19 OCTOBER 2009

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Article from BTNews 19 OCTOBER 2009

ERA says yield are dangerously low

ERA, which represents 66 European airlines operating 1.7m flights a year, recorded a drop in passenger traffic of -7.2% for the first half of 2009.  While demand improved in the second quarter, ERA says costs are rising and yields are dangerously low.   Airline data for the first quarter of 2009 shows that average revenue per passenger was 12% lower than Q1 2008, while average fuel costs are 6% higher.  Fuel now represents 10% of total costs in this sector.  A trend noted is that airlines are hanging on to older aircraft and that six out of 10 of the total fleet is turbofan powered. See also ON TOUR www.eraa.org

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