(AP) - SLOW TURNAROUND: United Airlines said it is seeing a “moderate“ pickup in travel demand and fewer cancellations, and it plans a 75% reduced schedule in July, compared with 90% cuts during May and June. The airline said in a filing that most of the increased demand has been for domestic flights and a few international routes.
— Southwest Airlines also indicated that April might have been the bottom. Planes were only 8% full on average, and revenue tumbled 90% to 95% from a year earlier. Southwest said bookings now outnumber cancellations, and it forecasts slightly smaller revenue drops in May and June. Southwest expects planes to be about 40% full in June.
— American Airlines is dangling its AAdvantage frequent-flyer program — which it values at $18 billion to $30 billion — as possible collateral for a federal loan. Chief Financial Officer Derek Kerr said Tuesday the airline hopes to line up a secured loan from the Treasury Department by the end of June. The $4.75 billion loan would be in addition to $5.8 billion in federal cash and loans that American took to help cover payroll costs through September.
American said its planes were 15% full on average in April and 35% full so far in May.