Air France-KLM Traffic Falls
Published on Feb 9 2015 9:17 AM in General Industry
Air France-KLM Group said passenger traffic and average fares both fell in January amid softer demand on routes to emerging markets.
Group-wide traffic - passengers times the distance flown - fell 0.1 per cent, paced by a 5.4 per cent drop on flights to Africa and the Middle East. Unit revenue, which reflects fares, was also down, Air France-KLM said without giving figures.
Management will meet with labour leaders from the main Air France unit on 13 February to discuss cost-reduction measures as the company struggles to bring expenses into line with peers. First-quarter earnings figures are due to be reported 19 February.
January traffic also fell 1.7 per cent on flights to Asia, with the group-wide number buoyed by the low-cost Transavia unit in Europe, which reaped an 8.1 per cent increase.
Performance in North America was “resilient” with a 1.8 per cent traffic gain, the company said, though that fell short of a 2.5 per cent rise in capacity so that occupancy levels fell.
During the same month, British Airways owner International Consolidated Airlines Group SA boosted traffic 5.5 per cent.
Bloomberg News, edited by Hospitality Ireland