Global airlines group advocates against laptop ban on flights

Angry passengers prompting airline CEOs to learn to say sorry

Mr Alexandre de Juniac, director general of the International Air Transport Association (Iata), said the violence in London could discourage potential visitors as similar attacks did in Europe previous year.

Though revenues are gaining, earnings face a squeeze from an increase in spot prices for jet fuel, and the average net margin is set to shrink to 4.2 percent from 4.9% in 2016, De Juniac cautioned, adding that recent terrorist attacks in the United Kingdom demonstrate the potential for "negative impacts" on demand.

Higher operating costs are becoming the "emerging challenge for the airlines", the IATA's chief economist Brian Pearce warned at the association's AGM in Cancun.

Jun 6 Carrying 200 laptops in the bellyhold of an aircraft is unsafe and violates all safety norms, the global airlines' body IATA has said on the ban on carriage of personal electronic devices (PEDs) on board by passengers.

But airlines are unhappy with the bans, which affect 10 airports in eight countries, in the case of the United States ban, and six countries in the case of Britain's. For a third year in a row returns would be above the cost of capital. "So it's possible that there is an impact, but it's a bit early to know how big this impact will be", de Juniac said in an interview.

But carrying 200 laptops in the bellyhold of an aircraft "is risky and against all safety regulations", de Juniac said quoting a top executive of an airline who pointed this out at a panel discussion during the three-day World Air Transport Summit going on here.

While overall industry performance remained strong, major regional variations remained.

It said about half the industry profits are being generated in North America (US$15.4 billion).


Meanwhile, it said Latin America and Middle East carriers are expected to earn US$800 million and US$400 million respectively.

The IATA expects airlines to grow capacity at 7%.

IATA, which represents 275 carriers accounting for 83 percent of global air traffic, reckons a barrel of oil will average $54 in 2017, a dollar less than previously predicted.

Passenger numbers are set to top four billion for the first time this year.

Cargo demand is expected to grow by 7.5 per cent in 2017.

"This is higher than previously forecast (by 2.5 million tonnes) and 3.9 million tonnes over 2016 levels", said IATA. "You will see a certain insularity in this vast region". Europe and the Asia-Pacific should each contribute about $7.4 billion. That will lead to jet kerosene prices averaging $64.0/barrel this year. "This is the result of margins being squeezed by unit costs which are rising faster than unit revenues". Aviation's success betters peoples' lives by creating economic opportunity and supporting global understanding.

"We have a busy year ahead", Goh said in a statement. "We must stand firm in the face of any rhetoric that would put limits on aviation's future success", said de Juniac.

MOre than 1800 new aircraft will be delivered in 2017. This will expand the global commercial fleet by 3.8 per cent to 28,645, Iata added.

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