Message by Tony Tyler, Director General & CEO
The first quarter of 2012 has been challenging. Fears of a European economic meltdown may have subsided for the time being. But they were replaced with concern over rapidly rising oil prices. In March, we downgraded our 2012 full year outlook to a collective profit of $3.0 billion. That’s a razor thin margin of just 0.5%.
The news is more positive on safety, our top priority. 2011 was the safest year in aviation history with one hull loss for every 2.7 million flights with western built jet aircraft. IOSA helped to drive the improvement. The hull loss rate for carriers on the IOSA registry was 52% better than for those carriers that have not passed IOSA's 900+ standards. Every accident is one too many and we must continue our efforts across the industry and with governments to do even better.
Environment issues continue to be front and center. Non-European governments concerned about sovereignty are now leading the opposition to the inclusion of international aviation in the EU ETS. Meanwhile, we are working with ICAO to progress options for a globally coordinated approach to market-based measures in time for the 2013 Assembly.
In the meantime, Oxford Economics has quantified the benefits of global aviation—56.6 million jobs and $2.2 trillion in economic activity. This is a potent rallying call for governments to replace “tax-and-restrict” polices with a competitiveness-enabling approach that supports jobs and sustainable growth.
We will have lots to discuss when the industry meets in Beijing for the 68th IATA Annual General Meeting from 10-12 June. I look forward to seeing you there.