Cathay Pacific’s yields plummet to pre-Dragonair merger levels

The significant increases in yield the Cathay Pacific Group enjoyed with its acquisition of Dragonair in Oct-2006 have vanished as a result of the global financial crisis. Releasing its interim financial results for the six months ended 30-Jun-2009, Cathay revealed its passenger yield slumped 19.7% year-on-year in the period, while cargo yield fell a massive 32.8%. The decrease in yields carved over USD1 billion from Cathay's first half revenue (USD690 million from the passenger business, USD395 million from cargo). It could take years to recover these falls.