IATA: Airlines to earn $15B in 2010, ups forecast

[December 14, 2010]  GENEVA (AP) -- The International Air Transport Association says airlines will see net profits of $15.1 billion in 2010 due to a better-than-expected economic recovery and strong growth in Asia.

In September, IATA had predicted an $8.9 billion industry profit this year.

IATA chief economist Brian Pearce says "2011 is going to be a much more challenging period" as heavy debts and added taxes weigh on consumer travel spending in North America and Europe.

The Geneva-based group representing some 230 international airlines forecasts net profits of $9.1 billion for the industry in 2011.

IATA Chief Executive Giovanni Bisignani told a news conference Tuesday that profit margins remain low and pose a threat to the industry in case of another economic shock.

[Associated Press]

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