MARKET UPDATE
www.traveltradeeurope.travel
AUSTRIAN AIRLINES EARNINGS SOAR
TRAVEL TRADE PUBLICATIONS MANAGING EDITOR Mary Kammitsi mary@traveltradeweekly.travel ASSISTANT EDITOR Rita Kasziba JOURNALIST Ellen Petty CONTRIBUTORS Ana Mladenovic Dominique Christou Natalie James SALES & SALES SUPPORT Maria Demetriadou Magda Christou Raluca Apostolescu DESIGN & LAYOUT Elena Stylianou WEB & BUSINESS DEVELOPMENT MANAGER Savvas Kammitsis DIRECTORS Andreas Constantinides Mary Kammitsi
In the first nine months of the current financial year, Austrian Airlines generated earnings before interest and taxes (EBIT) of EUR84 million, marking a year-on-year increase of 38 percent from EUR61 million in 2015.
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T
he improvements in the Austrian carrier’s performance can be attributed to lower jet fuel costs, a positive one-off effect related to the conclusion of a long-term lease agreement with Vienna International Airport, and the enchancement of bilateral flight traffic between Germany and Austria. Referencing the expansion of the fleet, Heinz Lachinger, chief financial officer, Austrian Airlines, elaborated, “For the planned investments in our fleet and product offering we have to continue to work on our cost- and earnings structure.”
WORLDWIDE REPRESENTATIVES Representative for North, South & Central America, and the Caribbean: Neil Strickland GlobeTM Tel: +19542969515 neil@globetm.com
COMMERCIAL DEMAND REPLACED BY BAR
Representative for Indian subcontinent: Faredoon Kuka RMA Media Tel: +912229253735 kuka@rmamedia.com
London
Representative for UK & Ireland and Scandinavia: David Simpson Simpson Media Tel: +447900885456 david@simpson-media.com
EXCHANGE RATES
as of
24.11.2016
COUNTRY
CURRENCY
1EUR=
US (USD)
Dollar
1.05
UK (GBP)
Pound
0.84
Switzerland (CHF) Franc
1.07
Japan (JPY)
118.91
2
Yen
Hospitality intelligence firm, HotStats, has identified in a new study that since 2000, the value of bookings via best available rate (BAR) has increased by more than 235 percent in UK hotels.
T
he shift towards BAR is significant as it implies that booking patterns are evolving from traditional channels, like locally-negotiated corporate rates. Evidence also suggests a clear migration to reservations via BAR in line with downward shifts in the economy. Explaining the results, Pablo Alonso, CEO, HotStats, said, “This is not to say that the volume of commercial demand at hotels in the regions has definitively fallen, but that it is highly likely that alternative methods are being used for business bookings.”
25 NOVEMBER 2016