Friday, January 12, 2007


According to an Air Transport Association (ATA) vice president, 2006 found the airlines collectively profitable and he looks for more of the same in 2007...but, the fly in the ointment is the airlines need several years of national-standard profitability to get well and see to their management is the watchword...

And all this reminds one of motive -- motive for the ATA/airline industry support for changing FAA funding and management of ATC...

From Speednews This Week:

2007 Outlook: "Reaching for the Skies?"
By ATA Vice President & Chief Economist John Heimlich

From an economic viewpoint, 2006 was a much-improved year for the US airline
industry. Including the all-cargo sector, the Air Transport Association
estimates that the industry will report earnings ranging from $2b to $3b. On the
heels of $35b in net losses over the previous five years, of course, any
full-year profit comes as welcome relief.

The initial economic outlook for 2007 is the most promising in several years. In
addition to a healthy revenue environment, US airlines are seeing the results of
painstaking, ongoing cost reduction efforts and balance-sheet repair. Although
the industry is optimistic and well positioned to move forward, the reality is
that events beyond airlines' control could easily push them off course.
There's lots more to Mr. Heimlich's comments...Read the whole thing in HTML at:



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