SIA short-term outlook bleak as profits drop further to two-year low

Singapore Airlines (SIA) has recorded a further reduction in profits due to high fuel prices and weak load factors. The SIA group on 28-Jul-2011 reported a net profit for the three months ended 30-Jun-2011 (first quarter of FY2011/12) of SGD45 million (USD37 million), an 82% drop compared to the same period last year and its smallest quarterly profit in nearly two years. The airline itself also fell into the red for the first time in seven quarters, incurring an operating loss of SGD38 million.