Premium traffic dives 6.9 per cent in October 2008 - revenues now falling: IATA

According to a Centre for Asia Pacific Aviation (CAPA) report, International Air Transport Association (IATA) recently described the airline revenue environment as the worst in 50 years. According to IATA, latest premium traffic data, showing a 6.8 per cent reduction worldwide in October 2008 (following an eight per cent fall in September 2008) suggests that premium revenues, a key component of network airlines profitability are now falling.
IATA premium traffic by region (% change year-on-year): October 2006 to October 2008

Source: Centre for Asia Pacific Aviation and IATA
Early indications for November 2008 point to further large decline in business travel and premium revenue, according to IATA. Along with air freight, premium travel is leading the decline in air transport demand.