Israeli flag carrier El Al has warned of a negative impact on its results for the fourth quarter as a result of the security situation in the country but is not yet able to estimate the full scope of the financial hit.
It marks the first update from the carrier since the break-out of full-scale war between Israel and the Gaza-based militant group Hamas earlier this month.
Citing the impact on demand for its flights, El Al says it expects a negative impact on its results for the fourth quarter and for as long as the security situation in Israel continues.
“The company is unable to estimate the scope of the aforementioned impact, among other things in light of the uncertainty regarding the continuation of the special security situation and its direct and indirect consequences for the company,” it adds.
Israel’s finance ministry on 12 October agreed to provide a $6 billion state guarantee to provide war risk insurance to enable the country’s carriers to continue operating amid the armed conflict.
