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Airlines group forecasts $2.5 billion loss in 2009

(Agencies)
Updated: 2008-12-09 17:47

GENEVA -- The main international airlines association says the industry globally will lose $2.5 billion in 2009.

The International Air Transport Association says all regions except the United States are expected to report larger losses next year than in 2008.

IATA chief executive Giovanni Bisignani says "the outlook is bleak" but US carriers will benefit from lower oil prices and cutbacks made this year to post a modest $300 million profit in 2009.

He says the global airline industry faces the worst revenue environment in 50 years.

IATA also says passenger traffic will decline for the first time since 2001, falling by 3 percent compared with growth of 2 percent this year.

Bisignani presented the figures to reporters in Geneva on Tuesday.