Emirates hikes fares due to rising oil prices
Dubai, March 1, 2011
Emirates airline, one of the Arab world's largest carriers, has hiked its fares across all sectors, as it's unable to absorb soaring oil prices, the company said in a statement on Tuesday.
Emirates said the increase in fares differs by markets and routes, declining to give any more details on how much the fares were hiked.
'We have an active fuel risk management programme but with such market volatility it is impossible to fully absorb the impact of soaring oil prices,' an Emirates spokeswoman said in the statement.
Brent crude held steady near $112 a barrel on Tuesday as investors remained cautious about Middle East supplies even as Saudi Arabia ramped up production to cover a drop in Libyan exports.
Rising oil prices will hurt profitability of airlines operating in the Middle East North Africa region, analysts say. - Reuters