Austrian Airlines reports operating loss

Austrian Airlines reports operating loss

Austrian Airlines has reported a third-quarter operating loss and confirmed a gloomy outlook for the final quarter of the year.

Its net loss for the three months to September was 16.6 million euros, compared with a 29.1 million euros net profit during the same period a year ago. Analysts had predicted a significantly smaller loss of 6.2 million euros.

Chief executive Alfred Oetsch said: “The fourth quarter of the 2008 financial year will be characterised by an abrupt slump in demand, negative effects from fuel hedging and the increase in the value of the US dollar.

“The economic downturn has already led to a decline in flight bookings.”

Austrian state holding company OAG said on Monday it was extending a tender of the airline by two months.