July 14, 2009
Airlines prepare for further stormy skies
Already in the throes of a dismal vacation season, airlines are preparing for even worse travel seasons come fall and winter, industry analysts say.
Business and international travel have swooned, spiking fuel prices are hard to manage and credit markets are more reluctant to lend -- all converged to make for a lousy summer for the airlines, The New York Times reported Tuesday.
If conditions continue to worsen, analysts say, some airlines may not survive.
There are too many airlines and too much capacity and really no pricing power, Hunter Keay, an airline analyst at Stifel Nicolaus in Baltimore, told the Times.
This is as bad a crisis as the industry's ever seen.