Cathay Pacific 2001 Annual Report Download - page 12

Download and view the complete annual report

Please find page 12 of the 2001 Cathay Pacific annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 72

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72

10 Cathay Pacific Airways Limited Annual Report 2001
REVIEW OF OPERATIONS
CATHAY PACIFIC AIRWAYS LIMITED
컄Cathay Pacific Cargo operates a fleet of 5
B747-400 freighters and 4 B747-200 freighters
serving 20 destinations worldwide.
컄2 new B747-400 freighters joined the fleet
during the year.
컄Turnover decreased by 15.6% as compared to
2000. The slowdown in the world economy
reduced the demand for air cargo, especially for
traffic between Hong Kong and North America
and Europe.
컄In view of the economic situation, 2 B747-200
freighters have been temporarily taken out of
service.
컄Cargo yield was under pressure due to weak
demand and surplus capacity.
컄Cargo available tonne kilometres grew by 1.5%
for the freighter fleet and 2.0% for the fleet as
a whole, whilst overall cargo load factor
averaged 67.3%.
컄Insurance and security surcharges were
introduced to compensate for the impact of
higher insurance premiums following the events
in September.
컄The dedicated overnight services operated by
Cathay Pacific for DHL Worldwide Express
continue to operate successfully. These services
enable DHL to offer a superior express freight
product.
AHK AIR HONG KONG
LIMITED (“AHK”)
컄AHK is an all-cargo carrier with scheduled
services to Japan, Korea, Europe and the Middle
East. The Korean service, which commenced
in September, is operated as an extension of
the Japanese service.
컄The profitability of the company deteriorated,
due to the slowdown in exports from Hong Kong
and intense competition across the region.
컄Capacity, due to the combination of heavy
aircraft maintenance and flight consolidations,
fell by 13.0% over 2000. Yield and load factor,
which were both under severe pressure from
the excess of cargo capacity, fell by 18.6% and
0.6 percentage points respectively.
REVIEW OF AFFILIATED BUSINESSES
AND ASSOCIATED COMPANIES
CATHAY PACIFIC CATERING
SERVICES (H.K.) LIMITED
컄This wholly-owned subsidiary of Cathay Pacific
operates the principal flight kitchen at Hong
Kong International Airport.
컄The company produced 13 million meals in 2001,
down by 1.4 million from last year, and serves
26 scheduled carriers.
컄The company reported a lower profit, compared
with last year, due to the lower production
volume.