ECONOMICS REPORT - Changes in the Airline Industry
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Many airline companies are finding it difficult to make a profit. The International Air Transport Association says it expects the industry to lose up to four thousand million dollars this year.
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After half a decade of turmoil, a picture of air travel in the U.S. is starting to emerge, and it is far different from the caring image the airlines like to present.
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British Airways Plc, Europe's  second-biggest airline, reported a decline in lucrative first  and business class travel in September, alarming investors  despite a continued rise in economy class traffic.
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As frustrated as travelers may be with crowded planes and delayed flights, these are the realities of the leaner U.S. airline industry as it claws its way back to profitability after a brutal years-long slump.
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A sharp drop in oil prices in recent   weeks has been an unexpected boon to the recovering U.S.   airline industry, but some airlines will not see the full   benefit, having locked in prices nearer this summer's peak.
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The airline industry is expected to lose as much as $4-b in 2004 due to the high fuel costs, despite an increase of about 19% in international passenger traffic so far this year.
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Three of the nation's largest airlines could be operating under bankruptcy protection in coming weeks, analysts say, the latest sign of the industry's upheaval as it lurches through a  transformation.
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Move to save hundreds of thousands of dollars on short-haul flights, decrease turn-around time. DALLAS, Nov 17  - Cost cutting at American Airlines may cost passengers some sleep as the airline has removed pillows on about half of its fleet.
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UAL Corp. said it will reduce the overall size of United Airlines&#39; fleet and shift more aircraft to serve international routes, which are more profitable.
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The shakeout in the global airline industry has moved forward like a slow-motion train wreck since Sept. 11, 2001, but last week the pace quickened considerably.
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UNDATED This year brought more evidence of how the US airline industry has turned upside down. The once-mighty hub-and-spoke carriers continue to lose money while low-cost operators remain profitable and drive more change.
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Industry observers say all the talks and recent airline restructurings have set the stage for big changes in the business next year
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In business and finance, 2004 had a split personality. The economy grew at a solid pace, but jobs didn't. The technology sector finally revived, but soon began to consolidate. Airlines packed flights, but still lost billions.
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MONTREAL -- Despite a jump of 19 per cent in world air traffic so far this year, airlines are expected to lose as much as $4 billion US in 2004 due to high fuel costs, says the International Air Transport Association.
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Some big airlines are planning to reduce domestic capacity in 2008 with the hope of driving fares higher to offset rising fuel costs.
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Bowing to increased competition in the United States, United Airlines announced yesterday plans to sharply reduce its domestic flights and increase its international operations.
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Business travel by air is likely to  increase by about 10 percent in 2005 after an initial recovery  in 2004 but the uptick is seen aiding mainly low-cost carriers,  a U.S. industry survey released on Thursday found.