Thank you. Good morning, everyone, thank you again for joining us for our first quarter update. I'm joined today by Steve Gunning, our chief financial officer, and our airline CEOs, Lynne Embleton, Sean Doyle, Javier Sánchez-Prieto, and Marco Sansavini. Before Steve gets into the detail of IAG's performance over the last quarter, I would like to set out some context. There is no question, it's clear when you see our pre-exceptional loss of EUR 1,135 million in the first quarter, that the environment for IAG and all the airlines that we operate has been extremely challenging. It is also extremely uncertain. The rate at which corridors are opening is slower than we hope. When travel is possible, the requirements imposed on travelers are having a big impact on passenger traffic. In the first quarter, the capacity was only 20% of 2019 levels. Although IAG went into the pandemic in an excellent shape, both strategically and financially, having made significant improvements in profitability and in returns on invested capital, we needed to take decisive actions. During these months, the safety of our people and our customers have been paramount. As you know very well, another key focus area has been ensuring that IAG and our airlines are as financially robust as possible to withstand whatever the next few months may hold, and to ensure that operationally we are organized for the current circumstances. At the end of March, liquidity in terms of cash and undrawn facilities remained strong at EUR 10.5 billion, compared with EUR 10.3 billion at the end of 2020, as a result of several debt market initiatives during the quarter. We have also undertaken significant restructuring of our business to reduce our cost base and be better prepared for the future. We need to ensure that we are as efficient as possible because that's what enable us to continue investing in delivering a great service to our customers, that in turn, is what inspires all our people. The core mission of all our brands is bringing people together, enabling them to travel around the world, to visit family and friends, for work or for leisure. From the booking patterns, we see that our customers are ready to travel again, and we are ready for them. Unfortunately, we expect a low level of passenger capacity to continue in the second quarter at around 25% of the level that we had in 2019. We expect to increase capacity quite strongly from the end of May. Vaccination rates have been a success in the U.K. You know that almost 70% of adults, they have received at least one dose, and 30% the complete package. U.S. has a similar rate. COVID infection rates have been declining in many of our main markets. Also, testing capabilities have been increasing, and digital apps are available so that passengers can demonstrate their certification of their vaccination and the testing results. This all mean that, from our point of view, air travel can restart safely at large scale from May, and it can be increased into the summer months. The U.K. government should reap the benefits of its success in managing the pandemic by opening up the country to meaningful air travel on May 17th. In particular, we hope that the U.S. is recognized by the U.K. as a green country, which the COVID and vaccination data supports as a first step towards establishing a travel corridor between the two countries from June. Finally, despite the pandemic, we remain committed to the future and our climate change goals. On Earth Day, on April 22nd, we made two further commitments. First, to powering 10% of our flights with Sustainable Aviation Fuel by 2030. Second, to extend our net zero emissions by 2050 commitment to also include the Scope 3 emissions of our supply chain in addition to our Scope 1 and Scope 2 emissions. Now Steve will give you the details of the first quarter. Thanks, Luis. Good morning, everybody. I'll take you through the key points now in relation to the quarter one results. Turning to slide five. This slide shows the quarter one pre-exceptional operating results. We've provided two comparatives this time around. Last year, 2020 Q1, and the last normal year, which is 2019 Q1, so a V2Y and a VLY. I don't intend to go through each line, but just highlight some key points. In terms of pre-exceptional operating loss of EUR 1,135,000,000 demonstrates the ongoing impact of the pandemic. The loss is a little lower than the previous quarter. In Q3, it was EUR 1.3 billion. In Q4, the loss was about EUR 60 million greater. The capacity in the quarter was 78% lower than 2020 and 80% lower than 2019, but it was in line with the guidance we'd provided to you at the year-end results at the end of February. In terms of passenger revenue, it fell 88.5% year-on-year, driven by the lower capacity and the combined impact of lower load factors, which were down nearly 31% year-on-year, and lower unit revenues, which were down nearly 50% at constant currency. Long haul continued to outperform the short-haul revenues, consistent with the trends that we saw in quarter four. Cargo continues to be a bright spot. Cargo revenue was EUR 350 million, which is a record first quarter for IAG Cargo and over EUR 100 million up year-on-year. Revenues were boosted by 1,306 cargo-only flights in the quarter. The revenue performance was also strong due to strong yields, which increased by 95% year-on-year. Actual volumes were down about 27%. It needs to be noted that cargo is playing an important role supporting the long-haul passenger network, where many flights could not be justified by the passenger demand alone. If we turn to costs fell 59% year-on-year as a result of cost-cutting efforts and the impact of the reduced capacity. Employee cost reductions of nearly 50% showed the effect of last year's restructuring programs together with the positive impact of the various employee furlough schemes across our businesses. These schemes account for approximately a third of the year-on-year reduction. Supplier costs decreased about 86% at constant currency, driven by the capacity reduction and also the numerous cost-saving initiatives in the group. In terms of depreciation, amortization, and impairment costs, these decreased due primarily to the reduction in the group's fleet. The in-service fleet reduced from 595 aircraft at the March 2020 to 531 aircraft at the end of March 2021. If we now move to slide six. We've talked about the pre-exceptional results. Let's talk about the exceptional items. In quarter one, there is an exceptional gain of EUR 67 million relating principally to the overhedged fuel position. I've explained the overhedged position in previous presentations. This writeback is driven by the increase in fuel prices in quarter one. To put another way, when the excess hedge positions that we have are mark-to-market with a higher fuel price, the overall loss is smaller. Given our experience of overhedging losses during the pandemic, we've been reviewing our hedging policy, and we've just approved with the board a revised policy. This revised policy is designed to give greater flexibility and to reduce the negative impact of our hedge book when there is a significant unexpected drop in demand or capacity and a material or sudden drop in fuel prices. We have set out the revised policy in the interim management statement that we've issued. It's on page six, but the key amendments are we've moved from a three-year rolling policy to a two-year rolling policy, and we've reduced the maximum levels up to 60% in the first 12 months and up to 30% in the second 12 months. We move now on to slide seven and look at how our different airlines are tackling different challenges and different headwinds. We don't typically use this slide in the first quarter, but we thought it was useful to show the differentiation of performance and challenges for each of the operating companies. In terms of Aer Lingus, Ireland at the moment has a uniquely stringent set of travel restrictions. In fact, Ireland probably has the most severe travel restrictions in the whole of Europe. As a consequence, Aer Lingus is flying 96% less capacity than 2019, and