X-Message-Number: 24538 From: "Mark Plus" <> Subject: The oil "singularity" threatens civilian aviation ... Date: Thu, 19 Aug 2004 21:30:56 -0700 ... and it threatens to strand overseas cryonicists who will either get priced out of the air travel market , who will find that the airlines which used to service their respective countries have gone out of business, or who will confront the fact that all the commercial jets have been grounded because of fuel shortages [Mark Plus]: http://news.independent.co.uk/business/analysis_and_features/story.jsp?story=553304 Soaring oil fuels fears of a corporate aviation disaster After September 11 and Sars, high fuel prices could finally ground an airline By Damian Reece, City Editor 20 August 2004 Geoff Dixon, the chief executive of Qantas, left the world in no doubt yesterday about the growing crisis that is threatening to engulf the aviation industry. "The rapid escalation of the price of crude oil is the major factor facing Qantas and the aviation industry worldwide," was his stark message at the company's half yearly results. Speculation is mounting that as crude oil pushes through the $48 a barrel level, this will be enough to push a large airline out of business. So could this be the year we see a corporate disaster in the aviation industry? Breaking off from dealing with his latest union dispute, Rod Eddington, the chief executive of British Airways, told The Independent: "I think the answer has to be yes to that question, if for no other reason than a lot of airlines were under substantial pressure when oil was under $28 a barrel. "Imagine what it's like at nearly $48. The industry was already fragile. It has lost more money since 9/11 than it ever made before." Mr Eddington still has the words of Giovanni Bisignani ringing in his ears. In June, the chief executive of the International Air Travel Association (Iata), said that an average crude oil price this year of $33 a barrel would mean the global airline industry breaking even. Anything above that, he warned at IATA's annual meeting, and the industry would be plunged into the red for the fourth year running. Mr Eddington said: "This says clearly that this is another year of major difficulties for airlines worldwide. There have been and there will be failures." _________________________________________________________________ FREE pop-up blocking with the new MSN Toolbar get it now! http://toolbar.msn.click-url.com/go/onm00200415ave/direct/01/ Rate This Message: http://www.cryonet.org/cgi-bin/rate.cgi?msg=24538