IATA released (24-Jan-2011) its Airlines Business Confidence index Jan-2011, which showed that improved profitability continued during the last quarter of 2010 due to strong traffic and yield improvements, and the outlook for the next 12 months remains positive. Loosening demand-supply conditions and upward fuel cost pressures mean that momentum for further boosts to profitability is slowing. The outlook for yield performance is a trend towards stability rather than further improvement. [more]
Outlook positive but slowing: IATA
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Flybe: back in profit, but still one of Europe's least profitable listed airlines
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Vueling NEXT Part 2: new CEO to lead IAG's LCC in restructuring bid to achieve IAG targets
Vueling's new CEO, Javier Sanchez-Prieto, is leading a programme ('Vueling NEXT') to improve its profitability, both through revenue enhancement and cost efficiency gains. Among other aims this hopes to reduce Vueling's high levels of seasonality, to raise aircraft utilisation and to improve labour productivity. Given ambitious financial targets by IAG – action is needed.
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