United Airlines estimates consolidated PRASM of 17-19%; AirTran loses USD5-6 million in Feb-2010
AirTran states Feb-2010 storms affected revenues by USD5-6 million
AirTran (-3.3%) slid after the carrier stated the Feb-2010 winter storms affected revenues by USD5-6 million. However, CFO Arne Haak stated first quarter yields for the industry will show "great improvement" over the dismal 2009 first quarter. See related article: Weather costs keep on mounting for US airlines
United Airlines (-3.9%) shares also fell, despite estimating consolidated passenger revenue per available seat mile (PRASM) increased 17.0% to 19.0% year-on-year. The carrier added it has estimated to have lost USD40 million due to the Feb-2010 storms.
Allegiant expecting 4% improvement in RASM for Feb-2010
Allegiant (+2.7%) was meanwhile the day’s biggest gainer after stating it expects a 4% RASM improvement in Feb-2010, with a 2% increase in TRASM and a 7% upward movement in the total fare. The carrier also stated its plans to launch services to Hawaii are a "good fit", as it is the “largest major US leisure market untapped by Allegiant” and the market has "significant" ancillary revenue opportunities. See related article: Allegiant's Hawaii move a good one, but not until next year
In other news, fresh analysis from Robert Herbst shows that despite the global financial downturn, only about a billion available seat miles disappeared in the latest recession, translating to a big gain in share for the LCCs. See related article: Capacity did not decline much for US airline industry in recession
Also featured in today’s America Airline Daily:
- American Eagle Airlines announces nonstop Fayetteville and Augusta services;
- Delta Air Lines and JetBlue request exemption from the DoT;
- Pinnacle Airlines pax down 3.4%, Colgan Air pax down 5.9% in Feb-2010;
- WestJet reward programmes take flight.
North & South America selected airlines daily share price movements (% change): 08-Mar-2010