Asiana swings to loss in Q1 on slumping travel, weaker won

SEOUL, May 14 (Yonhap) -- Asiana Airlines Inc., South Korea's second-largest
carrier, said Thursday that it swung to loss in the first quarter of the year on
decreased travel demand and a weaker won.
The carrier posted a loss of 262 billion won (US$209 million) in the
January-March period, compared with a profit of 3.3 billion won a year earlier,
the company said in a regulatory filing.
Sales fell 5 percent to 923 billion won over the cited period, with an operating
loss of 120 billion won, compared with an operating profit of 35 billion won a
year earlier.
Shares of Asiana were trading at 4,115 won on the Seoul bourse as of 1:25 p.m.,
down 4.97 percent.
"Overseas travel demand dropped due to the economic slump and a weaker won
boosted dollar-denominated costs, mostly fuel bills," the company said.
The won weakened 8.9 percent against the dollar during the first quarter.
Asiana, however, said it expects to post an operating profit this year on the
back of stabilizing oil prices. Travel demand is also expected to edge up as the
economy begins to recover down the road, the company said.
sam@yna.co.kr
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