Cathay Pacific clears about $38 million payment dues on preference share dividends

(Reuters) -Cathay Pacific Airways said on Wednesday it has paid a dividend of HK$292.5 million ($37.4 million) due on preference shares on Aug. 14 and said it expects strong travel demand to remain this month.

The airline had, in June, said it would pay the deferred dividend of HK$1.5 billion on the preference shares held by the Hong Kong SAR (HKSAR) government on June 30.

The payment decision comes as the global air travel industry recovers from border closures and other disruptions cause by the pandemic.

Hong Kong's flagship carrier is close to 60% of pre-pandemic passenger flight capacity with strong performance in its cargo business to continue throughout the second half of this year, it said in the release of its monthly traffic on the stock exchange.

($1 = 7.8262 Hong Kong dollars)

(Reporting by Navya Mittal in Bengaluru; Editing by Savio D'Souza)