Cathay Pacific bleeds millions as employees fear China takeover

Hong Kong's strict Covid-19 restrictions have decimated Cathay Pacific's passenger business, leaving it more reliant on cargo operations for income. - AFP

HONG KONG (Bloomberg): In late January, staff of Cathay Pacific Airways Ltd. were invited to an online meeting with senior management. It was supposed to be a debrief on the airline’s financial performance, but when the floor was opened to questions, the first was whether Hong Kong’s flag carrier would be taken over by its state-owned shareholder Air China Ltd.

Clearly annoyed, Cathay Chief Executive Officer Augustus Tang dismissed the notion, according to a recording heard by Bloomberg News. He called it "really sensational and hypothetical” and "grossly untrue.”