Airline Weekly Lounge

Air Canada is flying double-daily high-density Boeing 777s — its equivalent of an Airbus A380 as Mark Galardo put it — to Athens this summer to meet some of the best travel demand it has ever seen. Galardo, the airline's executive vice president for revenue and network planning, joined host Edward Russell in the Lounge to chat about summer demand, Air Canada's recovery, and the evolving Canadian domestic market. Reading List Air Canada Is off to a Good Start Airline Execs Dismiss Slowdown Fears, Say It is ‘Best Recession’ Industry Ever Faced

The mood in Istanbul at the IATA Annual General Meeting was definitely jubilant this year. Despite all the challenges airlines face — and, frankly, when do they not face challenges? — attendees celebrated strong demand, cheaper fuel, and other tailwinds. Will the good times continue? Edward Russell, fresh off the plane back, and Jay Shabat discuss. Plus, the industry's sustainability challenge and IndiGo's international plans.

U.S. airports saw roughly 300,000 more travelers than in 2019 over the Memorial Day weekend holiday, a sign of a busy summer to come. Are airlines ready? Edward Russell and Jay Shabat discuss. Plus, Delta is hit with a greenwashing lawsuit.

Icelandair had a rough few years before and during Covid. But the airline believes it has turned the financial corner, and forecasts its best results in seven years. Edward Russell and Jay Shabat discuss. Plus, Turkish Airlines’ big plans for Anadolujet. Reading List Icelandair Rides High Yields to Profits Turkish Airlines to Spin Off Low-Cost Carrier Anadolujet

Air Canada lost money in the first quarter of 2023. But that's no surprise. Wintertime losses are common for the carrier. But the red ink was minimal, setting it up for a strong year. Plus, a discussion about San Francisco's struggling airline market. Jay Shabat is joined by Madhu Unnikrishnan to discuss Air Canada's Q1 earnings and what's going at SFO. Reading List Air Canada Posts a Loss Despite Strong Travel Demand Airlines Face Capacity Scarcity Amid Aircraft and Engine Shortage Chart: Air Hockey Fight

Ryanair gave Boeing a boost, and let bygones be bygones, by ordering up to 300 new 737 Maxes. It’s the European discounter’s largest-ever order. Edward Russell and Jay Shabat discuss the deal. Plus, Air France-KLM and IAG’s first-quarter results. Reading List Ryanair Looks East With New Boeing 737 Maxes From Its Largest Order Ever Air France-KLM Eyes Expansion in Booming South America With Potential TAP Deal Iberia Leads Europe’s IAG to Winter Profits

Alan Joyce took over Qantas Airways just as the Great Recession descended in 2008. He set about turning around its money-losing longhaul business, forging new international ties, and cementing Qantas' dominance of the Australian domestic market. Edward Russell and Jay Shabat discuss Joyce's legacy and the challenges that confront incoming CEO Vanessa Hudson. Plus, Lufthansa's somewhat concerning first-quarter results. Reading List New Qantas CEO Must Build on Predecessor’s Legacy Qantas Picks Finance Chief Vanessa Hudson as First Female CEO Lufthansa Sees Record Summer Revenue Thanks to Capacity Limits

JetBlue has a New York problem. The city that made the airline could hold it back this summer if the Federal Aviation Administration’s air traffic control staffing issues are as bad as forecast. Edward Russell and Jay Shabat discuss. Plus, WestJet pursues a new, least bad strategy. Reading List Q&A With WestJet CEO Alexis von Hoensbroech JetBlue Sounds Alarm on New York Flight Delays This Summer Delta, United, JetBlue, American to Cut New York Flights This Summer to Reduce Delays

Airline Weekly’s Jay Shabat is joined by former Airline Weekly Editor Madhu Unnikrishnan to discuss United Airlines’ and Alaska Airlines’ first quarter earnings reports from earlier this week. The conversation starts with United’s challenges in January and February, and notes investors will tolerate it if they have a strong March and the rest of the year. United is working to rectify its problems in Florida and has a lot of aircraft coming along in the next few years to put somewhere. The company has also benefited from a trend in premium leisure travel, which has helped fill the seats in the premium cabins. The three big U.S. carriers – United, Delta, and American – are doing well compared to the domestic carriers. They have the advantage of the demand being strong, and a lot of foreign carriers cutting capacity during the pandemic. Next, they discuss Alaska Airlines and mention that the company reported negative 4.6 operating margin for the first quarter, which is not good compared to their positive 2.5% operating margin in 2019. Alaska has historically had weak first quarters, and they sometimes lose money in January and February, but they have been a very successful and profitable airline. They also discuss where Alaska fits in the overall U.S. airline picture, as it is not a low-cost carrier like Frontier nor a full-service airline like Delta and United. Reading List Alaska Airlines Optimistic Despite January and February Stumbles United Sees 2023 as Setting Course for Its Post-Pandemic Future

