Air France-KLM sees profit slide 51%

Air France-KLM says its net profit dropped more than 50% in the third quarter as it continues to struggle amid Europe's poor economy and intense competition.

Air France-KLM says its net profit dropped more than 50% in the third quarter as it continues to struggle amid Europe's poor economy and intense competition.

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The Franco-Dutch company is in the midst of a cost-cutting turnaround plan, which it says is beginning to bear fruit. But last month it announced it would have to eliminate 2,800 more jobs at its French airline in order to balance its books.

Net profit for the July-to-September period was 144 million euros ($198 million), down 51%. Analysts surveyed by FactSet had expected 164 million euros.

Revenues rose about 0.5% to 7.2 billion euros. The company said it had a good summer season, but a poor economy in Europe is driving down medium-haul and cargo business.