PROSPECTS BRIGHTEN FOR FINANCING NEW EQUIPMENT PURCHASES

This special report highlights the current and future financial status of the airline industry. The first article notes that prospects seem brighter for financing new equipment purchases. The investment tax credit, the aircraft noise financing bill and the CAB pass through fare are all factors that appear to be working in the U.S. airlines' favor. Individual opinions on this subject are given by financial analysts, the banks, the insurance industry, the Export-Import Bank, the consultants, the lessors, and the airlines. The second article discusses the possibility of the European airlines being the big spenders in the near future. It is expected that the airlines will have no great difficulty in raising the necessary funds. The third article discusses the question of airline diversification and it is noted that it has helped some carriers and nearly sunk others. The two strongest, Delta and Northwest haven't branched out at all. The fourth article examines the consequences of the increased airline competition. The CAB feels that inefficient carriers have for too long been operating in a regime of protectionism and cost-plus pricing. The final article discusses whether the thrust fund will vary for new airline fleets. It is noted that noise legislation could play a key role in upcoming carrier decisions on purchases of new transports.

  • Availability:
  • Corporate Authors:

    Reinhold Publishing Company, Incorporated

    600 Summer Street
    Stamford, CT  USA  06904
  • Authors:
    • Baumgarner, J D
  • Publication Date: 1978-3

Media Info

  • Pagination: p. 21-36
  • Serial:

Subject/Index Terms

Filing Info

  • Accession Number: 00173817
  • Record Type: Publication
  • Source Agency: Air Transport World
  • Files: TRIS
  • Created Date: Jul 29 1978 12:00AM