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Airbus trims A350 output, quarterly loss worse than expected

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PARIS (Reuters) – Europe’s Airbus (AIR.PA) announced a new cut in production of its marquee A350 jet on Thursday as it swung to a larger-than-expected second-quarter loss in the face of the global pandemic.

But boosting its shares, which closed up almost 2%, the planemaker also said it hoped to avoid consuming cash in the second half of the year after a smaller-than-expected second-quarter outflow of 4.4 billion euros as deliveries tumbled due to the coronavirus crisis.

“We believe it is going to be a long and slow recovery,” Chief Executive Guillaume Faury told reporters, adding that travel was picking up but more slowly than previously expected.

The crisis has particularly affected demand for wide-body long-haul jets, which are expected to be the slowest to recover once demand returns to normal levels, which Airbus says could take until 2023 or 2025.

Airbus said it had cut wide-body A350 production to five jets a month, after dropping it to six from 9.5 in April.

The move came a day after U.S. rival Boeing (BA.N) announced further cuts in output of 787 and 777 jets, which compete with the A350 on depressed long-haul networks.

Airbus is shedding up to 15,000 jobs or 11% of its workforce to cope with the crisis, which it expects to hold output down by 40% for some two years compared with pre-crisis levels.

Spain said it had reached an agreement with Airbus to reduce job losses after a meeting between Faury and Prime Minister Pedro Sanchez

Cash objective

Airbus posted an adjusted second-quarter operating loss of 1.226 billion euros ($1.44 billion) as revenues slid 55% to 8.317 billion. Analysts saw a loss of 1.027 billion on revenues of 8.552 billion, according to a company-compiled consensus.

Losses include 900 million euros of balance sheet impairment charges related to the industry’s worst crisis and Airbus warned it could have to take further provisions of between 1.2 billion and 1.6 billion euros linked to the restructuring.

Like many companies wrestling with the economic impact of lockdowns, Airbus suspended formal forecasts earlier this year.

But in what one analyst described as “soft guidance,” Faury said it was the company’s “ambition” not to consume cash in the second half before M&A and customer financing. He declined to give a breakdown by quarter.

The crisis has been causing cash to evaporate across the aerospace sector but Airbus said its underlying outflows remained steady in the second quarter due to aggressive measures to cut costs, after stripping out a record 3.6-billion-euro bribery fine to UK, French and U.S. authorities earlier this year.

Analysts said the report on cash, a key issue for investors as companies seek to stay afloat, was better than expected.

In a separate probe, Britain’s Serious Fraud Office ordered Airbus unit GPT to appear in court on alleged corruption between 2007 and 2012 over a $3.3 billion contract to provide communications services for the Saudi National Guard.

Airbus says the case relates to “contractual arrangements” put in place before it bought the firm in 2007, but which continued afterwards. GPT ceased operations in April.

The SFO said two individuals had also been charged including a former head of GPT who was accused of taking commissions on contracts he awarded to a consultancy while employed by Britain’s defence ministry. A hearing has been set for Sept 14.

Reporting and photo: Reuters

Business

Manhattan Grand Hotel inaugurated in Hulhumalé with 162 rooms and major event facilities

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Manhattan Grand Hotel, a 162-room five-star property in Hulhumalé, was officially inaugurated on Saturday, 7 November 2026, marking the completion of a long-delayed hospitality development originally initiated by State Trading Organisation (STO) more than two decades ago.

The hotel was inaugurated by Minister of Finance and Public Enterprises Hassan Zareer during a ceremony held in Hulhumalé Phase 1. The opening marks a new chapter for the former STO City Hotel project, which remained unfinished for years despite substantial investment and repeated efforts to complete or sell the property.

Located approximately 10 minutes from Velana International Airport, Manhattan Grand Hotel has been developed to accommodate business travellers, transit passengers, leisure visitors and long-stay guests, while providing facilities for meetings, conferences, exhibitions and social events.

The property features 162 rooms and suites across eight accommodation categories, including city-view and sea-view rooms, deluxe accommodation and junior suites. Its facilities include four food and beverage outlets, an outdoor swimming pool, a spa and wellness centre, and a fitness centre.

A central feature of the hotel is its meetings, incentives, conferences and exhibitions (MICE) infrastructure. The property offers three major event halls, measuring approximately 700, 400 and 390 square metres, alongside dedicated meeting rooms and conference facilities. The venues have been developed to accommodate corporate conferences, exhibitions, annual general meetings, weddings, banquets and other large-scale gatherings.

The hotel’s architectural concept draws inspiration from Hukuru Miskiy, the historic Friday Mosque in Malé, incorporating elements of traditional Maldivian craftsmanship into its contemporary design. Marketed under the concept ‘Live the Heritage’, the property aims to combine local cultural influences with modern urban hospitality.

Manhattan Grand Hotel is operated by World of Business Pvt Ltd, with foreign investment from UAE-based Deep Seafood Company. The redevelopment was formalised through an agreement with Housing Development Corporation (HDC) in August 2025, under an arrangement involving 50 per cent foreign investment.

The property’s development history dates back to 2006, when STO approved plans to establish a city hotel in Hulhumalé as part of efforts to generate foreign currency revenue. Construction of the originally proposed 250-room five-star hotel began in 2011, following plans involving the US-based Carlson Hotel Group.

