Forecast: Global airline industry to turn profitable this year

A global trade group now says the world's airlines should earn a collective profit of $2.5 billion this year, reversing earlier predictions of a $2.8 billion loss. Traffic growth should hit 7.1% for the year, while cargo shipments should grow 18.5%, according to the new forecast. Even so, the association warned that the economic recovery remains fragile and noted that European airlines, beset by labor troubles and volcanic eruptions, will miss out on much of the improved outlook.

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