Delta Air Lines kicked off the first-quarter earnings season this week. Edward Russell and Jay Shabat discuss what they expect. Plus, can American Airlines catch up to the pack? Reading List Delta Margin Recovery to Near Pre-Pandemic Levels in Second Quarter American Airlines Expects a Good First Quarter, the Second Is an Open Question American, Still Less Profitable than Delta and United, Attempts to Catch Up

Atlanta retained its title as the world’s busiest airport last year, shocker we know. But more interesting is the rise of the Denver and Istanbul airports — to third and seventh busiest, respectively — that were not even in the top 10 in 2019. Edward Russell and Jay Shabat discuss, plus the unfortunate shortage of air traffic controllers in the New York-area this summer. Reading List What’s the World’s Busiest Airport? Atlanta, Yet Again Delta, United, JetBlue, American to Cut New York Flights This Summer to Reduce Delays American and United Cut Spring Flights Due to Pilot Shortage, Aircraft Delays

Lufthansa is closer than ever to a deal for Italy's state-owned carrier, Alita..., oops, ITA Airways. But can Lufthansa turn loss-making ITA into a gem? That remains to be seen. Edward Russell and Jay Shabat discuss, plus the Istanbul Airport's impressive growth. Reading List Lufthansa Still Keen on ITA Airways Deal But Wants Price Discounted Over Heavy Losses Can Consolidation Lift Lufthansa? Istanbul Airport Lands EasyJet, Wizz Air Among 15 New Airlines Helping Drive Growth

Big changes are underway in Saudi Arabia and India, with both poised for rapid growth in airline traffic. Each, however, is taking a distinct approach with respect to protecting their domestic airlines. Airline Weekly’s Jay Shabat discusses with Skift’s Asia editor Peden Doma Bhatia. Related Stories How India Is Preparing for Its Goal of 1 Billion Airline Passengers What You Need to Know About Saudi Arabia’s Bet on a New National Airline Skift India Daily: A Billion Air Travelers Expected by 2040 — How Adani Airports Is Preparing Middle East Set to Be One of the Fastest-Growing Airline Markets

U.S. airlines presented at a major investor event in New York last week. What did they say? Airline Weekly's Jay Shabat discusses with special guest Brian Sumers of The Airline Observer. Plus, a look at an airline in the Philippines with a very unique business model... and a very unique aircraft configuration. Related Stories: Rival CEOs at JetBlue, United and American Rally Together to Challenge Justice Department To Hear CEO Ed Bastian, It’s Delta’s World, We Just Live In It

It’s official: The U.S. Justice Department just sued to block JetBlue and Spirit from merging. Will it win? That’s anyone’s guess, but JetBlue CEO Robin Hayes said he plans to fight the regulator. Edward Russell and Jay Shabat discuss. Plus, the latest results from Azul and Thai Airways. Reading List U.S. Sues to Block JetBlue and Spirit Merger JetBlue Prepares for a Fight With Justice Department if Spirit Merger Blocked Azul Escapes Potential Bankruptcy With Aircraft Lessor Agreements

Airlines face wide-ranging fallout from Russia's invasion of Ukraine a year ago in February. The biggest is the airspace closure, but the war has also triggered a surge in global energy prices while western sanctions are pressuring Russian airlines. Edward Russell and Jay Shabat discuss. Plus, why you need an accounting degree and years of experience to decipher AirAsia-parent Capital A's numbers. Reading List Airlines Adapt Amid Russia's Ukraine War AirAsia Looks to China to Drive Budget Airline’s Recovery

Singapore Airlines and Copa Airlines were two champions of the December quarter with standout financial results. What set them apart from the pack? Edward Russell and Jay Shabat discuss on the Airline Weekly Lounge. Reading List Singapore Airlines Looks Beyond Strong Profits to Big Things From Air India Deal Copa’s Stars Aligned in Fourth Quarter

