diesel airline, get this platter. A water with Muslanger Margate of study. To write an accolades. As we have this Anglo Fund with us in our press as we call it. We had being liquiditate to refund, then we have this getting the anger first, but it's good. I couldn't. It's like in my office. It's like Kumar Asmelyad with the Ava of the chiefs to the accredited. But in my mayor, it's a. And actually well, the group from the 3rd side. This is. Okay. Alexander Magnus, nois AOC is on Scott's And while this ecopema files are done, Ocean is default fuel room under the Allergan's intercon operation plus the red tiered loop socket and city line, the, there are a lot of times I could bend it to flowing. It does get in September load stuff, leaking where we don't have overtalk. Well, in the show, in August, some of our kind of care sites to become This flub check is drydresses over wings to mild with the top product and bought Dlukkefirskkefirs from AOC, the S and Brussels of Ziswldorf. Although, I'm only considering Vegas AOCs is weird, the volume from dryer of irons. The brand, Flywheel, Easter by Ameluz under the Zork, and I'll spoil your market to offend the Ollobix brand with Imabasa Vagan on phones and Kunze on lunch record EBITDA, hope it's a vital assigned. The project. Oceans doesn't listen to field swing in the commonality guide around. So it is hard, but a lot of times, whoever is Maham Sean Allen. You know? Thanks, gentlemen. Thank you very much. Bye. Talk to you later. Bazeban. The oil holdings, I think, with the oil holdings, the oil are the indicators to be incurring or just redraft? Yes. What you're holding? They're positive. I was going to the the chef Riser focus here in Swashby Lufthansa, a flueger. We have an in October from 50% on those offshore boats by the oil rings bidder in the roof term. And then with any start I'm still living it up in Wacker Van Zhan, I'll ask for the example of the plant farm. Recalling it up a time then. We are in some active theater with a, you know, ropah weather all wings in Zama Fluke plan. On, the other ear, the style love poses and rewards sites by their Lufthansa. Is that either Fager or is it a brand bottle or have you? Yes, Dufroga is up. These are, some international strength that will be more marginal in the size debited or is it garnished? And by Orowings, it's a plant. I'm visible there when it's not shown up to bound. If you're in Flupetrips or Orowings, this would have give this in a tight side. 400 standard. The operation is 1,000,000,000. 1,000,000,000 standard, 1,000,000,000 I will skip that. It's kind of tied. You can then cancel either hand. The reason for the holdings is a loss, the remedy from German, the recent dialer, achieving the operational interest then in current. Oskolasid is the site in NoveFA Karel by Nicks. We are fleeing Nicks to spots while we are visiting and slot Waverham that's okay. Now that Mish Mahindra is in the area of Flutroga, Flieden. Pazil most on division, Doctor. Vaz5 is a Vistice Steheimmark, the catchment, the Stacker, it's Frankful invention as of the 2 Zinger Brothers And Starke market. Dankaj Nekkovaleski, Dan Hamanov, Einer Litzner, Volkswagen, and Johannes Brinkton, it is Good morning. Deflect and close the dish if you take that or if you want to be scared and clear from Meters, Caitlin Fluketag and get passed to that. And so comes from the line of Ashikarosa. This is Richard. Zoomer, Humberger Schatz, this is Aruna Tooktogtogtogtogtogtogtogtogtogtogtogtogtogtogtogtogtogtogtogtogtogtogtogtogtogtogtogtogtogtogtogtogtrianfancy, this is Sean Ken, Beditogtogtogtogtogtogtogtogtogtogtogtogtogtogtogtogtogtogtzein, Adam, it's a 2 norm, we come the Einstein market to look. We toy us with the Einstein of Fluke. Now, you know, how to offer success. I mean, total Flukefsen, Zengar Flukefzoger, Harmen, with others from there. So we had there's an underconnect together for waiting time, since we can yeah. The thing is, there are there are few blue cabins that we have for the the Skazanba's hubs for private of Johan Sia, Angie Kunlicht, Guilbruent to then to reach Eilofone. Dangish and Ed Brinkman on leading here kind of vital involvement from before. In anzamalihinametag on Pharmishi Palpitasen.