Higher occupancy rates and elimination of unprofitable routes helped El Al Airlines to post a second quarter profit of $12.6 million after a $10.4 million loss for the same period in 2006. The company has overcome energy price increases by increasing fuel surcharges.

Revenues were up 5.5 percent although cargo sales declined. El Al recently cut its staff by 500 and is negotiating on laying off another 170 workers.