10-Jan-2011 3:50 PM
SAS upgraded by Citigroup; Finnair reports Dec-2010 traffic
Analysis
Summary
- SAS upgraded to "buy" by Citigroup Inc., leading to a 4.3% increase in the airline's shares.
- Finnair reports a 26% reduction in passenger traffic in December 2010 due to a cabin crew strike, resulting in a 7.3 percentage point drop in load factor.
- Finnair's Asian routes perform well despite the overall decline in traffic for the year.
- European Union regulators express concerns about the potential negative impact of Thomas Cook's proposed takeover of two UK travel businesses on competitors throughout the UK.
- Thomas Cook's shares decline by 1.6% following the regulatory concerns.
- Daily share price movements of selected European airlines on January 7, 2010.
Rival Finnair reported a 26% reduction in passenger traffic in Dec-2010 reflecting a strike by cabin crews during the month. The airline's load factor slumped 7.3ppts to 71.2%. For the whole of 2010, load factor gained 0.6ppts to 76.5% and total traffic fell 4%, although the airline's Asian routes performed well.
Elsewhere, European Union (EU) regulators have stated Thomas Cook's proposed takeover of two UK travel businesses could adversely affect competitors throughout the UK. The company's shares slipped 1.6% on Friday.
Selected European Airlines daily share price movements (% change): 07-Jan-2010