Spirit Airlines lags other U.S. airlines in financial performance. In fact, it lost money last year while most of its peers produced profits. Can it fix its cost problems and restore order? Edward Russell and Jay Shabat discuss on the latest Airline Weekly Lounge. Plus, is Azul in trouble? Reading List Spirit Airlines Struggles to Control Costs as It Awaits Fate of JetBlue Merger Brazil’s Azul Eyes Potential Restructuring Chile’s JetSmart Enters Fray as Potential Spoiler to Viva Air-Avianca Merger

A goodbye to the Boeing 747, the Queen of the Skies. The planemaker delivered the last off the line of the iconic jumbo jet to Atlas Air on Tuesday. Reading List Skyfaring: A Journey with a Pilot by Mark Vanhoenacker Atlas Air celebrates the final 747 delivery with a tribute to the Queen (Flightradar24)

It's a busy earnings week with American, Southwest, Alaska, and JetBlue all reporting. Edward Russell and Jay Shabat preview what they're listening for ahead of the airline calls on Thursday, January 26. Plus, EasyJet's strong December quarter revenues suggest their network shift to southern Europe is working. Reading List American Airlines Sees First Full Year of Profitability Since 2019 Southwest Airlines Vows to Return to Recovery Plan by March After Meltdown Alaska Airlines’ Exposure to Tech Sector Hits Carrier’s Bottom Line JetBlue Boasts 50 Percent Jump in TrueBlue Loyalty Enrollment in 2022 EasyJet Financials Lifted by High Demand and Ancillary Revenues

Was that a hint of an Irish accent when United Airlines CEO Scott Kirby took down the U.S. industry for being unprepared for the post-Covid operating reality? Edward Russell and Jay Shabat discuss. Plus, the U.S-China air service recovery is in the hands of government officials. Reading List United CEO Says U.S. Airline Industry Unprepared for Post-Pandemic Realities by Edward Russell Geopolitics Get in Way of Resuming U.S.-China Flights as Demand Surges by Edward Russell

Welcome to fourth quarter airline earnings season. Oil prices have come down from the peak of the year but labor costs are climbing as the system of pulleys and levers that determine the industry's costs continue to fluctuate. Edward Russell and Jay Shabat discuss what they're looking at as airlines report. Plus, the ongoing evolution in air service to small cities across the U.S. Read this week’s issue of Airline Weekly: https://airlineweekly.com/issues/ Read the latest aviation headlines at AW Daily: https://airlineweekly.com/aw-daily/

Southwest Airlines had a terrible, horrible, no good, very bad holiday season. The cancellation of 15,000-plus flights between Christmas and New Years will weigh on its fourth quarter results, but consumers' memories are short and the airline will survive. Edward Russell and Jay Shabat discuss. Plus, what European country does Eurocontrol's latest data show led the continent's air traffic recovery last year? Further Reading: European Airlines Could Face Steep Operational Challenges in 2023 by Jay Shabat Southwest’s Meltdown Should Be a Technology Warning for Airlines by Justin Dawes

It's been quite the year in aviation. From Covid variants to staffing shortages and flight disruptions, and industry dealmaking, 2022 took us for some interesting turns — but then what year does not? Edward Russell and Jay Shabat discuss what they'll be following in the New Year. Enjoy the last Airline Weekly Lounge episode of 2022. Read daily coverage of the airline industry at https://airlineweekly.com/aw-daily/ Subscribe to Airline Weekly at https://airlineweekly.com/subscribe/

Delta Air Lines and United Airlines unveiled ambitious plans this week. The latter ordered up to 300 new Boeing aircraft, 200 of them 787s. CEO Scott Kirby claims the deal will cement United's status as the so-called U.S. flag carrier. And the former aims to recover its pre-pandemic profit margins in just two years. Can Delta and United do it? Edward Russell and Jay Shabat discuss in the 'Lounge. Read more about United and Delta on Skift. For deeper insights into aviation, subscribe to Airline Weekly.

Labor is making big headway at U.S. airlines. The Air Line Pilots Association reached an agreement-in-principal with Delta Air Lines in a deal that could set a new benchmark for pilot pay if ratified. Edward Russell and Jay Shabat discuss the ramifications this week. Plus, IATA's brightening financial outlook for 2023. Read more about Delta Air Lines at Skift: https://skift.com/tag/delta-air-lines/ Get essential airline industry news at https://airlineweekly.com/

EasyJet is making good on its recovery plan. From expanding at slot-constrained airports like Lisbon and opening new seasonal bases in Greece, the airline is on its way back to the black. Edward Russell and Jay Shabat discuss EasyJet's results for the fiscal year that ended in September. Plus, the Air India-Vistara merger. You can read more about EasyJet at Skift. For in-depth coverage of aviation, subscribe to Airline Weekly.

