Are airlines getting better or worse with the economy in such turmoil?”
Airlines See Signs Of End Of Decline By Jay Boehmer MAY 11, 2009 — April airline traffic reports showed some signs of improvement over March and airline executives pointed to stabilization in revenue and demand declines, as carriers continue to search for the bottom of the business travel recession—which analysts said could lag an economic recovery. While airline CEOs said the revenue environment wasn’t getting worse, they also were reluctant to say it was getting better, and they reported particular softness in the corporate segment in first-quarter earnings reports last month. Buyers, meanwhile, show few signs of refreshing corporate travel budgets or relaxing policies. Delta Air Lines president Ed Bastian, echoing sentiments shared by other airline executives reporting financial results last month, said, “While we have seen signs of stabilization in revenue trends, at the same time we haven’t seen any indications of improvement. Right now, our May and June is shaping up to be simil
Reporting from Kuala Lumpur, Malaysia — The telltale signs of an industry in crisis were unavoidable at the biggest airline trade group’s yearly gathering: Attendance down by more than a third. Lavish sit-down meal service replaced by buffet tables. No golf outings on the agenda. A record number of reporters showed up for the two-day conference, many repeatedly asking executives which carrier would be next to go under or be acquired. One of the highlights of the event: a panel on whether aviation could ever be economically sustainable. (The consensus: Maybe, but only after further painful consolidation.) The 65th annual meeting of the International Air Transport Assn. kicked off Monday in what many airline executives described as the worst business environment they had ever seen. Last week’s Air France crash only added to the gloom. Since last year’s conference in Istanbul, Turkey, 20 carriers have filed for bankruptcy protection or shut down after being pummeled first by high fuel co
