After weak start to year, airlines eagerly looking to profitable summer
Most US airlines lost money in the first quarter, traditionally the weakest time of year for travel, but they are all eagerly looking ahead to a summer of full planes and high fares.
American Airlines and Southwest Airlines said on Thursday that they expect to be solidly profitable in the second quarter. They joined Delta Air Lines and United Airlines in giving an upbeat outlook for the April-through-June period, which includes the start of the peak travel season.
Southwest CEO Robert Jordan said that despite losing USD 159 million in the first quarter the airline blamed fallout from its December meltdown, which hurt bookings early this year his airline made money in March as revenue picked up.
While we are mindful of the uncertain economic environment, demand for domestic air travel remains strong, thus far, Jordan said.
American eked out a USD 10 million profit for the first quarter as revenue jumped 37 per cent from a year earlier. The airline predicted second-quarter earnings