Airlines want more planes to meet travel demand but, with supply chains backed up, there are few new models to go around. That's good news for aircraft lessors with more than 90 percent of leases being renewed, up from around 60 percent historically, Air Lease Corp. Executive Chairman Steven Udvar-Hazy said at the Skift Aviation Forum. Listen to Airline Weekly Editor Edward Russell's discussion with Udvar-Hazy at the forum.

Thanksgiving travel in the U.S. is back, said Airlines for America President and CEO Nicholas Calio. But while it will be as busy as it was three years ago, it will also be different as more people take blended trips and make it a Thanksgiving week. Calio and Edward Russell discuss the holiday outlook, plus the U.S. industry's recovery, operations, and air traffic control staffing. For daily coverage of the airline industry follow along at https://airlineweekly.com/aw-daily. For deep coverage of the airline industry, subscribe at https://airlineweekly.com/.

Turkish Airlines had a blowout third quarter. The airline's revenues and capacity are way up from 2019 with no pause in sight. Edward Russell and Jay Shabat discuss Turkish's outlook. Plus, Ryanair's cautious outlook despite surprisingly robust travel demand. Get more aviation insights and subscribe to Airline Weekly. Read more about airlines at Skift.com.

Air France-KLM wants TAP Air Portugal, but so does International Airlines Group. IAG also wants Air Europa, and maybe even EasyJet. And the Lufthansa Group is back in play for ITA Airways. Edward Russell and Jay Shabat discuss the outlook for Europe's Big Three airline groups and their latest merger machinations. Plus, the outlook from Emirates. Get more aviation insights and subscribe to Airline Weekly. Read more about airlines at Skift.com.

Who would have thought three years ago that we'd be talking about the bright future for Norwegian Air? One restructuring and pandemic later, and the discounter is profitable and taking corporate travel share from competitor SAS. Edward Russell and Jay Shabat discuss the news from the Nordics, plus Hawaiian Airlines' continued struggles. Get more aviation insights and subscribe to Airline Weekly. Read more about Norwegian Air at Skift.com.

Latin American airline executives are mostly bullish on the near-term outlook but, given their exposure to the strong U.S. dollar and other macro pressures, are cautious about what the new year may hold. Edward Russell and Jay Shabat discuss the forecast from the ALTA Leaders Forum in Buenos Aires this week, plus American and United's third quarter results. 11:34

Delta Air Lines CEO Ed Bastian claimed this week, after his airline reported a robust third quarter profit and sees seemingly unsated demand, that travel is "countercyclical" to the economic winds. And he's not alone, International Airlines Group and United Airlines have separately said they see no signs of travel demand waning. Edward Russell and Jay Shabat discuss Bastian's prognosis, plus what's up in Amsterdam.

What's the ado with Austin, Cancun, Ho Chi Minh City, Paris Orly, and Riyadh? All of the airports are seeing tremendous growth above pre-pandemic levels. Edward Russell and Jay Shabat discuss why. Plus, Boeing's 737 Max: the good news and bad news.

The "real revenue growth" at American Airlines is in blended trips, or travel that includes both business and personal aspects, Chief Commercial Officer Vasu Raja said at the Skift Global Forum earlier in September. Nearly half of the airline’s revenues now come from these blended trips. What’s more, this new classification of trip is driving the carrier’s revenue growth more than anything else today. “What the pandemic really unlocked, and the recovery from it, is the great merging,” Raja said. “People don’t need to keep need to keep a work life for five days, personal life for two days, and carve out two weeks a year for vacations.” Listen to Skift Founder and CEO Rafat Ali and Raja's fascinating discussion at the forum in full.

The U.S. travel recovery is strong, and maybe nearly complete. If there is one airport that epitomizes the strength of the leisure-first recovery, it is Orlando where seemingly endless domestic demand before the pandemic has translated to much the same post-pandemic. Listen to Edward Russell discuss the state of the industry with moderator Racquel Asa, chief marketing officer at Beep, at an event marking the opening of the airport's new $2.8 billion Terminal C. Also, chilaquiles.

Is Indian aviation's moment here? Air India under Tata ownership has a deal for new airplanes, while the country's largest airline, IndiGo, keeps growing and several new startups are adding new competition to the market. Edward Russell and Jay Shabat discuss, plus the Tijuana Airport's Cross Border Xpress bridge to the U.S. and how its changing California-Mexico travel.

