Airline

Air Arabia Second Quarter Profits Up 10%

Air Arabia profits in the second quarter increased 10% due to their expanding network and higher demand from passengers looking for more affordable fares.  The carrier reported net profit of Dh90 million  (US $24.5m) up from Dh82 million last year.   The airline has launched two new routes from Sharjah and added a Moroccan subsidiary.  

Air Arabia chief executive Adel Ali said their good performance during the economic crisis shows the strength of the budget airline model.  He said “We are pleased with the positive results achieved today amid the ambiguity of global economic performance and the impact of swine flu on air travel trends.”  The International Air Transport Association forecasts combined airline losses will exceed $9 billion this year.  Budget carries have been affected by the economic crisis but generally fared better than major airlines.
 

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