Giovanni Bisignani Quotations

Moreover, the impact of Hurricane Katrina on fuel supplies and refinery capacity will only ensure that relief will not come soon.

If we reach our target of 100 percent for worldwide electronic ticketing in 2007, then the airline industry could save about $3.5 billion annually.

I applaud Malaysia's leadership in ratifying this important convention, which creates an international legal framework that will help attract finance to the aviation industry.

Freight and passenger traffic are forecast to grow in the 5 to 6 per cent range during the year but the industry is projected to record another loss of over US$4 billion for 2006.

There is a new cautious optimism emerging in the industry. Improved economic prospects in Europe and Asia, combined with an improving situation in the US, will lead to reduced losses in 2006 and strengthened profitability in 2007. While the trend is positive, we are nowhere near sustainability.

We must continue to evolve to a low-cost industry that provides high-quality, cost-efficient service across the board. This should be at the top of our common agenda.

We must chase paper out of our business,

Paper costs money...you do not need to be a rocket scientist to understand that up to $3 billion in savings are possible.

The approach of the French Government to air transport is from another age. There was little or no financial transparency. And a result that ignores the recommendation of an independent commission makes a total mockery of the consultation process. The government should support greater efficiency rather than shirking its regulatory responsibilities.

Unfortunately, there is no mechanism to eliminate existing capacity.

We are working on four core projects: 100 percent e-ticketing globally by the end of 2007; bar-coded boarding passes; common use of self-service check-in kiosks; and radio-frequency identification for baggage management.

We will only see profitability in 2007 when we expect a return of US$6.2 billion. This is a net profit margin of 1.5%, not even enough to cover the cost of capital and nowhere near recovering the billions lost since 2001. A long and difficult agenda for change involving all partners is still ahead of us.

We fully understand the principles of supply and demand. But it is difficult to see this as anything other than a $14 billion cash grab by the oil industry that is pouring salt into the wounds of a global crisis.

We fully understand the principles of supply and demand,

As the record aircraft orders of last year are delivered, matching capacity to demand will become even more critical. And Avian Flu is the wild card for 2006.

Cost reduction remains critical. All industry partners and stakeholders will have to sustain their focus on fuel efficiency and attack costs. While we have made some good progress, the road ahead is long. Far too many airport monopolies do not understand the need for efficiency and too many governments are shirking their responsibility to regulate where commercial discipline is absent.

Each dollar added to the price of a barrel of oil adds $1 billion in costs to the industry.

Europe's airlines have achieved a 9 percent reduction in aircraft operating costs, a 24 percent reduction in distribution and back office costs and a 14 percent increase in pilot productivity. Airports, on the other hand, gave the airlines a 13 percent increase in per-passenger costs, with a total bill for airlines and their users of $14.5 billion.

February, traditionally the slowest month for international traffic, brought both good news and solid growth. The recovery in freight has stretched to three months with growth of over 5 percent resulting from strength in international trade.

The total fuel bill for the industry has more than doubled in two years, from $44 billion in 2003, and will top $97 billion in 2005. With a total industry turnover in the range of $400 billion a year, jet fuel will make up 25 percent of our total costs.

The story for January was freight which is starting to show a definite strengthening trend following the disappointing 3.2% growth of 2005. This is the first time in a year we have seen two consecutive months of freight traffic growth above 5% which points to a resurgent world economy.

The target date is a must. Every year, we are printing roughly 350 million tickets. We will not print any more paper tickets by 2007.

A European solution is no solution at all. Unilateral regional efforts will only distract from this process,

Oil is once again robbing the industry of a return to profitability, ... Each dollar added to the price of a barrel adds $US1 billion in costs to the industry.

Oil is now destroying our profitability. We are in an emergency mode.

This is the first time in a year we have seen two consecutive months of freight traffic growth above 5% which points to a resurgent world economy.

It's not revolutionary technology, it's not something that we have to invent, it's existing technology.

Efficiency and cost reduction are a matter of survival for airlines. Charles de Gaulle Airport is already the second most expensive airport in Europe. It should be focusing on cost decreases not increases. This short-sighted decision will have long-term effects on the competitive position of Paris as a major hub.

The airline battle to reduce costs, increase yields and improve efficiencies is effective well beyond expectations.

Oil remains the wild card for industry profitability. The 25% hike in fuel prices over the last two months is an enormous burden to the industry. However, the S$ 1.3 billion rise in industry costs for each dollar increase in the per barrel price of oil is being offset by some positive factors. Industry hedging levels are 50%. Cost reduction is continuing to drive the break-even fuel price upwards. And the US domestic yield rose 12.4% in February.

Oil remains the single-biggest challenge for airline profitability. Strong demand gives little hope of significantly reduced prices this year. What is disappointing is the response of the oil industry. Instead of expanding refinery capacity, the oil companies plan to return a quarter of a trillion dollars to investors over the next two years. Airlines alone have contributed $14 billion to this windfall profit. It is time that governments stepped in to encourage investment in new refinery capacity along with research into alternative fuel sources.

India was always a great market, but for the future. Now it can become an important market in the short term.

If one of the partners in a partnership is losing his shirt while the other is counting his money, it is no longer a partnership.

As we battle the high price of fuel, cost efficiency will continue to be a top priority not only for airlines but for every partner in the value chain including airports and air navigation service providers.

Oil is once again robbing the industry of a return to profitability. Cost reductions and efficiency gains have never been more critical.

Airport take their own commercial decisions on their ownership structure. But this must not be at the expense of exploiting airlines through higher charges

Airports take their own commercial decisions on their ownership structure. But this must not be at the expense of exploiting airlines through higher charges.

Airlines will spend $34 billion more for fuel this year than last, and about $1.4 billion of that will make its way to the bottom line. That will drive losses to $7.4 billion for 2005.

Airlines moved fast after Sept. 11, re-engineering, restructuring. But governments have not played a role,

Airline ownership restrictions became national rights. Now the flags on our aircraft are so heavy they are sinking the industry.

The growth is there, the issue is how we can make this growth into a profitable industry. The solution is increasing efficiency of airlines, increasing the load factor and handling better capacity.

The industry will not see black ink until at least 2007.

The industry is returning to a more normal growth pattern after the shocks that began in 2001.

The industry is on track with 2006 growth expectations of 5-6 percent for both freight and passenger traffic.

The industry cannot afford the negative impact of overcapacity.

The fuel crisis at Heathrow is unprecedented. Today's agreement is a pragmatic solution to a very difficult, complex and unique situation. IATA will continue to closely monitor the situation. The next hurdle will be accommodating summer schedules that begin on 31 March. Simultaneously IATA will undertake to develop a global standard for handling future supply crises.

The first priority of all concerned was maintaining operations at Heathrow with 35 percent less fuel supply.