IATA cuts North American profit outlook; US airline shares down
IATA cut its global industry profit outlook due to rising fuel prices. The forecast for the airline industry was cut back from USD9.1 billion to USD8.6 billion. Oil prices are forecast to increase from 26% to 29% of overall costs. North American airlines are forecast to make USD3.2 billion in 2011, down 32% from 2010. Shares in US carriers dropped in trading on Wednesday, with Delta Air Lines falling 4.3%.
