Airline losses may halve next year
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It said carriers may lose a total ofUS$2.5 billion next year, compared with US$5 billion in during 2008.
A Bloomberg report said IATA hadpredicted a US$4.1 billion loss for airlines next year as recently as 3September, based on an average oil price of US$110 a barrel.
With crude now trading at around US$43 and the association estimating a priceof US$60 next year, kerosene costs have eased for those carriers, many of themin the United States, which were hardest hit this year after struggling tosecure hedging positions, the report said.
IATA Director General and Chief Executive Officer, Giovanni Bisignani, said2009 will be another gloomy year. Losses in the Asia Pacific region will behighest at approximately US$1.1 billion, IATA said, with carriers theresuffering most from a decline in air-cargo shipments.
European losses will widen to aboutUS$1 billion, it said. North American carriers, likely to suffer a combinedloss of US$3.9 billion this year, will next year post a profit of about US$300million, Bisignani said.
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