Airline turbulence

market graphic


The domestic airline industry is in desperate need of some wind beneath its wings. Despite a strengthening economic environment and a surge in passenger demand in 2004—an 11% increase over 2003—the industry has been suffering to the point where Delta initiated a price war late last year, which was reciprocated by the other domestic carriers (New York City to Fort Lauderdale for $65!).

As illustrated in the chart below, provided by Roger King, airlines analyst at independent research provider

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