Major U.S. Airlines Cut Forecasts as Travel Demand Weakens

Airlines cite economic uncertainty, reduced corporate and government travel, and recent aviation incidents as factors driving lower domestic bookings.

Delta, American, Southwest, and other U.S. airlines have revised their first-quarter financial outlooks downward, citing weaker-than-expected domestic travel demand.
Delta now expects revenue growth of 3-4%, down from 7-9%, and earnings per share of $0.30-$0.50, reduced from $0.70-$1.00.
The January midair collision in Washington, D.C. and a February crash in Toronto have shaken consumer confidence in air travel safety, according to airline executives.
Corporate and government travel has significantly declined, with United Airlines reporting a 50% drop in government bookings and Delta noting reduced corporate confidence.
While domestic demand has softened, airlines report strong international and premium travel bookings, with optimism for the upcoming summer season.