Thanks to sustained air traffic growth, European airlines have been able to offset the impact of rising oil prices.

Hence, Air France-KLM and its main competitors are expected to post record results for fiscal 2007/08, though the kerosene bill accounts for 25 to 30 % of their total costs after jumping from $ 61Bn in 2004 to $ 135Bn in 2007. To maintain their margins, airlines have several solutions: imposing surcharges on ticket fares; negotiating and buying oil in advance; or modernising their aircraft fleets. For instance, a Boeing 777 burns 26 % less fuel than a 747-300 and an Airbus A320 built in the 1980s consumes 12 % more than a latest-generation one. Les Echos