Tumble in Asia/Pacific Airline Profits Spurs Call For Reforms

摘要

The Asia/Pacific region may be the land of economic opportunity, but its airlines are heading in the wrong direction when it comes to profitability, IATA's director general warned Monday in Singapore. Giovanni Bisignani said profit margins for Asia/Pacific airlines dipped below 1% in 2007, down from 4% five years earlier. The region's airlines turned a collective profit of just US$700 million last year, a US$1 billion decline from 2002, as capacity expansions outstripped passenger growth and pressed down yields.