Air France to cut costs to counter oil price rise

8th November 2004, Comments 0 comments

PARIS, Nov 8 (AFP) - Air France is to implement cost-cutting measures to counter the impact of rising oil prices, company chief executive Jean-Cyril Spinetta said in a newspaper interview appearing here Monday.

PARIS, Nov 8 (AFP) - Air France is to implement cost-cutting measures to counter the impact of rising oil prices, company chief executive Jean-Cyril Spinetta said in a newspaper interview appearing here Monday.

"We are not cutting jobs but we are cutting back on budget spending," Spinetta told the Tribune newspaper, citing advertising and foreign missions for Air France executives as two areas slated for reductions.

He provided no figures for the expected savings but said they would be "significant."

The Tribune, citing an unnamed Air France official, said the amount could come to "tens of millions of euros."

Spinetta said late last month that rising oil prices would cost Air France an additional EUR 550 million (USD 713 million) in its current fiscal year.

© AFP

Subject: French News

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