Airlines expect a sag, but economies may help

The nation's airlines may be losing their shirts now because of the air traffic controller strike, but analysts say they could profit in the long run from increased loads using fewer planes, personnel, and fuel.

While airlines are losing about $30 million in revenues daily, these short-term losses could be offset by benefits from the strike if there is a long period when the supply of seats is restricted and demand returns to normal, according to analysts with Kidder, Peabody & Co.

The experts stress, however, that the strike will affect individual carriers to differing degrees according to their route structures, fleet mixes, and financial conditions.

About these ads
Sponsored Content by LockerDome

We want to hear, did we miss an angle we should have covered? Should we come back to this topic? Or just give us a rating for this story. We want to hear from you.

Loading...

Loading...

Loading...

Save for later

Save
Cancel

Saved ( of items)

This item has been saved to read later from any device.
Access saved items through your user name at the top of the page.

View Saved Items

OK

Failed to save

You reached the limit of 20 saved items.
Please visit following link to manage you saved items.

View Saved Items

OK

Failed to save

You have already saved this item.

View Saved Items

OK