Gregory Polek has spent his entire career in aviation journalism with AIN, starting as a proofreader and assistant to then-managing editor Mary Mahoney in 1995 after serving an internship with&nbsp;New Jersey Monthly&nbsp;magazine and completing his B.A. degree in English/Writing at New Jersey’s William Paterson College. By 1997 Polek accepted a position as an associate editor, covering the regional airline beat for&nbsp;Aviation International News&nbsp;in place of retiring industry veteran Don Anderson. The assignment took Polek across North America and Europe to profile regional airlines varying in size and mission from the likes of floatplane operators Kenmore Air and Chalk’s Ocean Airways to regional jet operators such as SkyWest and American Eagle. Today, in his dual role as Air Transport Editor and International Airshow Editor, Polek writes, edits, and manages AIN’s commercial aviation content while overseeing each of the company’s daily international air show publications in Paris, Farnborough, Singapore, and Dubai. Most recently Polek has assumed oversight of daily coverage of the Helicopter Association International’s annual Heli-Expo convention.

Senior Editor

Gregory Polek

To privately-owned Hungarian airline Wizz Air, “cash is king,” as CEO Jozsef Varadi quipped during a Wednesday FIA Connect Spotlight Session. Carrying enough liquidity to last it years rather than months during the Covid crisis, the LCC’s management believes in cash preservation precisely for lean times such as these. The airline hasn’t enjoyed the kind of government support many flag carriers have received, leaving it with little choice but to rely on its own resources to survive the Covid pandemic.

 


“We entered March with €1.5 billion of free cash and most of it has been preserved ever since the start of the crisis,” said Varadi. “The very worst situation for us is when we don’t operate. This is when we burn the most cash. At the moment we only operate on a cash contribution basis, so actually we are creating cash. So not only are we preserving, we are adding to our liquidity.”

 


Varadi explained that managers of publicly-traded airlines typically run&nbsp;their businesses on a “pay-for-profit” basis because of their mindfulness of the stock market. “You have to run this business for the long run,” he said. “And liquidity and cash are critical components of this business model.”

 


In terms of operations, Wizz Air has managed to recover 77 percent of its 2019 capacity compared with the European average of 38 percent. However, as countries begin to reintroduce travel restrictions and flight bans due to surges in Covid cases, Varadi&nbsp;worries that industry gains might reverse. “I think the next period of time is going to be full of uncertainties in terms of the operating environment,” he said. “I think it will impose a challenge to the industry in how to be flexible and if you have to adapt your network design and capacity plan, you should do that. This is what we’re learning through this period, that if we get stuck in one country or one market because of restrictions, how do your redeploy capacity in other markets?”

 


The answer lies with operational agility, and Wizz Air has restructured its network and opened “six or seven” new bases, explained Varadi. Still, Wizz Air harbors no intention to change its operational or financial philosophies, notwithstanding fears that Covid could change the fundamentals of the industry forever.

 


“I don’t think the industry will change in the long run fundamentally,” he insisted. “I think these concepts will prevail. Yes, in this point of time you have more guidance when it comes to health and safety and those sort of measures, but you recall in 2001, when safety was at stake, a lot of people believed that would change the industry forever and people will not fly. You look at it&nbsp;now and ever more people have elected to fly. I think the same is going to continue going forward.” &nbsp;

News about commercial airlines, including regulations, aircraft orders, safety, acquisitions, and mergers.

Wizz Air Proves “Cash is King”

Privately owned Wizz Air carries some two to three years’ worth of liquidity. 

2024 Corporate Aviation Leadership Summit

Hanneke Weitering

News and developments about airplanes, helicopters and unmanned air vehicles used in all varieties of operations, including airlines, military, business, commercial, general aviation and private.

News and issues regarding all manner of civil and military rotorcraft and their powerplants, including helicopters, tilt rotors and unmanned air vehicles.

Archer plans demo flight at 2025 World Expo in Osaka

JAL/Sumitomo Subsidiary Soracle To Operate Archer’s eVTOL in Japan

Charles Alcock

New developments at airports including regulations and noise issues; legal disputes; openings, acquisitions and mergers.

Britain's new government is under pressure to invest in public infrastructure

How Regional Air Mobility Could Boost the UK's Strained Transport Network

News about environmental issues relating to aircraft operations, including noise issues, emissisions, and regulations. See Fuel for biofuel.

Danish charter and scheduled operator could buy up to 15 of the electric seaplanes

Nordic Seaplanes Signs for Elfly's Noemi Electric Amphibious Aircraft

Odys' blown-wing design is being developed for both uncrewed freighter and piloted airliner roles

Fiji Airways Plans To Connect Pacific Islands with Laila VTOL

Scotland-based regional airline aims to achieve zero carbon emissions

Loganair and Heart Team To Decarbonize UK Domestic Flights

UK green start-up airline wants to operate domestic services with zero carbon emissions

Ecojet Plans To Operate Arc Aerosystems' Linx P9 Hybrid Helicopter

Cathy Buyck

News and issues relating to international air transport and cargo carriers, national airlines and regional airlines, including aircraft, engines, personnel, acquisitions, accidents, safety, security and training.

The Boeing electronic flight bag solution will support the low-cost carrier’s 737NG and Max fleet

Ryanair to Use Jeppesen FliteDeck Pro 5.0 EFB 

News and developments about aircraft engines, including turbofan, turboprop, turboshaft and piston.

More In Airlines