Aviation

Air France-KLM to rein in spending as losses widen amid conflict and rising expenses

Its operating loss in the first quarter of the year grew to €489 million

Air France-KLM reaffirmed full-year capacity guidance but trimmed its 2024 capital expenditure target to €3 billion, the low end of a previously given range.

Higher operating expenses pushed operating losses at Air France-KLM higher in the first quarter of the year and spurred the carrier to announce a hiring freeze for support staff as it seeks to rein in spending.

The ongoing conflict in the Middle East and lower-than-expected revenues at its cargo unit also contributed to the carrier’s operating losses growing from €306 million in the same period a year earlier to €489 million in the first three ...