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Air Congestion Seen as Block to Airline Growth

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From Reuters

Meeting for the first time in an East Bloc country, the International Air Transport Assn. today discussed air congestion and security.

Association Director General Guenter Eser said the organization’s 187 member airlines had doubled net profits in 1988 to $1.6 billion from 1987’s figure on scheduled international services.

But he said increasing congestion in the skies might soon halt the speedy development of the industry.

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The association had identified 35 European airports as being “very congested,” especially in Spain, Italy and Greece.

“Instead of the marketplace deciding the course of the industry, operational constraints will determine who flies where and when,” Eser said. He added that only concerted action by European governments could help to find a solution.

The meeting is expected to pass resolutions on congestion and air security.

Some airlines had complained that governments made excessive demands on the carriers’ security services after the bombing of a Pan Am airliner over Scotland in December that killed 270 people, Eser said.

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