Airlines Lift Booking Cap While Coronavirus Sweeps Across US
5 min read
The airline industry has been hit hard by the coronavirus pandemic and now as travel resumes, blocking seats means incurring more losses.
American Airlines Group, Inc. AAL announced on Jun 29 that it will resume booking its flights to capacity soon. The policy is similar to that of United Airlines Holdings, Inc. UAL, which had never blocked out seats or put a cap on the capacity of its flights.

However, not airlines are adopting similar measures. The announcement comes amid growing cases of coronavirus across the United States. Also, Airlines for America (A4A), the industry trade organization for the leading U.S. airlines, announced on Monday that all carriers will require passengers to sign a COVID-19 health declaration before boarding. At the same time, A4A said that its member carriers will refund tickets to a passenger who fails the screening test at the airport.

Airlines Start Resuming Booking to Capacity

American Airlines said that customers may notice that "flights are booked to capacity" starting Jul 1. The change comes even though COVID-19 cases continue to surge across the United States. United Airlines has been willing to book all seats throughout the pandemic.

Both carriers said they would notify passengers once a flight has more than 70% of its seats booked, and allow them to change to a less-crowded flight. Other major U.S. airlines like Delta Air Lines, Inc. DAL, Southwest Airlines Co. LUV and JetBlue Airways Corporation JBLU had introduced policies to keep their middle seats empty. American Airlines, United Airlines, Southwest Airlines, Delta Air Lines and JetBlue each carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank stocks…
Ritujay Ghosh
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