Yale School of Management

Posts by Airlines

More Aid Offered To Airlines as Pandemic Continues to Depress Demand

July 30, 2020
For four months, social distancing measures have hobbled the airline industry with depressed demand, grounded flights, and net losses. Ridership remains low, held down by travel prohibitions between countries that normally supply heavily trafficked routes. With persistent losses and pessimistic future forecasts, several European airlines have now received aid from their governments to maintain solvency for those companies critical to industry supply chains. Continue reading “More Aid Offered To Airlines as Pandemic Continues to Depress Demand”

US Begins Airline and Aviation Interventions

April 23, 2020
On April 20, the U.S. Treasury Department announced that it had finalized agreements with six major airlines—Allegiant Air, American Airlines, Delta Air Lines, Southwest Airlines, Spirit Airlines, and United Airlines—for $20.5 billion in assistance under the Payroll Support Program (PSP) established by the CARES Act. It said five other airlines plan to participate, which would bring participation to 95% of U.S. air carrier capacity. Continue reading “US Begins Airline and Aviation Interventions”

Aviation Interventions Continue Internationally

April 23, 2020
Governments around the world have committed many billions of dollars to help the aviation sector survive the COVID-19 crisis. This aid comes in the form of grants, loans, loan guarantees, tax relief, and other subsidies. Some programs are targeted at specific firms and others provide broad-based support. The US is implementing what it expects to be the largest targeted package for the industry. Singapore's program appears to be the second most generous.  Continue reading “Aviation Interventions Continue Internationally”