This article from NYTimes.com has been sent to you by psa188@xxxxxxxxx /-------------------- advertisement -----------------------\ Explore more of Starbucks at Starbucks.com. http://www.starbucks.com/default.asp?ci=1015 \----------------------------------------------------------/ Cathay Pacific Asks Staff to Take Leave May 7, 2003 By THE ASSOCIATED PRESS Filed at 9:17 a.m. ET HONG KONG (AP) -- Cathay Pacific Airways said Wednesday passenger traffic has plunged by 75 percent and bosses are urging staff to take unpaid leave to keep costs down so Cathay can ride out the travel slump that followed the SARS outbreak. Cathay has 14,000 employees, but spokeswoman Lisa Wong declined to say how many would need to go off the payroll on ``special leave.'' Wong declined comment when asked whether Cathay will impose layoffs if not enough staff take voluntary leave. Cathay has lost millions of dollars since the World Health Organization advised travelers early last month to avoid Hong Kong. The carrier has grounded 16 of its 79 aircraft and cut almost half of its flights, Wong said. Cathay was carrying about 30,000 passengers a day at this time last year, but the total is now down to about 7,000, Wong said. ``We have two staff for one passenger,'' Wong said. ``The situation is really bad and we do not know how long the reduction in traffic will last.'' Cathay is also seeking to defer payments to suppliers and is in talks with aircraft makers Boeing and Airbus about delaying the delivery of jets now on order. Cathay has one Boeing jet scheduled for delivery this year and five from Airbus, Wong said. Cathay said that unlike some airlines in Asia that receive government support, it has nothing but its cash reserves to ride out the downturn. Cathay's board voted this week to cut in half the size of a proposed year-end dividend for shareholders, which will result in savings of 935 million Hong Kong dollars ($120 million). ``We need to keep the costs down so when the good times come back we can make the most of it,'' Wong said. http://www.nytimes.com/aponline/business/AP-SARS-Cathay-Pacific.html?ex=1053315688&ei=1&en=5f63e1760f959746 HOW TO ADVERTISE --------------------------------- For information on advertising in e-mail newsletters or other creative advertising opportunities with The New York Times on the Web, please contact onlinesales@xxxxxxxxxxx or visit our online media kit at http://www.nytimes.com/adinfo For general information about NYTimes.com, write to help@xxxxxxxxxxxx Copyright 2003 The New York Times Company