Global airlines reduced by six per cent
Global airlines reduced by six per cent - Heathrow Airport News
Airport news for Heathrow on 13/10/2008.
Reductions will be seen in all international markets, with the sharpest cuts in the U.S., according to figures released by the Official Airline Guide (OAG).
In all, 451,000 flights are to be cut in the final quarter, as compared with the same quarter last year, due to the impact of the world-wide financial crisis that has spread from the U.S. to all corners of the globe, OAG noted in a statement it released last Thursday.
“With economic problems now impacting both Europe and Asia, this picture could change quickly as airlines are extremely vulnerable and quick to react to economic downturns and subsequent shifts in market demand,” clarified OAG’s chief executive, Steve Casley.
U.S. capacity reductions account for 59 percent of the cuts world-wide and Europe’s for five percent, which is a significant rise on the 2.7 percent forecasted just two months ago.
European carrier seating capacity will decrease by 5.6 percent, or twice the rate forecasted earlier, according to OAG.
On transatlantic routes, capacity will be down by 2.9 percent and on transpacific routes by 3.1 percent. In August, OAG had projected two percent capacity increases on both routes.
Casley added: “This is all the more remarkable when you consider that airlines have a tendency to deploy their assets from domestic services to long-haul international markets in an economic downturn.”
More Airport News
Next Article: EUclaim represents passenger group claim against BA
Last Article: Complaints about noise at Stansted decline
Article Index: Airport News October 2008
Airport Index: Airport News From Heathrow