Airline Finance News - North America.

 
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New York (AirGuideBusiness - Airline Finance News North America) Jun 6, 2010

AirTran Airways AirTran Airways flew 1.67 billion RPMs in May, up 8.4 percent year-over-year, on a 4.6 percent increase in capacity to 2.07 billion ASMs. Load factor rose 2.8 points to 80.8 percent. Jun 3, 2010

AirTran Airways, Delta Air Lines US Dept. of Transportation Friday fined AirTran Airways and Delta Air Lines USD20,000 and USD40,000 respectively for "violating rules that require airline price advertisements to disclose the full price consumers must pay for air transportation." DOT alleged that AirTran in February advertised fares "starting as low as USD39" one-way as part of its 72-hr. "Leave the Blizzard Behind Sale," but that further investigation by the department's Aviation Enforcement Office revealed that the lowest available fare was USD44. A "failure to provide adequate notice of taxes and fees that were not included in certain base faresEon [the Delta Air Lines] website" led to its fine, DOT said. It cited a failure of some of the carrier's "Internet displays" to provide a link to a description and amount of government-imposed taxes and fees, adding that one link DL did provide failed to refer consumers directly to a statement giving required information on the additional taxes and fees. "Our fare advertising rules are designed to ensure that consumers know how much they will pay for a ticket when they shop for air travel," Transportation Secretary Ray LaHood said. OWe expect airlines to comply with our rules and will continue to take enforcement action when necessary." DOT fined US Airways in March for violating pricing-disclosure rules on its website. May 31, 2010

Alaska Airlines Alaska Airlines flew 1.66 billion RPMs in May, a 10.7 percent increase year-over-year. Capacity was up 4.5 percent to 2.04 billion ASMs while load factor rose 4.6 points to 81.4 percent. Jun 4, 2010

Allegiant Air Allegiant Air flew 419.07 million RPMs in May, up 10 percent year-over-year, on an 8.2 percent increase in capacity to 455.06 million ASMs. Load factor increased 1.5 points to 92.1 percent. Jun 3, 2010

American Airlines Fleet service workers to vote on new contract with American. More than 10,000 fleet service workers will vote on a new contract after American Airlines reached a tentative agreement with the Transport Workers Union. American said the agreement includes an immediate 3 percent raise plus a 3 percent "lump sum signing bonus," as well as additional pay hikes later in the contract period. But a union spokesman suggested rank-and-file members would reject the contract and that the vote is seen as a formality in order to gain government permission for a strike. Jun 1, 2010

ATA Skies will be crowded this summer, experts predict. As the summer season unleashes a pent-up demand for air travel, experts predict fuller planes and higher fares than in recent years. Corporate and leisure sales have grown anywhere from 15 percent to 39 percent in various reports, while the Air Transport Association predicts domestic capacity will increase only 0.2 percent from last year. "It's going to be a more difficult travel experience for business people, with 90 percent load factors in the peaks," says airline analyst Michael Derchin. Jun 1, 2010

Continental Airlines Continental Airlines said May estimated consolidated RASM increased 23 percent-24 percent from the year-ago month while estimated mainline RASM rose 22.5 percent-23.5 percent. It flew 7.81 billion consolidated RPMs last month, up 3.7 percent year-over-year, as capacity lifted 0.2 percent to 9.33 billion ASMs. Load factor rose 2.9 points to 83.8 percent. Jun 3, 2010

Continental Airlines Continental reports traffic, revenue gains. After a decline in April, traffic at Continental Airlines rose 3.7 percent in May, while capacity grew just 0.2 percent, resulting in an increased load factor of 83.8 percent. Revenue trends were also positive, with revenue per available seat mile jumping nearly one-quarter, compared to a roughly 15 percent increase in April. Jun 2, 2010

Continental Airlines, United Airlines Lawmakers become increasingly opposed to proposed airline merger. Executives at United Airlines and Continental Airlines say their proposed merger will not hinder competition. But lawmakers are becoming increasingly skeptical about the deal. Rep. James Oberstar, D-Minn., remains the most vocal opponent, but other key congressmen are raising questions about the proposed merger. Jun 2, 2010

Continental Airlines, United Airlines Airlines are expected to court New York-area business travelers. The proposed merger between Continental Airlines and United Airlines is expected to prompt other airlines servicing the New York area to step up their efforts to woo business travelers. Airlines such as Delta, United and American could start offering more seat upgrades, free airport-lounge passes and other perks to lucrative business...

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