its results are the most challenged in the group. If you look at British Airways, the U.K. has also, during quarter one, suffered very severe travel restrictions. However, it has benefited significantly from its cargo flying, which has generated more revenue than the passenger business and also has supported the BA long-haul network. If I turn to Iberia, clearly the best financial performance in the quarter of any of our airlines. Iberia has been able to fly significantly higher capacity, reflecting less travel restrictions in Latin America and a stronger domestic market. Iberia has also benefited from its significant maintenance business and also its handling business. If you look at Vueling's business is very seasonal, hence, quarter one is always a loss-making quarter. In this quarter one, the loss was much lower than that that we've seen in the previous three quarters during the pandemic, where the operating loss has been about EUR 180 million. This improvement in the performance in Q1, largely driven by positive unit revenue due to very tight capacity provision and also some significant cost improvement as well. We turn now to slide eight, turn now to liquidity, which clearly has been a principal focus for us. During quarter one, we continued to strengthen our liquidity position. The quarter demonstrates that the group has good access and continuing access to capital markets. We finalized and drew down on the EUR 2.2 billion UK Export Finance facility. We successfully issued a new unsecured bond for EUR 1.2 billion. This was heavily oversubscribed. We were able to upsize it. We also introduced a new three-year revolving credit facility, which is available to British Airways, Iberia, and Aer Lingus. By the end of quarter one, we had EUR 10.5 billion of liquidity, which is higher than the pre-pandemic level of EUR 9.1 billion. That said, we will continue to focus on liquidity until the path to recovery becomes more certain. Whilst that outlook is uncertain, we do actually have flexibility. If we do recover faster than we are anticipating, we do have the ability to pay off debt with no penalties to quite a significant level. If we move now to Slide nine. This slide provides an update on the group's net debt position. Compared to the year-end position, net debt has increased EUR 1.8 billion. Three main drivers to this. Clearly, gross debt is up EUR 3.9 billion, which primarily relates to the UK Export Finance drawdown of EUR 2.2 billion and the issuance of the unsecured bond. Cash is up EUR 2.1 billion as a consequence of these funds coming in, less the cash used during the period. Finally, there are two non-cash items that are contributing to the increase in debt. There's the impact of $0.4 billion, which is effectively a foreign exchange difference where the dollar has strengthened. Also, there's EUR 0.2 billion of direct lease liabilities that we've added during the quarter. Moving now to the final financial slide, looking at the cash operating costs. We've shared this information with you before, but not quite in this format. Just a reminder on definition. We appreciate airlines are all defining cash burn in different ways. We use group gross operating cash costs because we think it's helpful in two ways. It doesn't just focus on P&L costs, but looks at all operating cash costs. It excludes any revenues or forward bookings, simply because we think those are so uncertain at the moment that to provide that as guidance, we think would be misrepresenting it. If we look at Q1, the normal operating environment in Q1, we would have expected a EUR 410 million per week operating cash burn. We guided you to EUR 185 million per week. The actual outcome has been somewhat below that at EUR 175 million. If we look at quarter two, we're now guiding you to EUR 200 million per week, which is a 55% reduction from a normal pre-COVID-19 flying program cost. As a reference, we are running a similar level of ASKs in Q2 as we did in Q4 of last year. In Q4 last year, our operating cash costs were EUR 215 million, and we're guiding you this time around to EUR 200 million. A couple of factors that are driving that cost higher than, say, Q1. Firstly, the obvious factor, which is capacity is higher in Q2 than Q1. Secondly, we are anticipating a decent summer season from July onwards, so we are anticipating there'll be increased selling costs during the quarter as a consequence of that. Those are the key highlights on the financial section, now I'll hand back to Luis. Thanks, Steve. We have shown this booking chart several times over the last year. I think the last time was the February 21st, the day before Prime Minister Boris Johnson revealed the U.K.'s plan to exit from lockdown. Since then, as you can see, bookings have been quite volatile. Initially, rising towards the end of February, and then settling back again by the end of March and rising again in April. Going into May, we would expect bookings to recover, assuming that governments are serious about opening up the tourism. There is plenty of evidence of a strong pent-up demand when and where travel is allowed, and in previous presentations, we have shown that this is happening in all the markets. Currently, for example in the Spanish domestic market, we are receiving the most bookings. We are more than 50% of the 2019 levels. As you can see, this is followed by the long haul at around 30% of the normal, if we consider normal 2019, and international short haul at around 25%. If the U.K. government indicates a meaningful number of countries on its green list, we will expect international short-haul and long-haul bookings to increase significantly from later this month. We can see in this slide, seat capacity last month by the major air travel flows compared to 2019. As Steve said before, Europe is the most restricted region in the world in terms of air travel. Intra-European travel is the most restricted intra-regional market, and you can see that we are at -73% of capacity compared to April 2019. Within Europe, Ireland, as we said before, and U.K. are the most restricted markets in terms of air travel. We see that other domestic markets, for example, China, they have 19% more seats now on sale than they have in April 2019. The U.S. domestic market, the largest market, domestic in the world, had seat capacity down by -27% in April. Intra-Latin America, for example, was down -39%. If we look also to other large market for us, the North Atlantic, seat capacity was down -77% in April, followed by the South Atlantic. You can see a range between the -60% and -70% less capacity. It's also true that U.S. border remains open for most countries, except for European countries. We are also calling for the ending of U.S. restrictions on travelers from Europe. Under the U.S. Presidential Section 212(f), Order of the Immigration and Nationality Act, Europeans are forbidden to enter in the U.S. because of the prevalence of COVID-19. The only other countries where the U.S. government applies this border closure are Brazil, China, India, Iran, and South Africa. In order to have a travel corridor between the U.K. and the U.S., this order needs to be rescinded. Our industry and the group, IAG, we are well prepared for a meaningful restart this summer. You can see that airlines and airports are operating to globally agreed health and operating protocols, and our aircraft have the safest and healthiest of any environment you can find. Testing infrastructure is extensive at most airports. Tests now can be done remotely at home or while traveling, and we have developed digital solution to demonstrate verification of vaccine and testing records. We also have aircraft fleet and crew readiness plan in place at each of our airlines. Governments in Europe and around the world have made good progress in dealing with the pandemic. We think that the U.K. has the lowest infection rate in Europe, as well as the highest vaccination rate for a major country. European governments and the EU have made significant developments in preparing for a restart of air travel, such as reopening roadmaps, traffic light system, COVID-19 