American Airlines and Delta bullish on long haul revenue performance, helped by premium cabins

US major global network airlines Delta Air and American Airlines remain bullish on prospects for their performance on international routes in 2018, particularly after a strong showing in the trans-Atlantic market during 4Q2017, and with markets in the trans-Pacific finally turning a corner.

Continued strong business demand and favourable shifts in foreign exchange are driving optimism in the trans-Atlantic market, and American has also found that its price matching of low cost long haul airlines is bearing fruit.

The optimism in the trans-Pacific is underpinned by the conclusion at both Delta and American that their premium products in the market are driving a certain level of demand. Delta is readying to debut its Airbus A350 on more routes to Asia in 1Q2018, which should bode well for continued premium demand.

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