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Airlines

The European airline industry is about to change dramatically

Nathalie Thomas

Skift Take

Europe's fiscal crisis is leading to some uncertainty in the markets, but it's really the changing face of aviation that's driving consolidation and bankruptcy in its skies.

"Qantas has been through an exceptional period in its history over the past 12 months." When Alan Joyce, the Australian airlines's chief executive uttered the sober statement last week, there were few in the global aviation industry who didn't feel a degree of empathy. The national flag carrier admitted it had racked up its first annual loss since it was privatised in 1995 but Mr Joyce is not alone as he flies through dark skies. He doesn't have to cast his eye far before he finds a competitor in similarly turbulent times. British Airways-owner IAG is sitting on half-year losses of €390m (£309m) amid "deep and structural" problems at its Spanish airline Iberia. Air France is shedding 1500 jobs. UK regional airline Flybe has been forced to issue yet another profit warning, its fifth since its flotation in 2010. Even Ryanair, the seemingly indomitable low cost carrier, saw a 28pc dro

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