Tag: Demand

United warns travel demand will languish until COVID-19 vaccine

By Tracy Rucinski

CHICAGO (Reuters) – United Airlines Holdings Inc warned on Tuesday that travel demand will remain suppressed until there is a widely accepted treatment or vaccine for COVID-19, which plunged the carrier to a deep quarterly loss on Tuesday.

Coronavirus infections are surging in the United States, causing some states to scale back reopening plans and reinstate quarantines in a fresh blow to airlines.

United, which is not blocking middle seats, plans to fly about 35% of its 2019 summer schedule in the third quarter and is forecasting a load factor of about 45% in July. Its planes

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American Airlines sending 25,000 furlough notices as U.S. demand sags

By Tracy Rucinski

CHICAGO (Reuters) – American Airlines said on Wednesday it is sending 25,000 notices of potential furloughs to frontline workers and warned that demand for air travel is slowing again as COVID-19 cases increase and states re-establish quarantine restrictions.

The Worker Adjustment and Retraining Notification Act requires companies to provide 60 days’ notice of potential layoffs or furloughs.

In a memo to employees released on Wednesday, American said the notices are tied to the overstaffing it expects in October when U.S. government payroll assistance expires.

American, with more than 130,000 employees in 2019, had already warned that furloughs

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Dubai counts on pent-up demand for tourism comeback

Dubai (AFP) – After a painful four-month tourism shutdown that ended this week, Dubai is betting pent-up demand will see the industry quickly bounce back, billing itself as a safe destination with the resources to ward off coronavirus.

The emirate, which had 16.7 million visitors last year, opened its doors to tourists despite global travel restrictions and the onset of the scorching Gulf summer in the hopes the sector will reboot before high season begins in the last quarter of 2020.

Embarking from Emirates flights, where cabin crew work in gowns and face shields, the first visitors arrived on Tuesday

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travel firms demand 14-day self-isolation rule is overturned

As UK border staff prepare the impose the nation’s first blanket quarantine scheme, opposition is growing to Priti Patel’s plan for 14 days of self-isolation for most arrivals.

Passengers at UK airports, ferry ports and international rail terminals will be required to go home or to another suitable address, and stay there for two weeks. The new law applies to returning British travellers as well as foreigners.

On Sky News, Matt Hancock once again defended the policy, which comes into effect at midnight.

The health secretary said: “We are bringing the quarantine policy again because as the number of new

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Airlines ETF & Stocks Ride the Rebound in Travel Demand

The coronavirus outbreak has hammered the U.S. economy, with the airline sector being one of the worst-hit spaces. The virus’ spread resulted in declining air travel with restrictions imposed by the government. Consequently, airlines’ top lines suffered a material impact as passenger revenues form the largest component of their total revenue base. However, it seems like the worst is over for the airline industry as the United States has started to reopen its economy with permission for inter-state travel.

In fact, airlines in many parts of the world are planning to resume flights starting this month as economies are reopening

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