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Singapore Airlines sees strong premium demand

Singapore Airlines (SIA) reported a 69% surge in operating

profit in the three months ended 30-Jun-07, thanks to continued buoyant passenger

demand. Passenger yield rose a strong 8.5%, while unit costs rose 6.7%, leading

to a 1.2 ppt reduction in break-even passenger load factor to 69.6%. The actual

passenger load factor was 9.3 ppts higher than breakeven, rising 3.3 ppts in

the quarter year-on-year to 78.9%.

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