digital certificates, and online passengers locator forms. We need further government actions. We now need governments to build on the good work they have done in dealing with the pandemic and preparing for a restart of air travel. In this slide, you have a long list of actions that we request of our governments. I'm not going through all of them, but I would like to highlight four of the most important actions that we require. We need travel corridors without restrictions between countries with successful vaccination roll-outs and effective testing, in particular between the U.K. and the U.S. Testing should replace quarantine and must be affordable, simple, and proportionate. Borders at the airports must be well-staffed and use contactless technology and electronic gates to ensure a safe, smooth flow of people and frictionless travel when the recovery comes. Finally, digital passes for testing and vaccinations documentation to facilitate international travel. Despite the pandemic, IAG remains focused on our long-term climate change commitment. IAG has always been a leader in this field. In October 2019, we were the first airline group worldwide to commit to achieve net zero carbon emissions by 2050, covering Scope 1 and Scope 2 emissions. Two weeks ago, on Earth Day, we extended our net zero commitment further by also including Scope 3 emissions. You know that Scope 3 emissions are those that are produced by our suppliers and partners and represent around 23% of our total emissions. As an interim measure on the way to 2050, we are also targeting a 20% reduction in Scope 3 emissions by 2030. IAG is also the first European airline group to commit to powering 10% of our flights with Sustainable Aviation Fuel by 2030. This new target is in addition to our existing target of 45 Sustainable Aviation Fuel by 2050. Sustainable Aviation Fuel produce 70% fewer carbon emissions than fossil fuel. We intend to purchase at least 1 million tons of Sustainable Aviation Fuel annually by 2030. To meet this target, we need also the U.K. government to set policy and incentives to enable construction of at least 14 Sustainable Aviation Fuel plants in seven locations in the U.K. Finally, the outlook, which remains uncertain. We operated only 20% of our normal capacity in the first quarter, as you saw before. For the second quarter, we currently plan a slight increase to 25% of 2019 levels, and would expect it to be higher than this as travel restrictions in the U.K. start to be relaxed from later this month. At this stage, because of this uncertainty, we cannot give capacity guidance for the rest of the year. We are confident that it will be a lot more meaningful in the second half than in the first half of the year once we know where people can fly and what level of travel restrictions will apply, especially in our home market. IAG is ready for a safe restart this summer, and governments have taken important first steps to improve health conditions and control the virus. As I said before, we need our governments to take further actions to enable a meaningful restart this summer. In particular, again, we need travel corridors where vaccination rates are high, such as between the U.K. and the U.S., affordable and simple testing to replace quarantines, well-staffed borders using contactless technology and electronic gates, and digital passes for testing and vaccination documentation to enable seamless international travel. As you can see, the industry is facing great challenges and change. The good news is that people want to fly. We are ready also to fly, and we will be ready to take advantage of the opportunities for profitable growth that we will have in the future. Thank you for your attention, and now we are available to answer all your questions. Thank you. As a reminder, to ask a question, you will need to press star one on your telephone keypad. To ensure everyone has the opportunity to ask a question today, please limit yourself to just two questions. Please also ensure that you are close to your microphone and not on loudspeaker. This will help with ensuring that your audio is clear and that your question is understood. Thank you. Our first question for today is from Daniel Roeska from Bernstein. Please go ahead. Your line's open. Good morning, gentlemen. While you and I think all of us are waiting to travel again, and for traffic to return, I'd like to touch on maybe two more strategic questions. The first one on short haul. If we're assuming that long haul travel will return a little bit slower, and business travel will return a little bit slower, isn't there a risk in short haul of some overcapacity? I think the question is, if connecting passengers and business travelers are not as abundant on short haul, where do you think your cost position can be? Maybe focusing on short haul, do you think you can reduce your short-haul cost position, especially at the network airlines, below where it was pre-pandemic? Secondly, could you talk a little bit about distribution? You didn't touch on it right now, what are the next steps that will be enabled by the direct distribution? Can you give us the next three or four major milestones, in your direct distribution strategy? Thanks. I think about the first question about the short haul. It is true what you say that we see that the recovery of the short haul is going to be earlier. I think, for example, if you see the Vueling plan for this summer, they are ready to fly almost 100% of the capacity that they had in 2019. Demand is there. When we don't have restrictions, we can fly. I think, as you say, in our hubs, we are adjusting also our network to try to have the feed necessary, when we can fly to the long-haul destinations. I think in the short haul, we have much more flexibility that we can have in the long haul. I don't know, Sean, you want to add anything to that? Yeah, I think we've been adapting. If you look at British Airways, there's been a lot of structural change initiated. The airline is leaner and smaller and has fleet flexibility to align capacity with demand. There's also structural cost efficiencies, which are going to come through and make us competitive. I think we have agility, but we're also more competitive coming out of the pandemic as a result of the restructuring that was undertaken last year. If we're thinking on cost, if you think about your short-haul cabin on BA specifically, we're going to a period of time where you'll have fewer connecting travelers on that short haul and fewer business travelers on that short haul. I think the underlying question is, will the cost reduction be enough to deal with the yield dilution? I think, there's a couple of dimensions here about the kind of markets we serve. Number one, you're right, business travel is important to us. We do see pent-up demand for business travel and frustration with things like Teams meetings and Zoom calls. That's beginning to scale as we look at surveys and look at our corporate intelligence. I think secondly, I wouldn't underestimate the relevance that we have built up in the leisure segment. If you look at the BA short-haul network, it's been pivoting to much more relevance out of all of our airports to leisure, and we've been very dynamic in planning our capacity. The third thing is we do have flexible configurations, so we can actually reconfigure our aircraft on short haul to have a variety of business and economy configurations, because of the way we have set up our aircraft structures. The fourth thing which we have is a very strong BA Holidays business, which has grown 15-fold over the last 10 years. We've got a lot of overlap between people who fly from our Executive Club base and people who use our BA Holidays business. I think we're well able to offer products, not just airfares, but package products. We're very flexible in adapting to leisure demand as it emerges in VFR demand. Okay. On your second question about the distribution, I think in the last results presentation, we announced also the agreement that we reached with Amadeus. I think that's part of our strategy, first of all, to reduce