Air France-KLM shares slip as losses widen

<p>Shares in Air France-KLM have plunged as the company reports wider losses.</p>

Shares in Air France-KLM have declined on the Paris Stock Exchange this morning (February 22nd), as the carrier reports wider losses due to rising fuel prices.

The Franco-Dutch airline made a big loss in 2012, with net losses increasing by 47 per cent to €1.19 billion (£1 billion) after a €471 million restructuring charge and a €890 million increase in the cost of fuel.

Revenues climbed by 5.2 per cent to €25.6 billion thanks in part to higher prices on the carrier's North Atlantic routes, while the company's debt fell to €5.9 billion from €6.5 billion after sell-offs and spending cuts.

Chief executive of the airline Jean-Cyril Spinetta commented: "The year 2012 was characterised by a slowdown. In 2013, we will maintain strict discipline in terms of capacity management, investments and costs."

At 10:15 GMT, shares in Air France-KLM fell by 1.8 per cent to €8.18 per unit.

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