Royal Jordanian passenger numbers up by 30% last month

Wednesday, 25 Jun, 2008 0

RJ says that its passengers increased by 30% in May, compared to the corresponding month last year, whereas fuel prices grew by 110% over that of May 2007.

During the first five months of this year, the number of passengers went up by 21% and fuel expenses by 91%, compared to the same period of 2007.

President/CEO Samer Majali stressed that there has been growing demand on all RJ’s 55 destinations this year, because of the distinguished services offered passengers, the modern fleet of aircraft recently acquired and the electronic systems that facilitate travel procedures at the airport, like Internet booking, electronic tickets and others.

He pointed out that RJ aircraft carried 215,000 passengers in May this year, against 166,000 in May last year. Additionally, the seat factor average increased from 64% to 70% by 9%.

Majali expressed concern about the skyrocketing fuel prices, which cost the airline around JD26.5 million this May, in comparison to JD12.6 million in May last year, marking a 110%increase.

He said that the current fuel prices constitute a significant obstacle for all international airlines; they limit the ambition to develop and modernize of self-reliant companies.

Majali stressed that Royal Jordanian started taking several measures designed to meet the challenges of the rising fuel prices which form around 45% of the company’s overall operational expenses at the time being.

These measures include working to increase the number of passengers and uplifted cargo by delivering quality services and facilitating travel. In order to offset the effect of the increase in fuel prices, RJ raised ticket prices, but has done so reasonably, not to affect the company’s competition in the world markets. It also follows the policy of fuel purchase hedging.

Moreover, the airline has joined efforts with the International Air Transport Association (IATA) to take some technical steps bound to reduce fuel consumption, especially in view of the fact that there is direct connection between the weight carried on board and the increase in fuel consumption.

This May saw an improvement in the other operations indicators in comparison with May 2007; the flight frequency went up by 16%, flying hours by 20% and aircraft mileage by 21%. The uplifted freight also increased by 38%.

The improvement has also affected the operations indicators for the first five months of this year, in comparison with last year, with flight frequencies going up by 16%, flying hours by 18%, aircraft mileage by 19% and the uplifted cargo by 25%.

A Report by The Mole



 

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John Alwyn-Jones



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