Airlines say more people are booking flights and traveling - Business Insider

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American, Delta, Southwest, and United say more people are starting to book travel, but they warn that the good news may not last

US airlines have seen a small but significant increase in travel demand over the past two weeks, signaling that the airline industry may be past the worst of the damage from the coronavirus pandemic.

More notably, net bookings are starting to go up — meaning the total number of new bookings compared to the total number of cancellations. Southwest said in a SEC filings on Tuesday that it had finally seen new bookings outpacing cancellations, giving it net positive bookings for May to date, while United similarly said that bookings were up and cancellations were down.

"This is really driven by an uptick in leisure bookings for domestic travel in June and July," Jacobson said. Corporate travel — which typically makes up half of an airline's revenue, despite being only 15% to 20% of their traffic, according to Helane Becker, an analyst at Cowen. Additionally, it's not clear whether any new bookings will hold, or whether they'll end up being cancelled.

 

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