Southwest Airlines B737 aircraft lost its navigation system as it approached Los Angeles International Airport on 20-Oct-2010, forcing air traffic controllers to redirect several flights to clear the airspace as they guided the aircraft to a safe landing (ABC News, 27-Oct-2010).
Southwest B737 loses navigation system approaching LAIA
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California's Ontario International Airport Part 1: Change of ownership allows it to compete with LAX
Ontario International Airport has languished in the shadow of Los Angeles’ LAX for many years, prompting a growing call for separation from Los Angeles World Airports. At last the umbilical cord is about to be cut, and local city councils will be in control of its destiny.
But the difficulties that OIA has had to face will not all go away. They include a huge urban catchment area, where industry was hit hard by the recession and wages are low and, above all, an image that it is no more than a low cost facility without any real gravitas.
The ownership change opens the door, at least potentially, to private sector investment and management in the long run, but costs must be reined in and the bottom line improved first.
This report looks at present and future growth trends at the airport, local economic and airport statistics, how it matches up to competing airports across a range of metrics, at construction activities and in detail at the ownership issue.
US airlines: a turnaround in unit revenue just as cost pressures rise in 2017
The four largest US airlines are moving closer to returning to positive unit revenue in 2017 after each of those companies has issued an improved unit revenue forecast for 4Q2016, driven by stronger yields and continued improvement in close in bookings. The yield improvement indicates that the US domestic environment is gaining some pricing traction after two years of weak fares, and the results on close in bookings continue a trend that emerged in the US market during late 3Q2016 and continued through the rest of the year.
Delta and Southwest have both publicly cited a bump in demand since the US presidential election in Nov-2016. Delta has expressed cautious optimism that the US revenue environment has turned a corner, and the positive momentum is driving the company’s confidence of climbing out of a negative unit revenue performance in 1Q2017.
Key to sustaining unit revenue momentum is keeping capacity in check over the course of 2017. American, Delta, United and Southwest have all declared their intentions to lower capacity growth in 2017, and show no intentions of revising those targets upwards. Rising fuel cost and non fuel cost inflation are the major headwinds for US airlines in 2017, which has resulted in Delta declaring margin compression for the year.