LOT in the black
Polish airline LOT reported profits of PLN49.7m for last year, a considerable improvement of the PLN3.6m it made in 1999 and the third year in a row that it is in the black. The company believes that profits were due to passenger growth, up 7.2 percent over 1999. This, they say, was due to eight new 'planes coming into service and an increased number of routes. LOT ran 8,000 more flights in 2000 than it did in the previous year. The treasury is hoping that these good results will help it find an investor. Currently 37.6 percent of its stock belongs to the Swiss SAirGroup, owner of Swissair. Andrzej Grzelakowski, an undersecretary of state in the transport ministry said that the good results show that the restructuring and privatisation plans of the national carrier have brought effects.A decision will be made this month concerning a possible stock market entry. LOT's success was even more impressive when one considers that many airlines reported losses. Fuel prices almost doubled last year whilst ticket prices hardly moved.