Three U.S. airlines on Wednesday warned of higher fuel costs in the third quarter due to a jump in crude prices, adding to pressures the industry faces from expensive labor contracts.
25.08.2023 - 13:08 / skift.com / Robert Jordan
Southwest Airlines has exercised options for the delivery of 30 Boeing 737 MAX 7 planes next year, and converted 24 existing MAX 7 orders to MAX 8.
The move comes two days after Boeing said the first delivery of the 737 MAX 7 was delayed to 2024 as it tries to secure Federal Aviation Administration certification for the narrow-body jet.
Southwest’s decision to convert some MAX 7 orders to the MAX 8 model, which is already in operation, would buffer the impact of the delivery delays.
On Thursday, Southwest Airlines issued disappointing forecasts for the current quarter and full year after missing estimates for second-quarter results, fueling concerns about the strength of domestic travel demand in the United States.
Southwest Airlines has plans to fly the MAX 7 “at some point next year”, but if not, it would take MAX 8 orders instead, CEO Robert Jordan said on a post-earnings call on Thursday.
(Reporting by Savyata Mishra in Bengaluru; Editing by Devika Syamnath)
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Three U.S. airlines on Wednesday warned of higher fuel costs in the third quarter due to a jump in crude prices, adding to pressures the industry faces from expensive labor contracts.
There are problems at two of the nation’s top five airlines. Labor problems.
More than 890 flights have been canceled and more than 1,200 are delayed as Hurricane Idalia made landfall on Florida’s northwest coast as a Category 3 hurricane early Wednesday morning.
Southwest Airlines recently made changes to its pre-flight boarding policies by limiting the options for passengers to purchase a better spot in line for an extra fee.
The deadly wildfires on the island of Maui are likely to affect visitor — and airline — demand to the island for the “foreseeable future,” analysts at T.D. Cowen said Friday.
Two months. That’s how long Southwest Airlines expects there to be an impact on bookings from its massive holiday meltdown that disrupted millions of travelers over Christmas and New Years.
Southwest Airlines has put an initial number to the losses incurred during its holiday meltdown: a $725-825 million hit to its pre-tax income in the fourth quarter. That number includes both $400-425 million in lost revenue and added costs, for example reimbursing people for alternative travel costs.
The U.S. Transportation Department (USDOT) said it planned to seek higher penalties for airlines and others that broke consumer protection rules, saying they were necessary to deter future violations.
Good morning from Skift. It’s Tuesday, January 3, and here’s what you need to know about the business of travel today.
Southwest Airlines was up and running on a normal schedule on Friday after a massive winter storm crippled operations this week and exposed problems at the low-cost carrier.
Southwest Airlines capped off its 2022 with the unenviable distinction of cancelling more than 15,000 flights in total during the week of Christmas, the result of a system failure caused by several issues that were exacerbated by a nationwide winter storm.
U.S. Senate Commerce Committee chair Maria Cantwell on Wednesday said the panel intended to hold hearings after Southwest Airlines’ recent meltdown that led to nearly 16,000 flight cancellations in the week ending Dec. 29.