Sumary of American, Southwest, Alaska Post Wind-Aided Profits — But Real Losses. Now Expecting Increased Business Travel:
- After Labor Day, which traditionally marks the end of the summer vacation season, American officials said they expect to see demand for higher-priced business fares to rise.
- But Southwest leaders did note that they will complete on July 26 its project to begin selling tickets through the SABRE reservations system and the positive impact that will have on its previously-stated plans to increase its domestic business travel market share.
- Historically viewed as a low cost, low fare carrier, Southwest has become, in normal times, the largest U.S. airline in terms of domestic passengers carried.
- With its growth, especially in major cities, Southwest has begun shifting more attention to capturing a greater share of domestic business travelers, who typically pay higher fare prices.
- Those systems facilitate more corporate travel bookings because companies can use those systems to better track and compare not only fare prices but also their spending totals vis-à-vis large volume discount agreements they negotiate with carriers.
- Average core cash burn was approximately $1 million per day,” and “we achieved positive average core cash flow in June 2021;” adding about about $4 million a day to its cash reserves.