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Finnair`s scheduled passenger traffic grows 20% in August 2004
Thursday, September 09, 2004
In August 2004, Finnair`s scheduled traffic increased by 19.9% compared to August last year. Passenger load factor was 68.8%, up 0.5 percentage points. The major driver in the growth of demand was a 19.0% increase in capacity.

All Finnair Group airlines altogether transported 657,400 passengers, which is 11.7% more than a year ago. The total traffic (RPK`s), summing up both scheduled and leisure traffic, increased by 15.9%, while the capacity (ASK = available seat kilometres) was also up by 15.9%, resulting in a passenger load factor of 72.9%.

Departure punctuality of scheduled flights was 88.3% (based on a fifteen minute standard), 5.9 points lower than in August 2003. Including leisure flights departure punctuality was 87.3% (-6.2 p.p). The airline stated that the main reason for the deterioration of punctuality was an illegal industrial action by the ramp personnel. Arrival punctuality of scheduled flights was 90.4% and that of all operations was 88.9%.

Finnair`s Tallinn-based subsidiary Aero Airlines AS, carried 9,300 passengers (+28.4%) on Tallinn-Helsinki route. During August, Stockholm-based Nordic Airlink carried 34,000 passengers on its Scandinavian routes.

Scheduled traffic

In scheduled traffic (international + domestic) revenue passenger kilometres increased by 19.9%. The change in capacity was +19.0%. Passenger load factor was 68.8%, 0.5 percentage points higher than last year.

In scheduled international traffic, total number of passengers was up by 17.9%, partly affected by adding Nordic Airlink figures. Capacity in ASKs was +22.2%, while RPKs increased by 21.2%.

In European scheduled traffic, ASKs increased by 9.9%, and as RPKs increased by 8.2%, the passenger load factor was 59.2%, down 0.9 points from previous year.

In North Atlantic scheduled traffic, capacity increased by 3.3%. Change in RPKs was +11.4%, and passenger load factor for August was 89.5%, 6.5 points higher than previous year.

In Asian scheduled traffic, the capacity increase was 49.4% mainly due to adding frequencies to Shanghai and Osaka since beginning of June. The passenger traffic was up by 39.9%. Passenger load factor was 79.8%, 5.5 percentage points down.

Domestic scheduled traffic increased by 6.5% on a capacity decrease of -4.2%. Passenger load factor improved by 5.5 percentage points to 54.8%.

Leisure traffic

ASKs for leisure traffic increased in August by 4.6%, and RPKs increased by 4.9%, resulting in a passenger load factor of 90.0%, 0.3 points higher than last year.

Cargo

Cargo traffic increased by 31.8% in terms of cargo tonnes carried. Growth in scheduled traffic was +19.7%. Increase in Asian traffic was 40.9%. Volume in European traffic increased by 9.0%. In North-Atlantic traffic cargo volume increased by 0.4%. Cargo traffic carried on chartered cargo flights increased over 500%. The cargo load factor was 58.2%. The cargo load factor in the Far Eastern traffic was 71.5% and in the North Atlantic traffic 69.2%.
Vicky Karantzavelou - Thursday, September 09, 2004
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How do you expect luxury travel to perform in times of economic downturn?.

Providers of luxury travel products are going to witness shorter stays by their customers and an increase in seasonality.

People are going to become more value conscious and will opt for those luxury offers that represent a convincing value-for-money proposition. Providers of overpriced services are those to feel the pinch.

Both people paying for their personal trips and firms paying for their top executives' business trips will cut back on travel expenses, thus affecting all luxury travel providers.

It is going to be business as usual. Those people opting for high-end travel products are not going to be affected by the looming crisis.

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