The International Air Transport Association, warning Wednesday of a worsening situation for the world's airlines, more than doubled its previous estimate of industry losses for 2008.

The group projected that carriers worldwide will probably lose $5.2 billion this year, up sharply from its June prediction of a $2.3 billion loss. Almost all the losses will come in North America.

"The situation remains bleak," said Giovanni Bisignani, association director general and chief executive. "The toxic combination of high oil prices and falling demand continues to poison the industry's profitability."

A year ago, association officials predicted that airlines would earn $7.8 billion in 2008, and as recently as March, they forecast profits of $4.5 billion. But they weren't expecting oil prices to skyrocket.

"While there has been some relief in the oil price in recent months, the year-to-date average is $113 per barrel," Mr. Bisignani said. "That's $40 per barrel more than the $73-per-barrel average for 2007, pushing the industry fuel bill up by $50 billion to an expected $186 billion this year."

In its first look at next year, the group projected industry losses of $4.1 billion, based on the presumption of $110-a-barrel oil, $136 jet fuel and traffic growth of 2.9 percent. The group expects the total fuel bill to increase to $223 billion in 2009 as airlines benefit less from fuel hedging, which has limited the impact of rising prices.

The association said capacity has been growing faster than traffic, meaning that airplanes are not as full in recent months as in the same period a year earlier.

While the problems in the United States are spreading to other regions, North America remains the hardest hit:

•The association projects that North American airlines will lose $5 billion in 2008 vs. $2.8 billion in 2007 profit.

•Europe will earn $300 million, down from $2.1 billion last year.

•The Asia-Pacific region will earn $300 million, down from $900 million in 2007.

"While some regions will show small profits, the negative impact of the industry crisis is universal," Mr. Bisignani said.