Korean Air Q3 operational results announced

Korean Air recently announced the operational results for Q3, and appeared downcast in the wake of losses. The airline has reported a net loss for the July-September period.

Korean Air stated that it had to suffer Q3 net loss, hit by a weak Won that shot up fuel costs as well as soft cargo demand that negatively impacted into operating income.

South Korean national carrier reported a consolidated net loss of US$457 million for Q3 as compared to a net profit of US$481.86 million in the same period in 2010. The airline disclosed that its operational costs suffered because of a 34% increase in jet fuel expenses.

The airline also posted foreign currency losses of US$674.8 million in Q3 as compared to a gain of US$302.05 million during the same period last year. The airline further stated that fuel expenses during the July-September period were US$1.06 billion, up from US$794.93 million in 2010. Korean Air disclosed that the average price of jet fuel increased 42% in dollar terms, to US$131 a barrel as compared to US$92 last year.