Wednesday newspaper round-up: Saudi, airlines, Aviva, shale producers
Saudi Arabia, the world’s biggest oil exporter, has spelled out details of the dramatic increase in its production that prompted Monday’s huge falls in global stock markets and is regarded as a targeted attack on the US shale oil industry. The state-owned oil firm Saudi Aramco said in April, when a three-year Opec deal with Russia expires, it would increase output from 9.7m barrels per day (bpd) to 12.3m, flooding the market and bringing oil prices lower.- Guardian
Battered airlines have been thrown a lifeline by Brussels as the industry reels from the coronavirus with thousands of jobs at risk. Rules which force carriers such as British Airways and Virgin Atlantic to run almost empty "ghost flights" at a massive loss in order to keep their prized landing slots have been suspended after the outbreak brought major players to the brink of collapse. – Telegraph
Aviva is cutting back on travel cover in new insurance policies due to the coronavirus outbreak. The insurer confirmed that although people will still be able to buy its travel insurance, they will be unable to add cover for travel disruption, the BBC first reported. – Telegraph
The deficit in traditional pension funds is set to expand by as much as £150 billion because of the unprecedented fall in government bond yields. Aggregate shortfalls in the 6,500 defined-benefit schemes in Britain leapt from £75 billion to £125 billion in February alone, the Pension Protection Fund said yesterday. – The Times
One of America’s biggest shale oil producers has slashed its dividend by 86 per cent in response to the collapse in global crude prices. Occidental Petroleum, whose shares halved in value on Monday, said that it would cut its capital expenditure this year by $1.7 billion, or more than 30 per cent, as it tried to weather the crisis. – The Times