British Airways PLC
05 December 2006
TRAFFIC AND CAPACITY STATISTICS - November 2006
Summary of the headline figures
In November 2006, passenger capacity, measured in Available Seat Kilometres, was
0.7 per cent above November 2005. Traffic, measured in Revenue Passenger
Kilometres, was lower by 0.8 per cent. This resulted in a passenger load factor
down 1.0 points versus last year, to 72.2 per cent. The decrease in traffic
comprised a 3.7 per cent increase in premium traffic and a 1.6 per cent decrease
in non-premium traffic. Cargo, measured in Cargo Tonne Kilometres, decreased by
8.2 per cent. Overall load factor fell by 0.3 points to 69.8 per cent.
Market conditions
Underlying market conditions are broadly unchanged, bookings are continuing to
recover supported by common European carry on baggage standards and improved
performance at Heathrow.
Strategic Developments
The airline has reached agreement in principle to sell the regional operation of
its subsidiary airline BA Connect to Flybe.
The airline purchased American Airline's remaining stake in Iberia for
approximately 19 million euros (or £13 million) taking BA's total share holding
from some nine to ten per cent. The transaction is intended to preserve British
Airways' two seats on the Iberia board.
BA unveiled its next generation business class cabin which offers greater
comfort, more space and storage. It is part of an £100 million investment in
the airline's products and services that includes its First Class cabin and the
introduction of an on-demand in-flight entertainment system in every cabin
across the longhaul fleet. The new Club World flat bed is 25 per cent wider with
a unique 'z' bed position that extends to six foot six inches.
A ten year funding plan to tackle the £2.1billion deficit in the New Airways
Pension Scheme (NAPS) was agreed in principle between BA and the trustees. It
includes an increase in the company's one off cash injection from £500 - £800
million plus cash payments of £50 million for three years and an increase in
annual contributions to over £250 million.
Following consultation with its trades unions the company proposed to increase
its annual contributions to £272 million and offered staff the choice of a
normal retirement age of 60 with increased staff contributions or retirement at
65 with a reduced pension.
Willie Walsh, chief executive, called for faster progress on plans to increase
runway capacity at Heathrow airport. He urged the Government to set out a
step-by-step timetable for the introduction of mixed mode operations and a short
third runway, with clear deadlines for the necessary preparatory work by airport
owner BAA and the Civil Aviation Authority.
British Airways announced a review of its uniform policy to examine ways in
which the policy can be adapted to allow symbols of faith to be worn openly
while remaining consistent with the British Airways brand and compliant with
employment legislation.
A mini 'World Offers' sale to 36 popular long-haul destinations with savings of
up to 53 per cent was announced.
New routes from London Gatwick to Port of Spain in Trinidad and Tobago, Dresden
in Germany and Sarajevo in Bosnia and Herzegovina will start from March 2007.
The airline signed a codeshare agreement with Caribbean Airlines on British
Airways' services to Port of Spain, Barbados and Antigua.
ends
December 5, 2006 129/KG/06
BRITISH AIRWAYS MONTHLY TRAFFIC AND CAPACITY STATISTICS
Month of November Financial year
April through to Nov
BRITISH AIRWAYS Change Change
SCHEDULED SERVICES 2006 2005 (%) 2006 2005 (%)
Passengers carried (000)
UK/Europe 1747 1728 +1.1 16513 16320 +1.2
Americas 525 570 -8.0 5184 5096 +1.7
Asia Pacific 143 152 -5.6 1273 1263 +0.9
Africa and Middle East 321 281 +14.0 2311 1995 +15.8
Total 2736 2732 +0.1 25281 24673 +2.5
Revenue passenger km (m)
UK/Europe 1588 1514 +4.8 15676 15182 +3.3
Americas 3512 3815 -7.9 34928 34212 +2.1
Asia Pacific 1462 1560 -6.3 12956 12976 -0.2
Africa and Middle East 2203 1942 +13.4 15487 13442 +15.2
Total 8764 8831 -0.8 79047 75813 +4.3
Available seat km (m)
UK/Europe 2491 2470 +0.8 21220 21735 -2.4
Americas 4871 4930 -1.2 44196 42623 +3.7
Asia Pacific 1933 2074 -6.8 16362 16918 -3.3
Africa and Middle East 2851 2588 +10.1 20007 17525 +14.2
Total 12145 12063 +0.7 101784 98801 +3.0
Passenger load factor (%)
UK/Europe 63.7 61.3 +2.4 pts 73.9 69.9 +4.0 pts
Americas 72.1 77.4 -5.3 pts 79.0 80.3 -1.3 pts
Asia Pacific 75.6 75.2 +0.4 pts 79.2 76.7 +2.5 pts
Africa and Middle East 77.3 75.0 +2.3 pts 77.4 76.7 +0.7 pts
Total 72.2 73.2 -1.0 pts 77.7 76.7 +1.0 pts
Revenue tonne km (RTK) (m)
Cargo tonne km (CTK) 408 444 -8.2 3221 3252 -1.0
Total RTK 1297 1325 -2.1 11185 10810 +3.5
Available tonne km (m) 1858 1890 -1.7 15677 15430 +1.6
Overall load factor (%) 69.8 70.1 -0.3 pts 71.3 70.1 +1.2 pts
Certain information included in these statements is forward-looking and involves
risks and uncertainties that could cause actual results to differ materially
from those expressed or implied by the forward looking statements.
Forward-looking statements include, without limitation, projections relating to
results of operations and financial conditions and the Company's plans and
objectives for future operations, including, without limitation, discussions of
the Company's Business Plan programs, expected future revenues, financing plans
and expected expenditures and divestments. All forward-looking statements in
this report are based upon information known to the Company on the date of this
report. The Company undertakes no obligation to publicly update or revise any
forward-looking statement, whether as a result of new information, future events
or otherwise.
It is not reasonably possible to itemize all of the many factors and specific
events that could cause the Company's forward looking statements to be incorrect
or that could otherwise have a material adverse effect on the future operations
or results of an airline operating in the global economy. Information on some
factors which could result in material difference to the results is available in
the Company's SEC filings, including, without limitation the Company's Report on
Form 20-F for the year ended March 2006.
Investor Relations
Waterside (HCB3)
PO Box 365
Harmondsworth
UB7 OGB
Tel: +44 (0) 20 8738 694
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