Issue Summary

Delta Air Lines became the latest in a long list of U.S. carriers to cut summer capacity. Now, almost all the U.S. majors and mid-tier airlines have cited some combination of staffing, air traffic control issues, weather, and aircraft availability for the schedule cuts, which are aimed to ensure operational reliability. But there is a big silver lining. With demand expected to be through the roof this summer after two years of the pandemic, airlines stand to reap significant revenues. Fares will be higher, but so will yields, even on domestic leisure routes.