Korean Air (SEO:003490) Posted Record Quarter Operating Profit

Seoul, April 15, 2010 AEST (ABN Newswire) - South Korea's biggest airline Korean Air Co. (SEO:003490) Wednesday posted a record first-quarter operating profit as economic recovery helped to increase outbound travel and cargo business. Operating profit for the three months ended March 31 jumped to KRW220.2 billion from KRW6.6 billion a year earlier.

Korean Air said increased outbound travel to China and Southeast Asia and exports by South Korea's IT companies boosted the quarterly results. Its international passenger sales rose 50.9 percent latest quarter, while cargo revenue increased 33 percent. Overseas demand for South Korea's high-tech products, including liquid crystal displays, semiconductors and mobile phones, also pushed up its cargo shipments.

The carrier suffered six straight losing quarters amid the global downturn before rebounding last year. The company expects airline markets this year to show an average of 3.7 per cent growth globally and 9.7 per cent domestic growth on international routes. The airline plans to add 56 large new airplanes from 2010 to 2016.

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