Paris - French-Dutch airline Air France-KLM said Tuesday in Paris that it lost 814 million euros (1.1 billion dollars) in fiscal year 2008-2009 because of the effects of the financial crisis on air travel.

That was the first time the company has plunged into the red since Air France and KLM merged in 2003 to form Europe's largest airline, and compares with profits of 756 million euros the company made the previous fiscal year.

Turnover for the fiscal year, which ends March 31, was down just a fraction, to 23.97 billion euros. But operating results plunged to a loss of 129 million euros, compared to a gain of 1.41 billion euros in the 2007-2008 fiscal year.

Company head Pierre-Henri Gourgeon did not risk a forecast for the coming year. "We have no view," he told journalists in the French capital.

He said the market situation remained difficult and that the carrier would reduce capacity by 4.4 per cent for the summer. In addition, some 2,600 jobs will likely be lost in the coming year, he said. (dpa)