International passenger traffic slows in Nov-2010 towards normal historical levels: IATA
IATA reported (30-Dec-2010) the following total international traffic growth by region in Nov-2010:
- Passenger traffic (RPKs): +8.2% year-on-year
- Passenger load factor: 75.6%;
- Africa: 68.3%;
- Asia Pacific: 75.6%;
- Europe: 75.7%;
- Latin America: 77.5%;
- Middle East: 74.3%;
- North America: 78.1%;
- Cargo traffic (FTKs): +5.4%;
IATA: “The industry is shifting gears in the recovery cycle. Growth is slowing towards normal historical levels in the 5-6% range. Relative weakness in developed markets is being offset by the momentum of economic expansion in developing markets. We see a strong end to 2010 that boosted the year’s profit forecast to USD15.1 billion. Slowing traffic growth is in line with our projections for a reduced profit of USD9.1 billion in 2011. That’s a 1.5% margin. More hard work will be needed in the New Year to achieve sustainable levels of profitability,” Giovanni Bisignani, Director General and CEO. Source: Company Statement, 30-Dec02010.
IATA: "Looking ahead there is still momentum for further expansion in passenger and freight markets – albeit in a slower phase. Supply-demand balance points to stability in passenger yields but to potential softening in cargo rates ... the fundamental drivers of traffic growth still look to support further expansion in travel demand, albeit at a slower pace than seen earlier in the recovery ... Load factors and yields will come under pressure if excess capacity emerges," Company Statement, 30-Dec-2010.
IATA: "The volume of air freight in November was equal to that seen in the pre-recession peak of early 2008. In May this year air freight volumes reached a new peak – driven by recovering economic conditions and inventory restocking activity. Since then the restocking phase of the inventory cycle has tailed off and so with it the extra stimulus to air freight activity. November’s air freight volume is 7% below the May peak but still represents an annualised 5-6% volume growth compared to the beginning of 2010 – similar to historic trend growth levels," Company Statement, 30-Dec-2010.