Emirates taking $500mn hit due to rising fuel costs

FUEL COSTS: Rising oil prices have cost Emirates around $500 million this year. (Supplied)

The rise in oil prices is costing Emirates airline about as much as an expected $500 million rise in profits this year, the Dubai-based company's president told Italian newspaper La Repubblica.

In an interview with the newspaper Tim Clark also repeated the company was not interested in ailing Italian carrier Alitalia or in Austrian Airlines.

"We are able to grow on our own," Clark told the newspaper.

"This year we expected profits to grow by about 500 million to nearly $2 billion but the rise in crude [oil prices] already costs us more or less that amount. We too are enacting a cost reduction plan," he added.

Clark said he expected oil prices to stabilise at between $65 and $85 a barrel around the middle of next year. (Reuters)

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READERS' COMMENTS

Emirates
Posted by Salim, Sharjah, UAE on Thursday 21 August 2008 at 15:03 UAE time


As he said barrels might reach 65 to $85, but will the ticketing as well go down with the oil price? if that happend they wont have any excuse not to lower ticketing down, but im thinking they will still stick with the paperless and free legrest on board

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