War Could Cut Demand for Air Travel | Aero-News Network
Aero-News Network
RSS icon RSS feed
podcast icon MP3 podcast
Subscribe Aero-News e-mail Newsletter Subscribe

Airborne Unlimited -- Recent Daily Episodes

Episode Date

Monday

Tuesday

Wednesday

Thursday

Friday

Airborne On ANN

Airborne 07.06.15

Airborne 07.07.15

Airborne 07.01.15

Airborne 07.02.15

Airborne 07.03.15

Airborne Hi-Def On YouTube

Airborne 07.06.15

Airborne 07.07.15

Airborne 07.01.15

Airborne 07.02.15

Airborne 07.03.15

 

Wed, Mar 12, 2003

War Could Cut Demand for Air Travel

ATA Says 70,000 More Could Go Home

The Air Transport Association says that, if the US and Iraq go to war, demand for airlines' services may drop so far that as many as 70,000 people could get the axe.

The ATA says that such a war could lower the top line to major airlines by as much as $4 billion per quarter, as fuel costs and taxes eat up the industry from the middle and bottom of the income statement.

Without naming specific scenarios, the ATA noted that US Airways' emergence from Chapter 11 might not happen, and that United's news could get even worse; and that possibly American could join them in Chapter 11, if for no other reason than to stay competitive. [Chapter 11 firms don't have to pay on their 'prepetition debt,' what they owed before they filed for court protection, until after they emerge -- and then, it's usually a fraction of the actual amount --ed.]

The ATA further warned that the only way to spur air-travel demand might be to further cut prices. A tax cut would go a long way toward helping the industry stay afloat.

FMI: www.air-transport.org

Advertisement

More News

Airborne 07.06.15: Solar Impulse 2, FAA Reauth Delay, Airline Investigation

Also: SpaceX Test, The G500, Senate Appropriations, TSA Causes Cash Confiscation, NASA v Thunderstorms, Virgin Atlantic Cuts, Bristow Scholarship Even those of us who love flying w>[...]

Airborne 07.06.15: Solar Impulse 2, FAA Reauth Delay, Airline Investigation

Also: SpaceX Test, The G500, Senate Appropriations, TSA Causes Cash Confiscation, NASA v Thunderstorms, Virgin Atlantic Cuts, Bristow Scholarship Even those of us who love flying w>[...]

Patty Wagstaff Seeks To Crowdfund A New Airplane

Looks For Donations From The Public With A Goal Of $450K Patty Wagstaff has been flying airshows for more than 25 years. She's an inductee in the National Aviation Hall of Fame ...>[...]

Airborne 07.03.15: New Trig Avionics, Cargo Biz Grows, iOS GPS Fix

Also: 'No Drone Zone', Aviation v Media, Women's Air Race Classic, Houston Spaceport, Navy's New A/C Launch System, GA Fly Safe, FAA InFO Trig Avionics tells us they are unveiling >[...]

AeroSports Update: Red Bull Race Results Are In

Arch Grabs Second Straight Win With Thrilling Victory In Budapest As if the action of Red Bull Racing is not enough, the stunning background provided by the race setting in Budapes>[...]

blog comments powered by Disqus



Advertisement

Advertisement

Podcasts

Advertisement

© 2007 - 2015 Web Development & Design by Pauli Systems, LC