Sunday, July 09, 2006

Major US Airlines Flying Fuller Planes

Planes operated by major US airlines are fuller than ever this summer, and the embattled carriers are seeing stronger revenues as a result, analysts said on Wednesday.

The record-high load factors bode well for airlines if they can keep the number of empty seats to a minimum. The industry has been weakened by high fuel prices and competitive pressures that make it hard for carriers to keep ticket prices high enough to cover costs.

But recent cuts in capacity have enabled airlines to raise fares to bolster revenue.

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