When United Airlines presented its Q2 results in July, Scott Kirby, the chief executive officer (CEO) of the airline, said that multiple airlines had begun canceling loss-making capacity, adding that the carrier had been preparing for the moment when domestic capacity would adjust.
At the time, Kirby predicted that the infection point was 30 days away, which was on or about August 17.
Photo: Robin Guess | Shutterstock
However, United Airlines’ CEO was not the only executive expressing frustration over excessive capacity in the United States.
Overcapacity in the US
When Delta Air Lines announced its Q2 results, its president, Glen Hauenstein, said that the industry has always challenged itself regarding the amount of capacity that can be on the market.
Photo: The Global Guy | Shutterstock
“So, we have really only been in an oversupply situation for a couple of months here, and the industry’s already reacted, and I think that is very different than it was years ago, where it would stay for prolonged periods of time.”
By Q3, when United Airlines published its subsequent quarterly results on October 15, Kirby proudly said that, as he predicted,
Domestic Airline Capacity In The US: Did The Situation Normalize In Q3?
