New Zealand’s flag carrier Air New Zealand has come out and warned investors of a possible loss amounting to NZ$120 million (US$77.2 million) for the financial year of 2020 ending on June 30, 2020.

The carrier has started slowly resuming their domestic services since the recent government’s decision to move to Alert Level 1, enabling Air New Zealand to operate domestic routes. Still, the airline predicts that revenue and earnings will be significantly lower than expected prior to the outbreak of COVID-19.

The company has also said that it would also have to pay NZ$13 million in “reorganization costs”, NZ$46 million non-cash charge for “disestablishment of fair value hedges” and up to NZ$450 million in aircraft impairment charges.