{"id":376953,"date":"2020-10-06T10:13:29","date_gmt":"2020-10-06T04:43:29","guid":{"rendered":"https:\/\/infralive.com\/web\/?p=376953"},"modified":"2020-10-06T10:13:29","modified_gmt":"2020-10-06T04:43:29","slug":"how-are-legacy-airlines-surviving-covid-19-by-borrowing-from-the-low-cost-playbook","status":"publish","type":"post","link":"https:\/\/infralive.com\/web\/how-are-legacy-airlines-surviving-covid-19-by-borrowing-from-the-low-cost-playbook\/","title":{"rendered":"How are legacy airlines surviving covid-19? By borrowing from the low-cost playbook"},"content":{"rendered":"<p>Following the 9\/11 attacks, big U.S. airlines were forced to slash fares to compete with their low-cost rivals. In the Covid-19 crisis, they are also learning how to act like them.<\/p>\n<p>The economic model of the U.S. full-service carriers seems broken for the foreseeable future. American Airlines and United Airlines last week started cutting 32,000 jobs, even as they maintain hopes of a second bailout.<\/p>\n<p>Unlike budget carriers, which fly \u201cpoint-to-point&#8221; routes, the largest airlines rely on \u201chub-and-spoke&#8221; networks to feed traffic to key airports. With passenger capacity stuck at 50% of pre-pandemic levels and 86% of international routes still restricted, the connectivity of these carefully crafted networks has plummeted, particularly for second-tier hubs, an analysis of Oliver Wyman\u2019s PlaneStats database suggests.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Following the 9\/11 attacks, big U.S. airlines were forced to slash fares to compete with their low-cost rivals. In the Covid-19 crisis, they are also learning how to act like them. The economic model of the U.S. full-service carriers seems broken for the foreseeable future. American Airlines and United Airlines last week started cutting 32,000 jobs, even as they maintain hopes of a second bailout. Unlike budget carriers, which fly \u201cpoint-to-point&#8221; routes, the largest airlines rely on \u201chub-and-spoke&#8221; networks to feed traffic to key airports. With passenger capacity stuck at 50% of pre-pandemic levels and 86% of international routes still [&hellip;]<\/p>\n","protected":false},"author":44,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[188,139,130],"tags":[],"class_list":["post-376953","post","type-post","status-publish","format-standard","hentry","category-civil-aviation-live-mint","category-live-mint","category-newspapers"],"acf":[],"_links":{"self":[{"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/posts\/376953","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/users\/44"}],"replies":[{"embeddable":true,"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/comments?post=376953"}],"version-history":[{"count":0,"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/posts\/376953\/revisions"}],"wp:attachment":[{"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/media?parent=376953"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/categories?post=376953"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/tags?post=376953"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}