Air France-KLM adjusts profit warning downwards
Shares in airline Air France-KLM fell 4.5% on Tuesday following a profit warning.
The company announced that profit before interest, taxes and write-offs will be between €2.2bn and €2.3bn in 2014. In an earlier announcement, the company said it was aiming for €2.5bn this year.
The news was not entirely unexpected, the Financieele Dagblad reports. German airline Lufthansa issued a profit warning two weeks ago. The main reason is the rising cost of fuel because of the unrest in Iraq.
Air France-KLM has been hit by overcapacity on routes in the US and Asia and by poor demand for its transport services.
The company has been trying to become profitable for the past 2.5 years and will announce new cost-cutting measures later this summer.
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