Airline companies lost more than $6 billion during the primary half of the year appropriate to the economic crisis, yet as new statistics explained some signs of recovery in the passenger and shipment business, an industry group said Tuesday.A section of more than 50 airlines initiate their losses declined to $4 billion in the first quarter from $2 billion in the second quarter, the International Air Transport Association said, reminding that the period of April-June is usually a strong one for the industry.
"Since the model of airlines is incomplete, total industry losses in the first half of 2009 are likely to have been in surplus of the reported $6 billion," said by IATA . The Geneva-based group, which characterizes 230 airlines worldwide, said seat tenancy in international markets become stable in July, the first time in over a year, but added that airlines need to further cut capacity to meet demand.
Cargo capacity also still go beyond demand in spite of an 8.1 percent capacity cut in July, IATA said. "With excess capacity long-lasting through Q2 it was not surprising that freight rates were down more than 20 percent over the year," it said.
Airlines are still totaling to their fleet because of enduring orders committed to before the recession.
Statistics show companies increased their aircraft numbers by a web of 487, or about 2 percent of their overall fleet.
The group noted that rising fuel prices are once again eating into airlines' cash reserves. Airline shares have risen 7.4 percent since the starting of this year, covering behind overall market improvements of 23 percent.
"However, stronger impartiality markets gave airlines an opportunity to raise much more needed— cash," IATA said.
Airlines have raised $3 billion of equity and $12 billion from new balance issues since the start of the year.
"Since the model of airlines is incomplete, total industry losses in the first half of 2009 are likely to have been in surplus of the reported $6 billion," said by IATA . The Geneva-based group, which characterizes 230 airlines worldwide, said seat tenancy in international markets become stable in July, the first time in over a year, but added that airlines need to further cut capacity to meet demand.
Cargo capacity also still go beyond demand in spite of an 8.1 percent capacity cut in July, IATA said. "With excess capacity long-lasting through Q2 it was not surprising that freight rates were down more than 20 percent over the year," it said.
Airlines are still totaling to their fleet because of enduring orders committed to before the recession.
Statistics show companies increased their aircraft numbers by a web of 487, or about 2 percent of their overall fleet.
The group noted that rising fuel prices are once again eating into airlines' cash reserves. Airline shares have risen 7.4 percent since the starting of this year, covering behind overall market improvements of 23 percent.
"However, stronger impartiality markets gave airlines an opportunity to raise much more needed— cash," IATA said.
Airlines have raised $3 billion of equity and $12 billion from new balance issues since the start of the year.
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