IATA STATISTICS SHOW INCREASED DEMAND FOR AIR TRAVEL

KUALA LUMPUR, Feb 2 (Bernama) -- The International Air Transport Association
(IATA) said demand statistics last year for international scheduled air traffic
showed an 8.2 per cent increase in the passenger business and a 20.6 per cent
increase in freight.

Demand growth outstripped capacity increases of 4.4 per cent for passenger
and 8.9 per cent for cargo, IATA said in a statement here, Wednesday.

Average passenger load factor for the year was 78.4 per cent, which was a
2.7 percentage improvement from 2009, while a 5.2 percentage point improvement
to 53.8 per cent was recorded on the freight load factor.

"Compared to the pre-recession levels of early 2008, December air travel
volumes were four per cent higher.

"Air freight was one per cent higher than pre-recession level, however,
volumes have fallen five per cent since the peak of the post-recession inventory
re-stocking boom in early 2010," IATA said.

Its Director General and Chief Executive Officer, Giovanni Bisignani said
airlines ended the year slightly ahead of early 2008 with only 2.7 per cent
profit margin.

"After the biggest demand decline in the history of aviation in 2009, people
started to travel and do business again in 2010. The challenge is to turn the
demand for mobility into sustainable profit," he said.

It was estimated that the severe weather Europe and North America in
December would shaved one per cent off of total traffic demand for the months.

The hardest hit was Europe, which saw December passenger demand growth slow
to 3.3 per cent.