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December 2, 2008 7:24:52 AM CST



Airline Industry track this thread

Started by Imperator; Last updated by D Lim | View history

Airline Industry

Business in the friendly skies hasn't been high-flying of late

It's been a long, hard, half-decade for much of the airline industry. Since 9/11, it has been trying to recover from the decrease in passenger travel, only to be clobbered by high fuel prices in recent years—landing several of the American ‘majors’ in bankruptcy. Some of the upstarts continued to do well, including Southwest and JetBlue in the US and Ryanair and easyJet in Europe. Yet even the new lean airlines stumble from time to time, as JetBlue learned the hard way in February 2007, when an ice storm in New York snarled operations for almost a week.

Stories

Stories 101 - 120 of 339

  • May 2008
    • United Drops US Airways Deal, Woos Continental

      United Drops US Airways Deal, Woos Continental

      (Newser) - A proposed merger between United Airlines and US Airways is on hold again, the Wall Street Journal reports. United’s CEO told his US Airways counterpart that his airline is close to a deal with Continental, a merger that would be less costly and wouldn’t face as much antitrust scrutiny as a United-US Airways deal, the Journal notes. United’s revelation follows rejection from Continental last month. More »

    • AA Should Bag Boneheaded Luggage Fee

      AA Should Bag Boneheaded Luggage Fee

      (Newser) - American Airlines’ plan to charge passengers $15 to check a bag is likely to cost the carrier more money than it generates, Joe Brancatelli argues in Portfolio . “Not only will it infuriate flyers—who are already annoyed with American’s lousy operating efficiency and its recent maintenance snafus—it’s likely to further erode American’s on-time and baggage-handling rates,” he writes. More »

    • Man Sues Delta for Ruined Vacation

      Man Sues Delta for Ruined Vacation

      (Newser) - A furious lawyer is suing Delta airlines for $1 million for turning a dream trip to Argentina for his mother's 80th birthday into a nightmare, Reuters reports. "Obnoxious and incompetent" airline staff refused to allow the man and his family onto a connecting flight from Atlanta, so it took them three days to get to Buenos Aires and another five to be reunited with their bags, according to the suit. More »

    • CEOs of United, US Airways Will Meet to Talk Merger

      CEOs of United, US Airways Will Meet to Talk Merger

      (Newser) - The CEOs from United Airlines and US Airways will meet tomorrow to try to nudge ahead talks of a possible merger, the Wall Street Journal reports. If they make headway, the executives could present a possible deal to their respective boards in mid-June. The deal, in the works for two months but rumored to be in trouble recently, could easily fall through for a host of reasons, including the volatility of the industry over surging oil prices. More »

    • Another United Merger Crashes

      Another United Merger Crashes

      (Newser) - A proposed merger between United Airlines and rival US Airways has collapsed, just a month after a deal between United and Continental fell apart. Some analysts predicted the rising cost of jet fuel would power merger deals, but the failed negotiations have raised serious questions about the success of future consolidation in the airline industry, reports the New York Times . More »

    • Airlines Forced to Front Cash for Fuel

      Airlines Forced to Front Cash for Fuel

      (Newser) - Cash-strapped airlines are now being pressured to pay millions of dollars in advance for aviation fuel, reports the Times of London. Mandatory prepayment for fuel has become common in the US and is now moving to Europe as crude oil prices continue to rise and the solvency of the industry is uncertain. Jet fuel costs have soared 60% since January. More »

    • High Gas Prices Give Economy a Headache

      High Gas Prices Give Economy a Headache

      (Newser) - Oil prices gushed for 5 years, but the US economy remained blissfully unaffected—until now, the Los Angeles Times reports. Rising gas prices have finally spooked consumers and sparked ominous news from two major airlines, Ford, and even memory card maker SanDisk. “The economic outlook has been taken hostage by the relentless surge in oil prices,” said one economist. More »

    • Airlines Hike Ticket Prices

      Airlines Hike Ticket Prices

      (Newser) - The big three US airlines responded to soaring oil prices by boosting most domestic prices by up to $60 roundtrip in the last few days, the AP reports. United led the way with increases from $10 to $60 Thursday; American and Delta followed suit yesterday. Meanwhile, low-cost AirTran raised its leisure tickets $30 and business tickets $50. More »

    • Airline Business Model Won't Work With $130 Oil

      Airline Business Model Won't Work With $130 Oil

      (Newser) - The airline industry as we know it can’t function on $130-a-barrel oil, industry analysts are saying, and cost-cutting, ticket price increases, and bag-check fees won't make it viable. The Dallas Morning News looks at how hopeless it is for airlines to come anywhere near break-even at current costs, noting that an expert said last fall it couldn't be done at anything more than $80 a barrel.  More »

    • To Beat Jet Lag, Skip Airline Food

      To Beat Jet Lag, Skip Airline Food

      (Newser) - Jet lag can be beaten—if passengers avoid airline food, new research suggests. The timing of meals has a profound effect on the body's internal rhythms, and passengers who go without for a while—keeping the body's "food-related clock" in check—can dodge much of the exhausting effects of jet lag, reports the Daily Telegraph. More »

    • Bargain Airfares Still Out There

      Bargain Airfares Still Out There

      (Newser) - Airfares are skyrocketing, but deals are still out there. The New York Times offers some pointers: Book directly with the airline. Sign up for private price cuts. Buy one ticket at a time. Make your computer do the work. More »

    • American Cuts Flights, Will Charge $15 for First Bag

      American Cuts Flights, Will Charge $15 for First Bag

      (Newser) - American Airlines is cutting flights, jobs, and carrying capacity in its effort to withstand skyrocketing oil prices, the company announced today—and it's adding a $15 fee for some customers' first checked bag. US capacity could fall 12% as up to 85 planes are retired, the Wall Street Journal reports. The announcement sent airline stocks plummeting. More »

    • As Fuel Soars, Airlines Clip Regional Flights

      As Fuel Soars, Airlines Clip Regional Flights

      (Newser) - Soaring fuel prices have prompted airlines to cut service—sometimes completely—to some 400 cities nationwide as carriers look for ways to maximize load and cut costs, reports the New York Times . Airlines reduced flights in May by 22,900 from a year ago, a 3% decline, and discontinued service to 30 cities. Analysts say there’s more to come. More »

    • How to Fit Everything in One Bag

      How to Fit Everything in One Bag

      (Newser) - With airlines charging more for extra bags, the trick is to fly light. A packing guru offers these tips for stuffing it all in one bag, NPR reports: Make a no-frills list, and stick to it (see onebag.com for ideas). Don't let any space go unused (stuff things into shoes, for example). More »

    • FAA Questions American's Lightning Safety

      FAA Questions American's Lightning Safety

      (Newser) - The FAA is questioning American Airlines' new policy on lightning inspections, and its opener is: Why doesn’t American do them anymore? American recently forbade its mechanics from doing extensive lightning damage checks unless pilots suspected a strike, a move designed to reduce delays and cancellations. Big airlines are typically allowed to tweak safety standards, reports the Wall Street Journal.