Global airlines add flights; U.S. carriers target the great outdoors

By Tracy Rucinski CHICAGO (Reuters) - Airlines from America to Australia are ramping up flights in June and July, boosting hopes for a pickup in tourist traffic even as bigger-spending business and global travel remains sluggish during the ongoing pandemic. American Airlines and United Airlines each announced more flights to key U.S. business and leisure destinations where national parks and outdoor recreational spaces are reopening after months of lockdowns and travel curbs, sending their shares sharply higher

Reuters June 05, 2020 06:05:21 IST
Global airlines add flights; U.S. carriers target the great outdoors

Global airlines add flights US carriers target the great outdoors

By Tracy Rucinski

CHICAGO (Reuters) - Airlines from America to Australia are ramping up flights in June and July, boosting hopes for a pickup in tourist traffic even as bigger-spending business and global travel remains sluggish during the ongoing pandemic.

American Airlines and United Airlines each announced more flights to key U.S. business and leisure destinations where national parks and outdoor recreational spaces are reopening after months of lockdowns and travel curbs, sending their shares sharply higher.

Chicago-based United is adding more non-stop flights as well as servicing markets like Aspen, Colorado and Jackson Hole, Wyoming where it said "social distancing is a natural feature" in the scenic landscapes.

"Leisure travel has been the most missed activity during lockdown across age and income demographics, even more so than things like restaurants," said Jason Guggenheim of Boston Consulting Group, which has surveyed consumers in the United States and Europe.

"But it's going to take business travel longer to come back," he said, noting work-from-home models will remain in place for some time.

Even with the schedule increases, analysts expect overall U.S. airline capacity will remain drastically lower this year; and without business travel, yields will likely remain negative, they said. Yield is the revenue an airline makes per mile flown.

Australia's Qantas Airways Ltd and Air New Zealand Ltd outlined plans on Thursday for significant boosts to domestic capacity, while Emirates and Etihad Airways are restarting transit flights through hub airports in Abu Dhabi and Dubai.

In Europe, Iberia - part of the International Consolidated Airlines Group - told customers on Thursday it is starting a schedule of regular flights from Spain in July as a first step to building back a full service.

(Reporting by Tracy Rucinski; Editing by Richard Chang)

This story has not been edited by Firstpost staff and is generated by auto-feed.

Updated Date:

TAGS:

also read

Estee Lauder sales hit by lackluster demand for makeup, shares drop
Business

Estee Lauder sales hit by lackluster demand for makeup, shares drop

By Aditi Sebastian (Reuters) - Estee Lauder Cos Inc missed analysts' estimates for quarterly sales on Monday, as weak demand for its luxury foundations and lipsticks offset growth at the cosmetics maker's skincare brands, with people continuing to work from home. The company's shares, which touched a record high last week, fell nearly 7%. Sales of cosmetics and makeup products have taken a hit during the COVID-19 pandemic as shoppers stay at home, pressuring Estee Lauder's M.A.C and Bobbi Brown brands

Supply constraints slow U.S. factory activity in April
Business

Supply constraints slow U.S. factory activity in April

By Lucia Mutikani WASHINGTON (Reuters) - U.S. manufacturing activity grew at a slower pace in April, restrained by shortages of inputs as rising vaccinations against COVID-19 and massive fiscal stimulus unleashed pent-up demand. The survey from the Institute for Supply Management (ISM) on Monday showed record-long lead times, wide-scale shortages of critical basic materials, rising commodities prices and difficulties in transporting products across industries

Oil rises over 1% as demand hopes bolster sentiment
Business

Oil rises over 1% as demand hopes bolster sentiment

By Stephanie Kelly NEW YORK (Reuters) - Oil rose more than 1% on Monday as Chinese economic figures and U.S. vaccination rate pointed to a strong rebound in demand in the world's two largest economies