Carrier expects similar cuts in June with demand suppressed into 2021>>
by: Harvey Chipkin
United Airlines is cutting about 90% of its planned capacity in May and expects to announce a similar reduction for June in the near future, according to a letter to employees from CEO Oscar Munoz and president Scott Kirby. "Travel demand is essentially zero and shows no sign of improving in the near-term," the executives said in the letter. They said that 200,000 people flew on United in the first two weeks of April, compared to more than 6 million during the same period in 2019, a 97% drop. And the airline expects to fly fewer people during the entire month of May than on a single day in May 2019. United, said, the letter, expects to have to make “tough decisions” as early as Oct. 1, as not all states and cities are expected to reopen at the same time and with the possibility of international travel restrictions remaining in place. The letter concluded that while changes are not yet final for July and August, demand is expected to remain suppressed for the remainder of 2020 and likely into 2021.
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