Lufthansa, EasyJet Warn of Terror Threat to Airline Profit
- EasyJet says market environment most difficult in 10 years
- Nice attack compounds concerns after Brussels, Paris incidents
What do Shrinking Airline Profit Forecasts Really Signal?
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European airlines are warning that more turbulence is ahead for their bottom lines as terror attacks sap demand for short- and long-haul travel during the crucial summer travel season, with the effects magnified by aggressive expansion to take advantage of low fuel prices.
Deutsche Lufthansa AG reversed course on its 2016 forecast, calling for a decline instead of a gain in operating profit, as overseas travelers balk at traveling to Europe following a spate of deadly terrorism attacks, Lufthansa said late Wednesday. The German carrier issued the profit warning because it no longer sees a quick rebound.