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Things Looking Up At US Airways by Steve Robinson
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Things Looking Up At US Airways |
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Business,Current Affairs,Travel & Tourism
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In news that will be greeted positively by travelers who value cheap airplane tickets and cheap vacation packages, US Airways has announced that it expects to return to profitability this year. The more major US airlines that remain in business the more likely many believe airline ticket prices will continue to be relatively cheap. US Airways has been displaying many signs of good tidings. US Airways stock has increased 79 percent this year, markedly outperforming its rivals. The price of oil dropped almost 5 percent from the end of December to the end of June for the first time in seven years, helping US Airways in particular because it is the only major U.S. airline that has stopped hedging against higher jet fuel costs. US airways planes were very close to 83 percent full in May, a record for that month. Earlier this year Continental’s CEO referred to US Airways as “the ugly girl” of the industry when speaking about Continental’s proposed merger with United. At the time many industry experts seemed to agree and questioned US Airways’ survival prospects if it could not find a merger partner. US Airways has backed away from its previous aggressive pursuit of a merger and now claims that it is has a bright future on its own. According to industry insider, US Airways is not currently pursuing merger talks with American Airlines nor is it considering joining American’s global marketing group, Oneworld. Currently US Airways is affiliated with rival Star Alliance, which includes United and Continental. www.cheapfares.com
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