For imperiled airlines, it keeps getting worse

The outbreak of the coronavirus has dealt a shock to the global economy with unprecedented speed. Following are developments Monday related to the global economy, the work place and the spread of the virus.

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BUFFETTED: Air travel has come to almost a complete standstill and industry executives believe the industry could shrink. The situation continues to worsen.

— Billionaire Warren Buffet said over the weekend that he had unloaded his company's entire stake in major U.S. airlines, believing he was mistaken in his valuation of the carriers. Shares of American, Delta and United Continental plunged between 13% and 14% Monday. Southwest slid 9%.

— Shareholders of the low-cost carrier Norwegian Air Shuttle approved a plan to rescue the company by swapping debt for equity so that it might access some of the government’s guarantees worth 3 billion kroner ($290 million).

The carrier has already laid off 90% of its workforce.

— The European Union approved 7 billion euros ($7.6 billion) in loans and guarantees that the French state is providing to Air France.

Air France will get 3 billion euros ($3.28 billion) in direct loans from the French state and a 4 billion euro ($4.37 billion) bank loan guaranteed by the state, the airline said in a statement.

GOVERNMENTS & CENTRAL BANKS: Countries continue to navigate an economic disruption unprecedented in our time.

— Hong Kong’s economy shrank by 8.9% in the first quarter when compared with a year ago, its worst performance since quarterly reporting began in 1974.

Exports fell 9.7% from a year earlier, , the government announced Monday. Exports of services plunged 37.8% and consumer spending declined 10.2%.

— An estimated 1.5 million South Africans had returned to work by Monday, as the...