our distribution cost, and also to have a better customized proposal for our customers. In the plan that we are developing for the different airlines, I think we explained that to have additional price points and dynamic pricing is going to be key, and to develop also the ancillary revenue. I think the future is to be more efficient, more efficient in the part of the cost, but also, as I said, to make dynamic personalized offers. That's something we are working on. I think we are at a good speed in order to achieve that. Okay, thanks. Our next question is from Savanthi Syth from Raymond James. Please go ahead. Hey, good morning, everybody. Just first question from me. As markets open up, assuming demand supports it, up to what level of 2019 capacity do you think you can ramp up based on what your current staffing and other potential limitations might be? Just a slightly different line along with what Daniel asked. On a bit more of a medium and longer-term basis, if you look at your fleet retirements and configurations of the fleets that are coming in, and some of the costs that you are taking out. How much of a loss of that business premium traffic can the model handle and still generate pre-crisis low double-digit margins? I'm referring to business because I'm guessing that premium leisure will bounce back pretty well. Just a little bit term, not necessarily thinking about short-term, but how much of that business demand could you lose and still be profitable given the changes in the system? Okay. Thank you. I think about the first question, as I explained before, we have a lot of uncertainty about the future. In the same way, we have a lot of flexibility. At the group level, we can operate between 70% and 75% of 2019 capacity in the third quarter, and we could operate between 80% and 85% in the fourth quarter. It's true that we can have a little more flexibility on Iberia and Vueling. Iberia, for example, they can reach 80% in the third quarter and 90% in fourth quarter. Vueling, as I said before, they can reach 100% in third quarter and fourth quarter. The main reason for that is because the Spanish furloughed program, what we call ERTE, it works in a different way. The people that we have in the ERTE, the major part of them, they maintain the recent experience, and they are ready to fly. It's true also that we have reduced the capacity in both companies in Iberia and BA, sorry. In Iberia, for example, with the retirement of 15 A340-600 a year ago, and also in BA with a 747. That is connected to your second question, that is how do we see the future? For example, the retirement of the 747 implies a reduction of -24% seats if we compare with the situation that we had previously. With a mix of -33% in premium and -22% in non-premium. We are reducing the premium seats that we have. What we are doing is to have a flexible model for the future. I think the configuration of the aircraft is going to be key. The premium economy class is working very well, and we consider that, as Steve said before also, we are going to be smaller, and we need to be leaner, and we still don't know how it's going to be the behavior of the customer. What we need to be is more flexible. I think we have the flexibility with the different fleets that we have to adapt ourselves to the demand that we can have in the future. One important thing that we repeat in every results presentation also is that, for us, corporate travel is only, I would say, 13% of our revenues. That's important. Just a clarification. Was that the 33% reduction in premium seats, is that overall system versus pre-crisis? Let me pick up on that. What's interesting to us is when we look at the corporate sales position, our working assumption is there'll be a 15% diminution in that based on the COVID experience and people wanting to use Teams and Zoom rather than get on an aircraft. Our working hypothesis is about 15%, and we've seen lots of surveys that seem to support that kind of quantum. If we look at the way the fleet will progress by about 2023, say, if you look at British Airways, due to the taking out of the 747s, which are very high premium, we think actually that the premium seats will reduce by a similar percentage. There's quite an elegant match between that reduction and the change in seat configuration. That's a combination of a much bigger reduction in first, because we were already going through a process of reducing the size of the first cabin and a reduction in economy due to taking out the 747s and the fact that we're going to a less dense seat. We think there's quite a match between those two. The other factor that we would stress on this is premium leisure. We've got a good history of driving premium leisure. In 2016, when British Airways corporate demand was low, we were able to backfill that with premium leisure sales. As Sean has highlighted earlier this morning, BA Holidays is a very powerful vehicle for us to drive premium leisure as well. I know that team there are looking at ways as how do you combine the BA Holidays proposition with the loyalty proposition as well. We're very confident that due to the way our fleet's reconfigured and also what we can do on premium leisure, this shouldn't cause us a problem. Takes us all the way back to the point where we're very confident we can get back to operating margins in the 12%-15% range in 2023, 2024, assuming we get up to the kinds of capacity levels that we saw around 2019 and pre-COVID. That's all very helpful. Thank you. Thank you. Our next question is from James Hollins from Exane BNP Paribas. Please go ahead. Morning. Two for me, please. The first is on an update on Air Europa, please. Just wondering if you can give any detail on how negotiations are. I think you're speaking to the Spanish government, maybe the EU as well. Secondly, thank you in advance for being at our Sustainable Aviation Conference next week. On that note, just on Sustainable Aviation Fuel, this 10% of flights by 2030. Wondering if you could maybe give some detail on how you build up till then, is it we have nothing until 2030 and hope the costs of SAF are much lower by then. Thanks. About the first question, Air Europa. I can say that the operation continue according to the plan. I think we continue talking with th0e Spanish government and with the SEPI on one hand, and in the other hand, we continue working with the European competition authorities. About the second question, I think you know that we have a commitment of net zero emissions in 2050, and what we are defining are middle points to arrive there. That doesn't mean that we don't do anything in the middle. Precisely to arrive to those points, we need to continue with the development of the different initiatives. For example, you know that we continue investing in the new fleet, and we continue with the delivery of the new generation aircraft that they help a lot in the reduction of the consumption of fuel. We are increasing the percentage of Sustainable Aviation Fuel that we are using. The problem that we have there is that aircraft are prepared to fly with more Sustainable Aviation Fuel, but we need availability of Sustainable Aviation Fuel, and also we need to have a competitive price. That's the reason we are saying that we need also the commitment from the government to develop additional plans because otherwise it's impossible. I think we need investment and also we have explained several times that for example we need innovation. We need initiatives for carbon capture and storage development. We also need that investment for the aircraft of the future. One thing that we have repeated several times also is that it's time to go ahead with a Single European Sky. It's something that can reduce, I would say quickly, the emissions around 10%. I think all these are things that are happening, and it's not that in 2030, that year, we are going to have 10% of Sustainable Aviation Fuel. It's a process. We are doing every day a little. That's very interesting. Thanks. Just following up on that. I think the German government yesterday or recently announced it was putting EUR 1 billion