The corona induced measures for lockdowns are now slowly being eased by the governments. Earlier, the coronavirus had forced the world economy to a standstill, the aviation sector saw a painful definite slump in business during the past two months. Now, as the lockdowns are being eased, skies are clearing up, various airlines slowly are adding back their flights and travellers have started arriving at airports.
The airline industry has really been grounded during lockdowns for months after a fall in passenger demand forced American Airlines, United Airlines and others to sever flight schedules. They were among the hardest hit companies as the coronavirus sharply shut down overseas markets and then thrust the world into a pandemic-induced slump.
Air travel had plunged to levels unseen since the early years of the business jetliner days in the 1950s. The industry had to take a $25 billion bailout pack from the U.S. government to survive as it grounded flights and cut staff. When it saw revenues of major airlines being quickly drying up, Warren Buffett’s Berkshire Hathaway unloaded all of its holdings in the major airlines.
Aviation analysts do not foresee passenger traffic to get back to 2019 levels anytime soon after lockdowns. But the airlines look to salvage some lost damages during the key summer travel season
Last week, American Airlines stated that following month it will run 55% of the U.S.