Shares in British Airways' owner IAG drop 10% after fall in US demand [Yahoo! Finance Canada]
INTL CONSL AIRLNS S/ADR (ICAGY)
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Source: Yahoo! Finance Canada
That is compared with 1.91 billion euros (£1.68 billion) during the same period last year. IAG – which also owns Aer Lingus, Iberia and Vueling – reported a 2.4% increase in its capacity, but a 2.4% decline in passenger revenue. The company said the North Atlantic market saw “some softness in US point of sale economy leisure”, while prices across its airlines were lower in the European market because of “high growth by British Airways and more competitive markets elsewhere”. IAG chief executive Luis Gallego insisted the results were “strong”, noting that “we are comparing with a very strong quarter last year”. He said: “This performance was driven by the strength of our airline brands and businesses across our core market, where we continue to see robust demand for air travel. “Europe continues to be weak but is improving lately, but it's true it is the market that we can say is a little softer. “The rest of the world in general is positive.”
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