into the development of sustainable fuel. I was wondering if you were seeing any signs of any sort of investment by, I guess particularly Spanish and U.K. governments on something similar. No, the key things we've been involved with as IAG has been to invest in Sustainable Aviation Fuel production through Velocys and- LanzaJet LanzaJet, t hose are the two areas we've been investing ourselves. We have lobbied the U.K. government a fair bit. I'm sure Sean's got views on that. We're still calling on them to further support the increased production of SAF fuels. I think the last time we looked at it, we were saying the U.K. would probably need something like 14 production plants in the U.K. to be able to produce enough Sustainable Aviation Fuel to support a 10% target that we're having for 2030. As Luis said, there's no one silver bullet for this. We're looking at this from four or five angles. What we do on fleets, what's done with air traffic control and operating activities to be more efficient. Also what can be done to produce more Sustainable Aviation Fuel in a price competitive way. Just to add to that. We are very active in the Jet Zero Council, and Sustainable Aviation Fuel is very much in the sights of the Jet Zero Council here in the U.K. We need match funding to build plants from the government. The demand is there because you see airlines coming out and actually committing to proportions of fuel, which will be driven by SAF. We also need the market structures in terms of price certainty, which I think policy should support as well. I think there is a huge amount of engagement in SAF in the U.K., but that needs to convert into commitment. That's great. Thanks very much. Our next question is from Stephen Furlong from Davy Stockbrokers. Please go ahead. Morning, gentlemen. Maybe for Steve, just one clarification first. I know you don't talk about the balance sheet in the Q1, and maybe it's just more accounting thing, but I assume with the losses in Q1 and Q2, the equity goes negative. Is that something that is of concern or basically it's not cash related? Just wanted to ask that. Second point then, assuming you get back to 2019 levels of capacity in, say, 2023, would you be confident that unit cost levels will be lower? I'm just thinking more about any cost pressures, like an airport charge at, say, Heathrow, or I see Aena are talking about proposals to increase user charges across its airports. Thanks very much. On the first question, you're absolutely right, Stephen. We do anticipate that as a group, we'll go into negative equity probably during the middle of the year. From a group perspective, that doesn't really have any ramifications. At an IAG, so the parent company level, we would expect equity to stay positive. Where it does have some ramifications is there are equity tests in Spain under Spanish regulations, and for Iberia and Vueling, we would expect to do some degree of equity restoration as a consequence of not meeting some of those targets. There's alleviation from those tests at the moment. If we needed to do some work to put some further equity into those two businesses, we wouldn't need to do it until February 2022. We're comfortable with the modeling that we've got the capability and the ability to do it. It's a good question. From everything we're seeing at the moment, we're in good shape. We wouldn't need any new equity at the parent level. This would just be down at the operating company level. With regards to your second question, in terms of 2023 unit cost levels, we're confident that they will be lower than they were 2019. As you say, based on the premise that capacity is back at sort of 2019 levels. All the modeling we've done suggests that that's the case. We are very aware that there are inflationary pressures as well as the initiatives that we have. As you rightly mentioned, some of the airports and some of the handlers are also going to be looking to recover the positions that they've suffered during COVID-19. One of the things I would reassure you is, Luis has built the management committee, put a Chief Transformation Officer, we've got a new Director of Strategy. Whilst we're dealing with the short-term challenges of COVID-19, we're also at the same time planning what 2023 and 2024 looks like. There's a lot of work going on there in terms of what are the right transformation initiatives and what can we do to reach our full potential. We're confident we'll get back to 12%-15% operating margin. If anything, Luis is pushing us all for more than that. We're comfortable with the unit cost performance. Great. Thank you, Steve. Our next question is from Jarrod Castle from UBS. Please go ahead. Thank you. Good morning, everyone. Firstly, any views on families traveling with young children, given at the moment they can't be vaccinated? Seems like there's a bit of progress there, though, but at the moment. Also, those traveling who need to undertake testing because they haven't been vaccinated, i.e., views on your ability to recover traffic. Secondly, we're obviously going to get some clarity from the U.K. government. We've heard the announcement about the green passports from the EU. Specifically, where do things currently stand as you see them in Spain and Ireland looking out towards summer? Thanks. Okay. I think that for your first question about the testing and the vaccines on the families, I think we are constantly analyzing what the customer wants. I think what we are defending is that vaccination plus testing is the future. I think the people that they are fully vaccinated, they don't need to have any restriction to fly. We know that not everybody can be fully vaccinated. We consider that affordable testing and easy testing is required to fly. When you talk about families, we consider that now the solution is testing. You can have part of the family vaccinated, you can have children, okay, but testing can be required for the people that they are not vaccinated, and that is enough because what we have seen is that, with the data that we have, testing is better than quarantine. At the end, quarantines is not the solution. In some way, you rely on people staying at home, but you don't have any evidence that this is happening. What we see in general is that people is excited with the possibility to fly. In the surveys we are doing, 60% of the people in U.K., they want to fly, and they want to go on holiday this summer. That's something that, as I said before, we have that pent-up demand, and we are ready to fly. About the second question was? Spain and Ireland restrictions. Okay. Spain and Ireland restrictions. Spain, the state of alarm will finish the May 9th. From that moment, we hope that everything is going to be easier. We know that the Spanish government is working hard to have tourism during this summer. It's key for the economy of the country. We hope that at least part of the destinations in Spain can be also in the green list that we are going to have soon. About Ireland, the situation, as Steve explained before, I would say it cannot be worse. To be honest, we cannot fly. We are in a situation that we are considering what are the necessary steps we need to take there in order to survive, to be honest. I don't know, Javier, Marco, you can maybe give further information about Spain, and Lynne about Ireland. Hi, Javier here. As you said, the 9th of this month is when the state of alarm will end. We are expecting, and we are urging our government also to actually restore the back to normal. No restrictions to fly among the different regions in Spain. If we think about what you were saying before and the map that you shared before, when we look to Europe and to the traffic into Europe, the capacity is reduced by 73%. It's the, let's say, the worst region in the world in terms of capacity. That's a reflection on the number of different constraints and restrictions that we have among the different countries. This needs to change because it's nonsense that Europe is the region with more restrictions that we have nowadays. With the vaccination, the progress on the vaccination processes