Chinese airlines struggled mightily during the first half of the year under the country's zero-Covid policy. The Big 3 all lost money but China Eastern, based in Shanghai — which suffered several lockdowns — lost the most. Edward Russell and Jay Shabat discuss the situation and how it may be turning around. Plus, Orlando Airport's new $2.8 billion terminal.

What does post-pandemic life like for a destination carrier like Hawaiian Airlines? CEO Peter Ingram joins Edward Russell to discuss the airline's recovery and outlook, including the long-awaited reopening of Japan. Plus, what Hawaiian might do with the new Boeing 787s that arrive soon.

Flying through London is getting a little better with the end of capacity caps at Gatwick Airport. But constraints remain in place at Heathrow until the end of October, and British Airways has already reduced its schedules through the winter. And always eager Ryanair is ready with more seats to grab market share, Edward Russell and Jay Shabat discuss the situation. Also, American Airlines' regional strategy.

The Lufthansa Group has spent the better part of 20 years trying to improve its fortunes through consolidation. Some deals, like of Swiss, have been winners, others, like of Austrian and Brussels, not so much. Edward Russell and Jay Shabat discuss Lufthansa's aim, and what a potential ITA Airways deal could mean for the group. Also, what's in the Inflation Reduction Act for airlines.

Meet Steve Sisneros, the airport czar at Southwest Airlines. As vice president of airport affairs, he oversees current and future real estate at the carrier's 121 airports. Edward Russell and Sisneros chat about Southwest's new facilities in Denver and Phoenix, and the status of Terminal 0 plans in Los Angeles.

Southwest Airlines had a secret weapon in the second quarter: Its fuel hedges. That helped propel it to an impressive 17% operating margin. High oil prices pulled down the results of most other U.S. airlines during what was an otherwise strong quarter. Also, Edward Russell and Jay Shabat discuss what’s next for JetBlue and Spirit now that they’ve agreed to merge.

Airlines globally will need more than 41,000 aircraft over the next 20 years, according to Boeing's latest outlook. Edward Russell sat down with Boeing's Vice President of Commercial Marketing Darren Hulst at the Farnborough Air Show to discuss the outlook. Also, what is Boeing's response in the so-called middle-of-the-market that Airbus has run away with with its A321neo? Get more essential airline news at Airline Weekly.

What's travel like in the U.S. now? Busy and, in some cases, like a T.J. Maxx, The Wall Street Journal's new travel columnist Dawn Gilbertson told Edward Russell of her 11 flight, six airline "stress test" of the system over the July Fourth holiday weekend. We also chat with her about her role and her view on covering airlines and the travel industry.

Scandinavian airline SAS is in bankruptcy after years of struggles. Edward Russell and Jay Shabat discuss how the carrier could still struggle to extract needed savings, particularly from aircraft lessors. And, will Star Alliance’s new partnership with German rail operator Deutsche Bahn really reduce carbon emissions? More coverage of SAS's woes: SAS Joins List of Airline Failures and Bankruptcies Since Pandemic’s Start SAS Airlines’ Bankruptcy Follows Months of a Showdown Over Aircraft Leases Scandinavia’s SAS Files for Bankruptcy Protection in the U.S.

For those who hoped we'd have a resolution to the Spirit Airlines merger saga this week, no dice. The carrier delayed, again, a key shareholder vote on whether to merge with Frontier Airlines. Edward Russell and Jay Shabat discuss the latest turns, and why JetBlue Airways is so keen to acquire Spirit. Also, the outlook for July Fourth holiday weekend travel in the U.S.

Are profits on approach for airlines in 2023? Edward "Ned" Russell and Jay Shabat discuss IATA's updated outlook, and Director General Willie Walsh's comments at the annual general meeting in Doha. Also, SkyWest Airlines has a novel approach to expanding the pool of pilots.

Why is Wizz Air CEO Joszef Varadi "happy" to compete with Ryanair and why does he think it's the legacy carriers that should be scared? Edward "Ned" Russell and Madhu Unnikrishnan, in his last appearance on the 'Lounge, discuss this and why Varadi is excited about the carrier's expansion in the Middle East. Then, the pair turn their attention on sustainable aviation fuel and what exactly "green hydrogen" may be and why the JetBlue-Spirit-Frontier saga would be a good plot line on "Days of Our Lives."