Air Transport World

Breaking through. (economic outlook for airlines) (editorial)

A glowing, golden future awaits the survivors of this current business condition," if usually accurate traffic predictions are to be believed. For the next 15 years or so, traffic is expected to increase at a 5-6% average annual rate. This is an optimistic outlook in anybody's book; an outlook that apparently is shared by most of the world's airlines despite the amazing money hemorrhage of late 1990-early 1991.

The trick is to survive to reach this bonanza if carriers are to enjoy it. Breaking through to the prosperity on the other side of this mess is the goal. The fact that some carriers obviously will not make it actually increases the economic allure of the future, presenting a pie that will be sliced into larger pieces for the remaining diners.

Proof that carriers believe this to be true can be found in the steady state of manufactures' order books. …

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