Hello everyone. It’s Tuesday night. That means two things. One — this week’s issue of PBB is now posted. Two — the Mavericks and the Heat are on television. Now. Consequently my summary comments about this week’s issue are going to be mercifully brief!
In this week’s issue we talk a great deal about lawsuits. Yes, that means we are talking about American Airlines and its escalating legal fight(s) involving Sabre, Travelport, and Orbitz.
Speaking of Orbitz, American Airlines got a rude awakening last week when a court informed the airline that it once again had to provide fare inventory to Orbitz. I somehow don’t think American Airlines expected this — especially considering the airline had just rolled out a new television advertising campaign in which the airline touted the fact that AA.com had American Airlines fares — and Orbitz did not.
Another surprise last week? The mechanics at United Airlines turned thumbs down on their highly touted tentative agreement. When I say “highly touted,” both the Teamsters and the airline had publicly lauded the deal in March.
So much for that.
We talk about why the deal failed. And why we think the Teamsters probably shoulder a lot of the blame. We also check in with the ongoing pilot negotiations at United.
Airline stocks had another rough week last week, as both employment and housing numbers released last week were nothing short of grim.
Oil prices remained flat last week, as did jet fuel, but fears the U.S. economy could be slowing down took their toll on the sector.
In the good news department, the traffic reports from May that have rolled across the transom already have, for the most part, looked good. Looks like May was a good month overall — just as those wily airline executives had indicated at the recent Bank of America/Merrill Lynch Global Transportation Conference.
We have a lot of subscriber letters this week, and we also take a retro look back at the offer Donald Trump made for American Airlines in 1989.
All this and more — in this week’s issue of PlaneBusiness Banter.