Airlines

Category Archives for Airlines.

The Conspiracy Theory About Why United Airlines Says They Expect To Lose Money

Mar 15 2023

Combined with a broad sense of bank fragility in the face of rising interest rates, alongside a concern that we’re late in the economic cycle and potentially headed into recession, United’s announcement worried some observers that it was a sign that consumer spending was tightening alongside shrinking household balance sheets.

But what changed at United? They cite some booking softness earlier in the year. And they made a decision to accrue costs related to a new pilot contract into the first quarter for their projections. Isn’t that… a little weird?

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Saudi Arabia Launches New Airline

airport terminal
Mar 12 2023

Saudi Arabia has a national airline, Saudia. It’s government-owned. But the government doesn’t like it, or something? Because they’re starting a new government airline, Riyadh Air, and they’re sharing details publicly.

Riyadh Air plans to fly to 100 destinations b 2030, and are about to place a major order, possibly for 100 Boeing widebody aircraft. The former CEO of Etihad, Tony Douglas, will run the airline. His experience is in dismantling state carrier excess, not lighting money on fire for its own sake.

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