Losses shrink but British Airways boss warns of higher air fares

Willie Walsh, boss of British Airways-owner International Airlines Group, today warned passengers they further fare rises as the industry suffers from the high oil price. The cost of crude has dramatically dropped over the past week, but airlines buy much of their fuel six or more months in advance. Walsh pointed out that IAG’s fuel bill was almost a third higher in the first three months of this year than last, at €1.1 billion (£976,000). “Fuel is our single biggest cost and it’s a big challenge for the whole airline industry,” he said. “Everybody’s feeling the...