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U.S. Airlines Return to Profitability by Steve Robinson
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U.S. Airlines Return to Profitability |
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Travel & Tourism,Fitness,E-Commerce
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American Airlines is the only major airlines not expected to report a profit. However, it is supposedly very close to breaking even for the quarter and some experts think it just might be able to report a very modest profit. Total profit for U.S. carriers is estimated to come in at around $1.7 billion vs. a $1 billion loss a year ago for the same quarter. Factors responsible for this turnaround include: • Business travel is filling planes at record levels and contributing to an increase in average ticket prices. • Moderate fuel prices • Improving U.S. economy • Reduced seat capacity has resulted in fewer sales needed to fill planes • Increased revenue from checked baggage and other fee driven services Delta will be the first airline to report profits on Monday, 7/19, followed by United on Tuesday and AirTran, Allegiant, American, and US Airways on Wednesday. Other airlines will report their quarter profits the following week. www.cheapfares.com
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