However, the development encountered repeated delays, leaving the building unfinished for more than a decade. STO subsequently explored several options to dispose of or complete the property before arrangements were made with HDC to facilitate its redevelopment.

The revised development also incorporates approximately three and a half floors designated for government-related facilities, including a media village, youth centre, heritage college and medical college.

Ahead of its formal inauguration, Manhattan Grand Hotel had already begun hosting hospitality industry events. The property hosted Food & Hospitality Asia Maldives (FHAM) 2026 from 7 to 9 September, bringing together hospitality suppliers, industry professionals and international exhibitors.

The hotel’s official opening adds a substantial accommodation and events facility to the Greater Malé region, supporting the growing demand for city-based hospitality services, corporate gatherings and accommodation close to the country’s main international airport.

The completion of the former STO City Hotel project also brings an end to one of Hulhumalé’s longest-running unfinished hospitality developments, converting the property into a functioning hotel and events destination.

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BBM’s ‘Studio of Culinary Excellence’ opens at MNU to bridge classroom, industry

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The best way to secure the future is to create it.

Creating that future through specific, purposeful initiatives is what drives people of purpose—and, in turn, moves us all closer to the future we desire.

The Maldives is a compelling case study of a tourism-driven economy. Look around and ask why an event is being staged, what someone is working on, or where a new initiative is leading, and the answer will often point to the hospitality sector. Securing the future, therefore, is inextricably linked to strengthening and advancing that sector.

Here, “strengthening” means making the sector’s contribution more sustainable; ensuring that a greater share of its growth benefits the community; continuing to offer a compelling value proposition to the discerning global traveller; and ensuring that visitor experiences continue to generate an unparalleled reputation and valuable referrals.

To achieve these outcomes in the future, it is essential that current and future generations of the local community engage actively with the industry. Making hospitality appealing and aspirational, enhancing the quality of delivery and service, and building a pipeline of skills and talent into the sector are areas in which initiatives, inspiration, infrastructure and investment should be concentrated.

It is firmly in this context that Mr Ismail Hilmy, Chairman and Managing Director of BBM, initiated the establishment of a modern, exceptionally well-equipped and thoughtfully designed model kitchen, aptly named the Studio of Culinary Excellence. By donating the Studio to MNU, under whose auspices it will serve the Maldivian culinary community, Mr Hilmy is responding directly to the need for deeper community engagement. At the heart of BBM’s framework for industry-outreach initiatives— “Because tomorrows start today”—is Mr Hilmy’s ethos of fostering engagement and vibrancy in the industry.

“For our students, the gap between the classroom and a working resort kitchen has always been the hardest one to close,” said Dr Shehenaaz Adam, Vice Chancellor of the Maldives National University. “The Studio of Culinary Excellence closes that gap. Students can now train on the same equipment and to the same standards they will encounter on their first day in the industry. We are grateful to BBM for a partnership that goes well beyond a donation, and we look forward to the Studio becoming a place where the university and the industry learn from one another.”

The Studio therefore creates an opportunity to develop a pipeline of skills and talent in service of the industry.

“Embedding purpose in our work has been an ongoing endeavour at BBM. It keeps us connected to our stakeholders and builds insight, understanding and trust. Being a meaningful partner to academia as we move into the future gives us a great sense of fulfilment and guides our initiatives under the banner, ‘Because tomorrows start today,’” said AVS Subrahmanyam, Chief Operating Officer of BBM.

But what is the value of physical infrastructure without the corresponding spark of aspiration and ambition?

As Ali Afrah Hassan, Executive Representative at Chairman’s Office – BBM, aptly observed: “The Studio offers students and members of the community hands-on experience with world-class equipment, together with knowledge-sharing masterclasses. Who knows—in the not-too-distant future, a Michelin-starred Maldivian chef may fondly credit some of their inspiration to time spent at the Studio!”

Now that is the mind and heart in sync—working towards a future that is aspirational, ambitious and entirely attainable.

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BBM Hulhumalé Phase 2 opening promotion winner receives Honda Airblade

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Bestbuy Maldives (BBM) has presented a brand-new Honda Airblade motorbike to the winner of a lucky draw held to mark the opening of its newest wholesale outlet in Hulhumalé Phase 2.

The outlet, located at Lot 20286 on Nirolhu Magu, opened on 16 February 2026 as part of BBM’s expansion of its wholesale operations.

To celebrate the opening and thank customers for their continued support, BBM introduced a special lucky draw exclusively for customers who made purchases from the new outlet on its opening day.

Customers who purchased products during the opening were eligible to enter the draw, with a Honda Airblade motorbike offered as the grand prize.

The lucky draw was conducted on 13 August 2026, with Ibrahim Shifaz of Vagthun Vaguthah outlet selected as the winner.

Shifaz was recently presented with the ceremonial key to the Honda Airblade by AVS Subrahmanyam, Chief Operating Officer of Bestbuy Maldives.

The promotion formed part of BBM’s activities surrounding the opening of its Hulhumalé Phase 2 outlet, which provides customers with access to the company’s range of wholesale products from the growing residential and commercial area.

Bestbuy Maldives is a supplier and distributor serving businesses across the Maldives, including customers in the hospitality, food service and retail sectors.

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