Business travel and international travel may take awhile to recover. Domestic travel, not just in the U.S. but elsewhere, should come back faster.
Without borders to navigate, and with blocked middle seats and deep cleaning of planes to give customers confidence, low fares should bring back passengers according to one airline CEO.
A roundup of the most important stories of the day. I keep you up to date on the most interesting writings I find on other sites – the latest news and tips.
The plan is to do testing on all passengers prior to boarding flights to countries that require COVID-19 test certificates for entry. For the first time a finger prick test was used prior to today’s Dubai – Tunis, Tunisia flight.
If this is feasible at scale, then expect it to be a practice that spreads (and makes it easier for countries to require such a practice). Expect it to add to the time, hassle, and expense of travel, but also to open up borders faster.
The coronavirus crisis will have long-lasting effects on travel. I don’t think travel companies have internalized this reality yet, with many still projecting a bounce back in the summer and fall and a return to 2019 levels of travel next year or at least by the year after. That’s unlikely.
With United’s Oscar Munoz, Marriott’s Arne Sorneson, and the CEOs of Carnvial Cruise Lines, Hilton Hotels, and Starwood Capital on the important panel to bring back the economy, here are the steps we can expect the country to take.
Hotel bank partners are funding rooms for hospital workers to sleep in otherwise-empty hotels. Another source of revenue for hoteliers right now is housing the homeless who need a place to quarantine during the coronavirus crisis.
Here’s the scale of the project, which sorts of hotels are participating, and how much they can make – at least in California.
Air France KLM sees travel returning gradually over the course of the year. They expect to run 20% of normal capacity in June, 40% in July, 60% in August and then hover around 75% of normal for the rest of the year.
Despite currently losing an average of 20 million euros per day, they’re still planning to accept delivery of Airbus A350 aircraft in May and June.
American Airlines announced that it will receive a $5.8 billion bailout: $4.1 billion grant, and $1.7 billion loan. They will also apply for a separate $4.75 billion loan.
Southwest Airlines announced that it will receive $3.2 billion: a $2.3 billion grant and a $1 billion loan.
It shouldn’t be surprising that even as Marriott CEO Arne Sorenson announced that he would stop taking his salary through the end of the year, in light of the hotel giant furloughing tens of thousands of workers and the majority of corporate staff amidst the cratering of their business during the coronavirus crisis, he’s actually being given a raise. It must be all of those resort fees they pocketed, which Sorenson said are good for us.
Delta Air Lines is losing $60 million a day and not paying over a third of its employees who took leaves. It has parked the majority of its fleet. And i’s preparing to accept billions of dollars in government bail out cash.
Yet last week it appears to have placed an order for 10 Airbus A350s. Airbus announced the order, but refused to confirm the airline involved.
Gary Leff is one of the foremost experts in the field of miles, points, and frequent business travel -- a topic he has covered since 2002.
Co-founder of frequent flyer community InsideFlyer.com, emcee of the Freddie Awards, and named one of the "World's Top Travel Experts" by Conde' Nast Traveler (2010-Present) Gary has been a guest on most major news media, profiled in several top print publications, and published broadly on the topic of consumer loyalty. More About Gary »
