Cathay Pacific cautious about sustainability of rebound in traffic and yields. Cargo softening

Cathay Pacific's shares eased 1% on 12-Jul-2010 as it noted that premium demand, while continuing to improve, still remains below 2008 levels. The carrier also issued a caution regarding the sustainability of current strong growth trends later this year. Combined Cathay Pacific and Dragonair passenger numbers surged 27.5% year-on-year in Jun-2010 to 2.22 million, off last year's low base. An airline spokesman noted: "Demand in June remained high in the build-up to the summer peak, as we continued to restore capacity that was cut in response to the huge downturn in business in 2009."