IATA cuts 2006 airlines loss forecast to $1.7 bn

Tokyo, Aug 31: The International Air Transport Association (IATA) on Thursday trimmed its 2006 loss estimate for the global airline industry to .7 billion from billion, helped by cost-cutting efforts and higher revenues.

Director-General Giovanni Bisignani told Reuters in an interview that he saw no sign of slowing demand after police in London said they foiled a plot to blow up trans-Atlantic flights, but he said airports need to be better prepared for emergencies.

''I think security has improved a lot and passengers were kindly reassured that we have a secure environment,'' he said before a media briefing in Tokyo. ''But threats are there. This is a wake-up call to take greater attention.'' The Geneva-based IATA, representing 261 airlines comprising 94 percent of international scheduled air traffic, forecast a total fuel bill of 5 billion this year, up from its previous 2 billion projection, based on an average oil price of a barrel.

Reuters