Cathay Pacific reports 83% drop in annual profit

Cathay Pacific has posted an 83% fall in profits citing lacklustre premium sales, continued weak cargo demand and higher fuel costs. The carrier made a net profit of HK$916m ($118m) in 2012, down from HK$5.5bn for 2011. “Premium class yields were affected by travel restrictions imposed by corporations,” Christopher Pratt, chairman of Cathay Pacific said in a statement. “Economic uncertainty, particularly in the eurozone countries, and an increasingly competitive environment added to the difficulties.” Mr Pratt added that high fuel costs had hurt Cathay’s profitability, especially on long-haul routes, which it said were dominated by “older, less fuel-efficient, Boeing 747-400