EgyptAir loses LE4 bln due to exchange rate difference: Chairman

The total losses of EgyptAir Holding Company reached four billion Egyptian pounds during the first half of the current fiscal year, said Safwat Musallam, chairman of the company.

In a press conference this week, Musallam blamed the loss of three billion pounds on the exchange rate difference after the flotation of the Egyptian pound in November 2016. 

In addition, the halting of Umrah caused the loss of an additional one billion pounds during the same period, he added.

The prices were not raised at the same rate of increase as the US dollar against the Egyptian pound, EgyptAir's chairman explained.

Musallam estimates the "fair price" of the Umrah ticket at around LE9,000; however, the company sells the tickets for Umrah at around LE4,500 to cope with the economic situation of the Egyptian people.

Local flights are currently making a total monthly loss of over LE30 million due to the high costs of operating the flights, he added.

The company has announced that it will apply standards to handle the losses caused by the exchange rate difference.


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