and also the tests, the situation needs to be restored to the previous one, and ease the way of traveling. Lynne. Hi, it's Lynne here. Firstly on your question of families, I can't believe the government would be able to sustain a policy where families are split up. I'm confident that that will get resolved. On the Ireland situation, without a doubt, the Irish government are taking a way more cautious approach than any of the other governments, particularly in Europe. Their recent actions, such as putting the USA onto the mandatory hotel quarantine list, has devastated the ability to sustain flying. We do have an aviation restart plan that is sponsored by the airlines and all of the stakeholders. We've worked closely with government on that. We are in dialogue with the government about what needs to happen. Opening up the common travel area between the U.K. and Ireland is an obvious first step, which we believe is very low risk. Adopting the EU traffic light system and the Digital Green Certificate is an obvious step they can take. Therefore, we believe there is a safe path, and we're in dialogue to try and encourage that because, as you know, the summer is more important than the winter from an aviation perspective. The summer months are still to play for, and we're encouraging the Irish government not to be as cautious, if they're going to give us any support. Okay. Thanks very much. Our next question for today is from Neil Glynn from Credit Suisse. Please go ahead. Good morning, everybody. Just that firstly, just as we, I guess, await the update from the U.K. and anticipate some kind of a step up in forward bookings. If you look at the percentages of forward bookings that you outlined earlier, if I look at 25%-30% of third quarter revenues pre the pandemic, that might suggest the possibility of around EUR 2 billion of cash to come in the door at some point over the next few months. Without getting too ahead of myself, I just wanted to understand, Steve, your thinking on decision making on whatever level of incoming cash flows might come in. Your liquidity position certainly seems fine. It's higher than pre-pandemic, but the debt clearly will eventually be repaid. What kind of cash flow position do you think about to start actually repaying that debt? Any guidance on what are the top priorities for debt repayment when the time is eventually right would be helpful. A second question. At the full year, you mentioned, maybe this for Luis or for Sean, but at the full year, there was mention of OEM negotiations continuing. I wonder, as large domestic markets rebound, how are those discussions advancing? I assume they're somewhat influenced by traffic restarting. Can you give us any latest guidance on fleet planning and CapEx for 2022 or 2023, to the extent you can now? Hi, Neil. I think somehow you've managed to put about 10 questions into two questions there, which is quite impressive. If I deal with the first one with regards to forward bookings, cash coming in, liquidity, and what's your priority to delever. In terms of that, you're absolutely right. We're assuming that there will be a decent summer of flying. Clearly, it's going to be more Q3 than Q2, and it's probably a little bit later than we were hoping for, but we're still confident that we'll get a decent summer of flying in. Clearly, if that does come through with green list announcements, et cetera, the first list and maybe the subsequent list, we would expect to then see an inflow of cash through forward bookings late Q2 and going into Q3. That would be our expectation. Clearly, if you get into Q3 then, and you are having a significant summer, then clearly that will help from an EBITDA perspective as well. You're right. If that sort of base case prevails, we would start to see the liquidity position enhanced to some degree. Clearly, there's such a wide variety of potential outcomes at the moment that, as I said earlier, we're still focusing heavily on maintaining and optimizing our liquidity. We continue to look at other ways as to how we could bolster that if we thought that was appropriate. It does raise the point, and I did allude to this when I was presenting the slides. We are mindful to the fact that there could be a situation, and it would be a lovely problem to have, that maybe in a few months' time, maybe you're sitting there saying, "Well, we've got more liquidity than we need." That would be a lovely problem to have. The point I was making earlier is we've got quite a lot of flexibility. With a lot of the debt instruments that we've taken out, we can repay those early without cost. We've got a number of different ways we could go. I think what we'd have to do is judge that when we get to that situation, because it'll depend what the situation is for each of the different operating companies. As we've highlighted in this presentation, the challenges faced by each of the operating companies is very different. The challenge for Aer Lingus at the moment is very different to the challenge facing BA when you look to the future. We've got lots of flexibility. Clearly, some of the things we'd like to do is remove some of the debt that has restrictions to it, whether those are dividend restrictions or other things. Really, we'll make those judgments, and we'll discuss that with the board when we get to that, what I hope would be nice dilemma in a few months' time. Yes. The second question was about the fleet. I think the quick answer is no. We haven't changed our aircraft deliveries. We maintain what we told you before. We maintain the CapEx that we explained in February. We are going to have 15 new aircraft deliveries, including nine aircraft that were delayed from 2020. For 2022, in principle, we have only explained that we will not have more than 29 deliveries additional. Great. Thank you. Your next question today is from Andrew Lobbenberg, from HSBC. Please go ahead. Oh, hi there. You've spoken quite a bit about the hopes and aspirations of the U.S.-U.K. travel corridor, but you've been rather more circumspect about the EU-U.S. What are your expectations or ambitions for that reopening, I guess, particularly relevant to Aer Lingus and to a lesser degree, to Iberia? Can I ask what your expectations are around the slot rules for the winter 2021, 2022? In that context, how you think about managing the Gatwick environment depending on the potential different outcomes of what if normal 80/20 rules are reintroduced. Thank you. Okay. Thank you. I think about the first question, we said that U.K., U.S. market, a part that is important, as you say, very important for us is also because we consider that with the scientific data that we have, it's a corridor that must be open. I think the vaccination rate in U.S. is similar to U.K. It's true that, in U.S., there is a relatively, I would say, high infection rate. I think 196 new cases per million, if you compare with around 40 that we have in the U.K. I think that it's very important to include the U.S. in the green list. I said before, that is not only a question to include in the green list, we also need action from the other side. We hope that in June, we can be flying that market that, as you say, is key for us. About the slots, also, we hope that we are going to have an alleviation for the following season. I think it makes a lot of sense. Also link, we say always to the sustainability issues. I think it doesn't make sense that the airlines, we are flying empty to try to maintain a slot where we are trying, in some way, to reduce the CO2 emission. I am sure that we are going to continue with the alleviation. In Gatwick Sorry? Sorry. I was going to come back. The question about the transatlantic, I was actually asking about the EU to U.S. rather than the U.K. to the U.S. Okay. EU to U.S. I think we've had good news also last week, and EU said that they are ready to open the market to U.S. citizens that they are vaccinated. I think that's a very good step. We hope that market is going to be open also in the second half. Thanks. Sorry for interrupting you. You were just going to say something about Gatwick. Sorry about