Transportation

Air France Warns of Revenue Hit as Fliers Avoid Paris Games

  • Carrier group sees up to €180 million summer sales shortfall
  • Airlines have poured capacity into city ahead of Olympics

The Olympic rings on the Eiffel Tower in Paris.

Photographer: Nathan Laine/Bloomberg
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Air France-KLM warned of a revenue shortfall at its French operations this summer because passengers are avoiding Paris to skirt possible disruptions and high prices during the Olympic Games.

The issues will curtail revenue at Air France and the French arm of the low-cost Transavia unit by between €160 million ($172 million) and €180 million from June to August, the carrier group said in a statementBloomberg Terminal. French residents are postponing holidays until after the Olympics, while international customers are staying away, the company said.