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Jazeera Airways reports net loss of USD28.5 million, too much capacity

Jazeera Airways (-1.0%) slipped on Tuesday (13-Apr-2010) after the carrier reported a net loss of USD28.5 million in its updated financial highlights for the 12 months ended 31-Mar-2010, compared to a profit of USD15.3 million in the previous corresponding period. Revenue also declined, by 5.5% year-on-year, to USD159.6 million. Operating costs rose 20% to USD178.4 million.

Average load factors fell 6.4 ppts, to 60.8%, despite a 32% rise in passenger numbers, to 1.8 million.

Air Arabia (-1.1%) was also down, while Kuwait National Airways was flat. Royal Jordanian (+0.5%) shares rose marginally, as the Amman Stock Exchange rose 0.1%.

In Africa, Lonrho (+11.5%) shares rallied. The company, which has a range of business interests, last week completed the acquisition of 100% of the John Deere and Komatsu dealerships for Mozambique.

1time (+4.5%) also made strong gains, despite a decline in South Africa’s JSE Index (-0.9%). Kenya Airways was flat, as Kenya’s All-Share Index (-0.7%) fell for a second consecutive day.

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Selected African and Middle Eastern airlines share price movements (% change): 13-Apr-2010