Qantas is cutting its services by 20% between 1 April and mid July and has conceded it will not meet its full-year profit forecast after a drop in forward bookings due to the war in Iraq and the effects of Severe Acute Respiratory Syndrome in Asia. Qantas is also deferring the extension of its US services to Chicago as well as suspending twice-weekly Brisbane-Hong Kong services and four Sydney-Hong Kong services each week. The airline maintains that it will record a strong result for the full year, but analysts are predicting that the airline's profit before tax could be slashed by as much as A$120 million ($71 million) as a result of the war.
Source: Flight International
