United and Alaska Airlines Navigate Uncertainty

United and Alaska Airlines Navigate Uncertainty

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

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Airline Weekly Lounge Episode 64: Rising Sun

Airline Weekly Lounge Episode 64: Rising Sun

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Airline Weekly Lounge Episode 63: All Smiles at American

Airline Weekly Lounge Episode 63: All Smiles at American

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Airline Weekly Lounge Episode 62: United on Top

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Airline Weekly Lounge Episode 61: Worse, But Still Good

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Airline Weekly Lounge Episode 60: Around and Around

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Airline Weekly Lounge Episode 59: Kicking Off 2017

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3 Tammi 201743min

Airline Weekly Lounge Episode 58: Lufthansa's Ambitions

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5 Loka 201635min

Airline Weekly Lounge Episode 57: South African Airways Is Troubled

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South African Airways finally published its fiscal year results for the 12 months ending March 2015. Yes, that’s 2015. And the result—a $442m net loss—wasn’t worth the wait. But with the Ebola scare a...

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