The final few months of 2019 delivered strong numbers for inflight connectivity provider Gogo. The company saw revenues improve in the business aviation and global segments while the North American market held up pretty well. Things continued looking good into early 2020. But since the beginning of March, similar to airline demand, Gogo saw a “significant decline” in Asia followed by a “more pronounced decline” in recent days.
COVID-19
Beyond route cuts, airlines initiate extended suspension of operations
A week ago this level of cuts to airline route networks seemed beyond the pale. Now, it appears to be just the start.
Regulators suspend slot rules, opening door to deeper airline cuts
Expect to see another tranche of significant cuts from airlines in the coming days, lasting through June 2020. EU regulators are the latest to approve a change to the way airport slots are accounted for, opening up the opportunity for carriers to trim flights and conserve cash as the COVID-19 crisis wears on.
Two key takeaways from American’s latest schedule cuts
American Airlines’ route change announcements last night are as much an indicator of the company’s expectations for the years to come as they are the immediate needs of the airline. It is an interesting shift in how the global industry is addressing the COVID-19 challenges.
US to block some European visitors
Looking to visit the United States in the next month? If you’ve been in Europe’s Schengen zone that is going to be a problem. As of 13 March 2020 the US will block arrivals for all non-residents that spent time in Schengen in the 14 days prior to entering the USA.
American Airlines slashes schedule, increases flexibility for customer rebookings
American Airlines joined the Summer 2020 schedule cut party overnight, announcing several international routes that will not operate until at least October and a 7.5% cut in domestic capacity for April. The carrier also dramatically improved its change fee waiver policy, making it easier for passengers to reconsider otherwise non-refundable travel plans.
Spirit Airlines plans 5% growth reduction for April as COVID-19 hurts demand
Spirit Airlines is cutting its operations in April as demand drops in the wake of the coronavirus outbreak. Unlike some other carriers, however, the company is not shrinking.
Qantas cuts international 25% through September facing coronavirus-induced demand drop
Qantas is the latest major carrier to announce significant changes to its schedule in the wake of the coronavirus demand drop. Not only with the company make significant reductions in its international operations, but it plans for those changes to last until mid-September 2020, the furthest out any airline has made changes yet. The carrier will swap types, reduce frequencies and suspend or delay some routes completely.
Massive cuts, uncertain recovery timelines for aviation in the face of COVID-19
What a week. In the face of the steepest global demand drop airlines have seen in a decade the cuts came, quick and deep. The COVID-19/Coronavirus outbreak will upend commercial aviation this year. The big question now is just how much, and what the longer-term impact will look like.
Alaska Airlines offers elite bonus earning in face of COVID-19 booking weakness
Still traveling in the face of the global Coronavirus/COVID-19 outbreak? If you’re flying on Alaska Airlines those trips will now get you even closer to elite status in the carrier’s Mileage Plan frequent flyer program.