Air France-KLM reduces Q2 losses with restructuring efforts

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Air France-KLM has stemmed losses during the second quarter of 2013, posting a deficit for the three months to June 2013 of €163 million ($217 million).

This compares with a negative net result for the same period in 2012 of €897 million when the group's bottom line was hit by restructuring costs and fuel hedging losses.

The group attributed the improvement in results to a 1.2% decline in its operating costs. The main changes were a 7.7% drop in its fuel bill to €1.74 billion, mostly because of an 8% decline in fuel price after hedging, and a 0.6% fall in employee costs to €1.97 billion, which the group says mainly reflects a €45 million saving from a headcount reduction.

Group revenue for the quarter also grew by 1.2% year on year to €6.58 billion from €6.5 billion, while the carrier posted a positive operating result of €79 million compared with a €79 million loss last year.