that. Okay. No, I was going to say that Gatwick is an important decision that we need to take as a group. It's true that we have the issue with the slots, but for us, Gatwick has a strategic value. We need to be competitive there. This crisis is going to change the profile, I would say, of the demand, and we need to be flexible and competitive there. We're analyzing the different options that we can have in Gatwick, and we will explain to you when we take a decision. I don't know, Sean, if you want to add anything else. Well, I think, as Luis said, we got to figure out a number of things first as well. One is, as you say, the slot rules. That's undergoing consultation, it's probably a couple of months before we get clarity. Secondly, it's fundamentally market access going forward. The green list today is a start. Those variables will be at play as we look into the winter. At the minute, we're operating our short-haul services out of Heathrow. That will carry on for the foreseeable. Okay, thanks. Thank you. Our next question is from Johannes Braun from Stifel. Please go ahead. Yes, thanks for taking my questions also too, obviously. How will you react to JetBlue starting transatlantic flights to and from Heathrow this autumn? For example, would there be need for some reaction from a product perspective? How would you see JetBlue competition compared with the Norwegian competition that you used to have? Second question, could you remind us of the various partial activity and furlough schemes in the various countries you operate, especially when they all end, and what that means for the development of labor costs? Okay. About the first question about JetBlue. I think there are two things about that. First of all, you know that we have a good relationship with JetBlue, for example, with Aer Lingus, we are working very well a long time ago. You know also that they are developing the relationship with American Airlines, that is our partner in the joint business. We have a lot of things to work together. That's something we are exploring now. It's true also that they are going to start flying North Atlantic with the narrow-body aircraft. I think it's going to be an interesting product. We have also that opportunity, and Aer Lingus, they are flying also the A321LR. It's an opportunity that we have now with, for example, the new flights that we are expecting from Manchester. I think with that type of aircraft, is an area that we can develop in the group. Maybe, Sean, you can add something, your vision from British Airways. Well, I think you mentioned product, we are continuing to reembody and take delivery of aircraft with a brand new Club World Suite. We're absolutely delighted with the feedback we're getting on people's experience of that business class product. I think that will make us very differentiated as we look ahead in the business class segment. I think that the way we'll compete with all the carriers in the North Atlantic is a combination of schedule, product, service, and loyalty. I'm very confident that we'll be able to compete very effectively through all those levers going forward. Yeah, Aer Lingus launched the A321LR. I think that's going to be replacing a lot of the narrow body missions the 757 used to do. It's new in one respect in that it's a new variant, but we have seen narrow body operations before that we've competed against. Okay. About your second question about the different furlough schemes that we have in the different countries. As a summary, in Spain, it will finish in May. Javier and Marco now can talk about that. We hope it's going to be extended. This crisis is taking longer than everybody expected, so we require, and we need the help from the different governments. In Ireland, now it will finish in June. Now Lynne can explain where we are. U.K. in September. Maybe Lynne, you can explain where. Yeah. As Luis said, the current scheme formally ends in June, but I fully expect the government will extend it. We've been in dialogue, and they know the situation we're in. I'd be very surprised if they didn't extend that from now. Okay. Javier, Marco, how about Spain? With regard to Spain, indeed, the May 31st is when the current ERTE for fuerza mayor terminates. The expectation is that it would be extended until the end of September. Would the conditions remain the same, we definitely intend to also extend it as it is the ideal instrument to have flexible labor costs in relation to the level of activity. Maybe I can also comment with regard to the Norwegian element. Of course, the retrenchment of Norwegian is generating opportunities in particular for Vueling in terms of the flows between the Nordic areas and Spain. In this respect, we have launched recently nine-year routes, some of them to Barcelona, some of them to other bases in Spain, as these represent opportunities for us to develop those relevant markets. Okay. Thank you. That's very helpful. Our next question today is from Gerald Khoo from Liberum. Please go ahead. Morning, all. Thanks very much. Two from me. Firstly, on cargo, clearly a very strong performance in Q1, but supported by the lack of passenger capacity, lack of belly hold capacity. At what level of passenger capacity versus 2019 did cargo yield starts come under pressure again? Secondly, on the balance sheet, I think you flagged that you repaid the U.K. CCFF loan in April. Can you just remind us what other maturities of facilities there are through the rest of this year, please? About the first one, I think, Steve, you can answer the second one. About cargo. It's a very good question, and you know that the performance of cargo is very good, and in some cases, or in a lot of cases, is supporting the operations. What we think is, we have two effects there. One is that we have a specific need of cargo linked to the pandemic, that they are there. We don't know how much of that will be in the future. Also, as we have less aircraft flying, the capacity available is lower, and as a consequence of that, the yields are higher. As soon as the people are increasing capacity, we consider that this advantage in yields can be reduced. That, from our point of view, this can take minimum two, three years, and also assuming that everybody's going to be there in the future. We are going to have very weak companies with a lot of debt that they need to repay that balance that they have. We consider that part of that can be there in the future. Steve, the second one? Thanks, Luis. Hi, Gerald. In terms of your question, what might be helpful is if you go back and look at the IR deck for the year-end results. We put, actually, a debt repayment schedule in there. What that showed for 2021 is that we would be paying back about EUR 400 million of debt in 2021, and the vast bulk of that, all but about EUR 60 million of it related to the CCFF. To answer your question directly, there's not really any left that needs to be repaid in 2021. Just sort of going beyond that, the next significant repayment would be in 2022, which would be the convertible that matures in, I think it's November 2022, for about EUR 500 million. The debt maturity burden 2021, 2022 is relatively modest, to be frank. I think the good thing of this group is we have a lot of talent moving around the group. We have Lynne today, that until the April 6th, she was in cargo. If she would like to add something about. Just coming back to your question on the yields and the trajectory in cargo. As you've seen in the results, IAG Cargo has been able to take advantage of the high yields in the market, more than doubling at constant currency. The disadvantage that IAG Cargo has is Without freighters, without much passenger flying. To take advantage of that in any term, it's got to get the aircraft up in the air, and cargo is therefore incurring costs of putting effectively empty passenger aircraft and full belly up in the air. Even as the yields fall, that will happen as more passenger aircraft come up, and that means that cargo no longer have to sustain empty cabin aircraft, and so the costs will come down. In a way, there's a kind of natural hedge