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JetBlue shares fall after airline cuts 2022 growth plans

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On December 7, 2021, technicians inspect a JetBlue Embraer 190 at Ronald Reagan Washington National Airport Arlington, Virginia.

Chris Helgren | Reuters

JetBlue AirwaysShares plunged by more than 9 percent on Tuesday, after the airline cut its growth plans in an effort to prevent another headache for crew members and travelers during peak season.

New York-based airline cancelled hundreds of flights in Florida due to bad weather. This disruption also affected Fort Lauderdale-based airlines. Spirit AirlinesJetBlue wants to buy it. CNBC has previously reported that JetBlue told crews they expect to trim their spring and summer schedules by anywhere from 8% to 10%. reported.

JetBlue released a quarterly statement saying that the company’s capacity might be flat or up to 5% in 2019 compared to 2019, which is down from its planned growth of 15%.

Spirit Airlines has also reduced its schedules, as have Alaska Airlines.

Airlines have been forced to rethink growth plans as they grapple with seasonal weather delays, tight staffing and higher fuel costs even though travel demand — and fares — have soared in recent months. JetBlue reported that its average fare increased to $195.99 during the first quarter, compared with $149.97 for the same time period in 2021.

JetBlue, like other airlinesAlso, they are trying to increase their staff. Since 2020, carriers have lost thousands of employees. urging them to take buyoutsTo reduce labor costs since they were unable to fire workers because of a $54billion government support package for the weathering of the coronavirus pandemic.

JetBlue stated in a press release that JetBlue was working to clear a backlog of Omicron delays. The need for more training and recruiting capacity is being created by volatile pilot attrition.”

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