Emirates taking $500mn hit due to rising fuel costs

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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