between as the yields come down, the costs will come down as well for cargo. We do believe that it will be a relatively strong market environment for cargo for some time. We're actually looking forward to the capacity coming back in. We see that as a good thing for cargo. Okay. Thanks very much. Our next question is from Alex Paterson from Peel Hunt. Please go ahead. Morning, everybody. Can I ask two questions, please? Firstly, just can you say a little bit around the exceptional cash flows this year, what should we expect for hedge gains? Is there anything we should put in for restructuring? Secondly, I see the CAA is reviewing customer deposits for ATOL protected holidays from the U.K. If they could no longer be used for corporate purposes, could you just say how much you would be exposed in that and how you would replace that capital? Thank you. Okay. Alex, on the first question in terms of exceptionals, the fuel price has been relatively flat and stable over the last couple of months. Clearly, it moved up, I think about 10%. I'm doing this off memory. It was somewhere in the region of EUR 450 jet at the year-end, and it's over EUR 500 now currently and has been relatively stable. There was a small gain in Q1 because we had to re-market the overage position. I'm not expecting there to be, unless there's a very volatile fuel price, I'm not expecting there to be significant exceptional items as a consequence of the over-hedging positions on fuel. In terms of restructuring costs, we don't currently have significant restructuring costs built into our models at the moment. I think it will, God willing, be a relatively quiet year from an exceptional perspective to answer your question. With regards to the ATOL question, I think you've got us on that one, so we'll come back to you on that one. There's a lot of faces looking at each other going, "Yeah, that was a good question." We don't know the answer to that, so we'll come back to you. Thank you very much indeed. Thank you. Our next question is from Jaime Rowbotham from Deutsche Bank. Please go ahead. Morning, everyone, and thanks for the detailed update. I just wanted to ask a couple of fleet-related questions. Firstly, Luis, you mentioned taking advantage of opportunities for profitable growth and Vueling being ready to fly, and Javier just mentioned specific opportunities for Vueling linked to the retrenchment of Norwegian. Some of the ultra-low-cost carriers with Ryanair have been taking deliveries of new aircraft throughout the crisis or planning to increase their fleets as we come out of it. They see clearly lots of opportunities. Just wondered whether Vueling has any specific plans or aspirations against that backdrop and how many of the narrow bodies you have on order might be destined for Vueling. Then a quick one on the A380. A couple of weeks ago, another carrier actually had announced a plan, I think, to end A380 operations. I just wondered what your latest thoughts are as one of the few remaining potential operators of that aircraft and in terms of the opening up your hope for a travel corridor with the U.S. from June. Can you see a scenario in which you might think about bringing those 12 aircraft out of storage later in the year? Thanks. About your first question. Yes, it is something we are reviewing at a group level. We know the necessities of fleet that we have for the future. We have different scenarios of growth. As you know, there is a lot of uncertainty. That's something we are analyzing, the size of the fleet that we are going to require and when is the right time to approach the market. We are analyzing that. We are analyzing our narrow-body fleet, and Vueling is included in that for sure. Also we are analyzing the long-haul fleet for the future. Yes, I think it's a window of opportunity that we are analyzing. As soon as we decide something, we will come back to you. About the A380s, Sean Doyle can give you further details. We have explained several times that A380 is an aircraft that works very well for BA in several destinations, and I think part of those destinations are in the East Coast of the U.S., and it is going to be useful to have them. Sean, please. Yeah, I think the context as well is that we've retired 31 747s. When you look at our overall long-haul fleet, the A380 is part of it going forward. It's not operating at the moment, but when we would see a recovery later in the year, that would be part of those plans. It's a very effective aircraft in a slot-constrained airport like Heathrow because it does give you optimal capacity deployment, and it works in markets like Hong Kong and Singapore, but it's also worked very well in places like Chicago, Boston, Washington, and Miami. We've demonstrated its mission capability across various ranges and parts of our network. I think I'd just add one further point. We have continued to take aircraft deliveries during the course of the pandemic. We took 29 new aircraft during 2020. We're anticipating taking 15 new aircraft this year. As we indicated at the full year results, we would not expect to take more deliveries than 2020, but we would still expect to take significant deliveries in 2022 as well. We think continuing to upgrade the fleet, particularly given our carbon commitments and our need for fuel efficiency, has been the right move. Super, thanks. Our final question for today is from Carolina Dores from Morgan Stanley. Please go ahead. Hello, good morning, everyone. Two questions. I guess if you've spoken about affordable testing for COVID, would you be willing to take part of this cost if it would help increase demand? My second question is, assuming you are able to reach 70% of capacity in the third quarter, how much of the $200 million cash cost that you expect for the second quarter will need to increase to match the increasing capacity? Thank you. Yeah. Sorry, because I didn't understand very well your first question. It's about the affordable test. Sorry, can you repeat that? Yeah. Would you contribute with part of the cost of the test to help passenger demand? Our point of view is that, in the same way vaccines are free for the population, I think tests must be free for the population. I think that, if they are not free, they need to be at least affordable and quick. We have several initiatives in the different operators to try to help. Now, for example, BA, you have reached an agreement for GBP 33, if I remember well. Yeah, we have rapid antigen tests, which are very affordable. We've also got agreements on PCR tests, which are now GBP 45. I think the cost of PCR testing for amber corridor travel has come down dramatically, and we'd hope to drive that down further. I think when it comes to testing as well, I think the green corridor should revert to free lateral flow testing. That is a very effective solution for travel, and it also removes the affordability issue. Carolina, in regards to your second question, we're not giving cash burn guidance for Q3. We are sympathetic to the fact that the amount of guidance we've been able to give you over the last 12 months is relatively modest due to the uncertainty. The 70% maximum capacity that we can get up to in Q3 doesn't give you all the information we would need to be able to give you good cash burn guidance. We'd need to know where we were flying that capacity. We'd need to be confident as to when the restrictions were unlocked and hence how quickly the cash could come in. There's a number of different factors that prevent us giving you an answer to that question. I do have a sympathy that you're trying to put your models together, and we can't give you as much guidance as would be helpful. Apologies for that. Okay. Thank you. There are no further questions at this time. I'll now hand back to the speakers for closing comments. Thank you. Okay. Thank you, everybody, for this call. As I said last time, and I hope this time can be true, I hope the next results presentation, we can do it seeing all of you. That's what we want. I think we have the conditions to do that, and I hope we can fly a lot more during this summer. Thank you very much.