Issue No. 882

Dutch Down

Government Policies Threaten The Future of KLM's Amsterdam Hub

Pushing Back: Inside the Issue

Amid the quiet before earnings season, airlines looked on with unease as oil prices marched upward again. The pronouncement of an OPEC supply cut has Brent crude flirting with the $100 per barrel mark, never a good sign for the industry. For the world as a whole, high commodity prices, high interest rates, and high U.S. dollar exchange rates make for what one commentator called an “excitable” macroeconomic situation. A better word might be “combustible.”

Europe and its struggles to replace Russian energy represent one potential economic threat to airlines. Most of Europe’s airlines, though, continue to report strong bookings, especially for leisure routes. The same is true for most airlines around the world, including Asian carriers like Singapore Airlines, which says even routes to Japan and China are starting to see greater activity.

Flight activity, however, will be severely limited at Amsterdam's Schiphol airport in the coming years, a major challenge for KLM as we discuss in this week’s feature story. Next week, get ready for the start of third quarter earnings coverage, beginning with Delta. The Atlanta-based giant gets things started on Thursday.

Airline Weekly Lounge Podcast

What’s the ado with Austin, Cancun, Ho Chi Minh City, Paris Orly, and Riyadh? All of the airports are seeing tremendous growth above pre-pandemic levels. Edward Russell and Jay Shabat discuss why. Plus, Boeing’s 737 Max: the good news and bad news. Listen to this week’s episode to find out. A full archive of the 'Lounge is here.

Weekly Skies

Full flights and busy airports are likely to continue in the U.S. through the end of the year, Wall Street analysts warn. Demand is forecast to remain robust as corporate travel continues to recover, and consumers shift spending back to…

Fleet

Another win in the small mainline narrowbody market for Airbus. Croatia Airlines will simplify its fleet with the A220 over the next four years with an initial order for six aircraft. The carrier operates 13 aircraft, including seven A319s and…

Routes and Networks

Another new, rather returning, transatlantic route for Aer Lingus: The International Airlines Group carrier will return to Hartford from Dublin on March 26 after a three-year hiatus. The announcement comes a week after Aer Lingus unveiled new service to Cleveland.…

Feature Story

For KLM, there’s no time like the present. The problem is the future.

By the Numbers

Flight activity at Amsterdam Schiphol was already flirting with the current cap in the years leading up to the pandemicThe new limit coming next year will cap flight activity at Schiphol at around 2014 levelsYear-to-date through August, there were 263,236…