Open

Coming up

Don't miss

Replay


LATEST SHOWS

DEBATE

Gaza: A Truce At All Costs?

Read more

AFRICA NEWS

Central African Republic: Brazzaville ceasefire talks deliver fragile deal

Read more

FOCUS

Sluggish tourist season in Crimea

Read more

ENCORE!

Bartabas : Mixing Christ with Spanish music and dancing horses

Read more

IN THE PAPERS

Shifts in the propaganda war waged between Israelis and Palestinians

Read more

IN THE PAPERS

French MPs face quandary in pro-Palestinian rallies

Read more

THE INTERVIEW

Yezid Sayigh, Senior Associate at the Carnegie Middle East Center in Beirut

Read more

#TECH 24

Mind the Gender Gap : getting more women into the tech sector

Read more

INSIDE THE AMERICAS

Bolivian children: heading to work aged 10

Read more

  • Wreckage of Algeria plane found in Mali

    Read more

  • Air Algérie crash: 'We should eliminate the missile hypothesis'

    Read more

  • Deadly strike on UN shelter in Gaza Strip

    Read more

  • Pope meets with Sudanese Christian woman sentenced to death for apostasy

    Read more

  • Italy’s Nibali cruises to easy victory in 18th stage of Tour de France

    Read more

  • Iraqi parliament elects moderate Kurd as president

    Read more

  • US, European aviation agencies lift travel restrictions to Tel Aviv

    Read more

  • No end to fighting until Israel ends Gaza blockade, Hamas says

    Read more

  • Two foreign women shot dead in western Afghanistan

    Read more

  • At least 60 killed in attack on prison convoy near Baghdad

    Read more

  • Cycling is ‘winning the war on doping,’ says expert

    Read more

  • Ceasefire agreed for Central African Republic

    Read more

  • Can Jew-kissing-Arab selfie give peace a viral chance?

    Read more

  • Botched Arizona execution takes nearly two hours

    Read more

Business

Air France-KLM announces first loss, plans 2,700 job cuts

Latest update : 2009-05-19

Europe's biggest airline company, Air France-KLM, has announced an annual net loss of 814 million euros, the first since its merger in 2003. The group also plans to cut around 2,700 jobs.

AFP - Air France-KLM, Europe's biggest airline, on Tuesday announced losses of 814 million euros (1.1 billion dollars) for the 2008-2009 fiscal year and said it would have to cut 2,700 jobs.
   
The losses were the first incurred by the French-Dutch group since the 2003 merger of Air France and KLM and the airline's chief executive Pierre-Henri Gourgeon said job cuts were inevitable.
   

Some 2,700 jobs were slashed during 2008 and 2009 and further cuts "on the same scale" were planned for the next financial year, Gourgeon said.
   
To reduce costs, the group "will continue to gradually reduce staff, with a hiring freeze, by resorting to internal professional mobility, by asking staff to take holidays and by developing part-time positions," he added.
   
Financial director Philippe Calavia told journalists that "about 3,000" jobs would be cut.
   
Air France-KLM employs around 104,000 people and has been hit hard by the economic crisis that has affected much of the global airline industry.
   
It posted a 756 million euro profit for the previous financial year.
   
News of the the airline's first loss did not come as a surpise.
   
The company had warned in late March that it expected to end the year with a 200-million-euro operating loss. In the end, that loss reached 129 million euros.
   
The airline has been reeling from a sharp drop in traffic that forced it to scale back services by 4.5 percent for passengers over the ordinarily-busy summer months and 11 percent for cargo.
   
The worst global slump in decades has devastated the airline industry, with passenger numbers plunging more than 11 percent in March compared to a year earlier, according to the International Air Transport Association.

Date created : 2009-05-19

COMMENT(S)