Outlook positive but uncertainty remains: IATA

The International Air Transport Association (IATA) revised its 2010 industry outlook and is now projecting a profit of US$8.9 billion (up from the $2.5 billion forecast in June), in part from the unexpectedly healthy recovery of the cargo market, which IATA forecasts will see continuing yield improvements of 7.9 per cent for cargo. This is […]


Giovanni Bisignani IATA International Air Transport Association recovery


The International Air Transport Association (IATA) revised its 2010 industry outlook and is now projecting a profit of US$8.9 billion (up from the $2.5 billion forecast in June), in part from the unexpectedly healthy recovery of the cargo market, which IATA forecasts will see continuing yield improvements of 7.9 per cent for cargo. This is sharply higher than the 4.5 per cent previously projected, but even with this improvement, yields are still 8 per cent below the pre-crisis levels of 2008. In its first look into 2011, IATA estimates that profitability will drop to $5.3 billion and warned that the outlook for next year remains extremely uncertain, particularly in Europe and North America, as the effects of government economic stimulus measures begin to fade. “The industry recovery has been stronger and faster than anyone predicted,” said Giovanni Bisignani, IATA’s director general and CEO. “The $8.9 billion profit that we are projecting will start to recoup the nearly $50 billion lost over the previous decade.”