At times, change can occur gradually, slowly evolving over time. It often sneaks up on you without you even realizing it, until it reaches a point where it becomes impossible to ignore. This is especially true when things have been ticking along so well.
The US domestic market has been buoyant (to say the least) over the last few years, with airline CEOs proclaiming record quarterly revenues – although not mentioning costs – and record profitability flowing through for nearly every major, except perhaps the boys in blue!
But suddenly, although perhaps not surprisingly it seems that the heat in the US market has peaked – revenge spending is seemingly exhausted, economic pressures are impacting disposable incomes, and the start of the slower winter period has kicked off – and airlines’ financial results are not looking as promising as they perhaps were.
Those results of course come from a point of record profits, and no one is suggesting that the industry is going to plunge…
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