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One industry official dubbed it the "no one wants to be a junior captain syndrome." Dennis Tajer, a spokesman for American's pilots union, said the number of pilots declining promotions has at least doubled in the past seven years. At United, bids for 978 captain vacancies, or about 50% of the vacancies posted, have gone unfilled in the past year, United pilot union data shows. A captain's pay is better, but junior pilots, currently, face greater risks of being subjected to unpredictable flying schedules, more on-call duty and assignments on short notice. A failure to substantially improve work rules was a major reason why United pilots overwhelmingly rejected a deal last year.
Persons: Phil Anderson, Anderson, Robert Mann, Mann, Dennis Tajer, Garth Thompson, Scott Kirby, would've, Greg Sumner, Sumner, Rajesh Kumar Singh, Allison Lampert, Ben Klayman, Matthew Lewis Organizations: United Airlines, United, American Airlines, Airlines, LinkedIn, Delta Air Lines, U.S, Reuters, Indiana, Thomson Locations: Chicago, Montreal
WASHINGTON, July 18 (Reuters) - Southwest Airlines (LUV.N) said on Tuesday it will support legislation to add seven new round trip flights a day at Ronald Reagan Washington National Airport, an issue that has been fiercely contested by major U.S. airlines. American Airlines (AAL.O), United Airlines (UAL.O) and Alaska Airlines (ALK.N) have strongly opposed adding flights to airport arguing to it would boost congestion and lead to more delays, while Delta Air Lines (DAL.N) strongly supports adding more flights to boost competition. In the 1960s, the federal government restricted flights at Reagan National to manage congestion and delays at the airport and direct longer flights to Dulles. The so-called “perimeter rule” limits most non-stop flights serving Reagan National to a distance of 1,250 miles. Congress previously exempted 20 round-trip flights to airports more than 1,250 miles from Reagan National (DCA).
Persons: Ronald Reagan, Regan, Republican Burgess Owens, Owens, Reagan, Mark Warner, Tim Kaine, David Shepardson, Nick Zieminski Organizations: Southwest Airlines, Ronald Reagan Washington National Airport, U.S, American Airlines, United Airlines, Alaska Airlines, Delta Air Lines, Federal Aviation Administration, U.S . House, Southwest, Republican, FAA, Reagan National, Reagan, Thomson Locations: Ronald Reagan Washington, U.S, Capitol, Dulles, Virginia
U.S. stocks finished higher Monday, as momentum from last week’s encouraging inflation data and solid earnings carried into the start of this week despite soft data out of China. Meanwhile, earnings from companies including Delta Air Lines and JPMorgan Chase indicated that the American consumer remains strong. This week, earnings will continue to set the tone for trading, with companies including Netflix, Tesla and Bank of America set to report. Banks rose after a strong start to earnings season, with the KBW Bank index up roughly 1%. Tesla rose alongside some other EV stocks.
Persons: JPMorgan Chase, Banks, Tesla Organizations: Federal Reserve, Delta Air Lines, JPMorgan, Netflix, Tesla, Bank of America, Nasdaq, Telecom, Wall Street, Verizon, Shanghai Locations: China, Europe, Libya
United Airlines pilots reach labor agreement, boost pay
  + stars: | 2023-07-15 | by ( ) www.reuters.com   time to read: +2 min
CHICAGO, July 15 (Reuters) - United Airlines (UAL.O) and its pilots on Saturday reached a labor agreement that will give the latter a significant pay increase, after the union rejected an earlier offer last year instead to seek even higher wages with pilots in short supply. The pilots will get cumulative 34.5%-40.2% increase in pay raises in a new four-year contract, the Air Line Pilots Association (ALPA) said. "We're pleased to have reached an agreement with ALPA," United Airlines CEO Scott Kirby said. United, Delta, American Airlines and Southwest Airlines (LUV.N) are estimated to hire about 8,000 pilots this year. United pilots turned down a deal last year that included more than 14.5% in cumulative wage increases and enhanced overtime and training pay.
Persons: We're, Scott Kirby, Rajesh Kumar Singh, Baranjot Kaur, Nick Zieminski, Diane Craft, Aurora Ellis Organizations: United Airlines, Saturday, Air Line Pilots Association, United, ALPA, Delta Air Lines, Industry, Rival American Airlines, American Airlines, Southwest Airlines, Jefferies, Thomson Locations: Chicago, North America, Delta, United States, Bengaluru
Boeing's upcoming 737 MAX 10 is the MAX family's largest variant at about 144 feet long. The high-density plane will compete with the Airbus A321neo, but it has faced development problems. Insider toured the 737 MAX 10 testbed at the Paris Airshow to catch up on the certification process. Boeing's upcoming 737 MAX 10 is the largest of the single-aisle jet family and will compete with Airbus' A321neo. Insider toured one of Boeing's MAX 10 testbeds at the Paris Airshow in June to learn more about the program, production, and the heavy modifications made to the plane.
Persons: Mike Fleming, Boeing's, FlightGlobal Organizations: Airbus, Paris, United Airlines, Delta Air Lines, Boeing, Paris Airshow
Pilots from United Airlines walk inside the airport as they take part in an informational picket at Newark Liberty International Airport in Newark, New Jersey, May 12, 2023. United Airlines and its pilots' union have agreed to a preliminary labor deal that includes pay increases of as much as 40.2% over four years, ending months of tense negotiations and airport pickets. The preliminary deal, which the Air Line Pilots Association (ALPA) announced Saturday, comes months after Delta Air Lines pilots ratified a new contract that included 34% raises over four years, the first of the top four airlines to reach a new agreement. American Airlines and its pilots' union reached a new labor deal with 40% raises over four years, though it still faces a ratification vote by members. The pilots overwhelmingly rejected a preliminary, 18-month deal last year.
Persons: ALPA, we're, Scott Kirby Organizations: United Airlines, Newark Liberty International Airport, Air Line Pilots Association, Delta Air Lines, American Airlines, ALPA, United Locations: Newark , New Jersey
The House bill, approved 63-0 by the Transportation Committee in June, would reauthorize Federal Aviation Administration (FAA) aviation safety and infrastructure programs for the next five years. The pilot age proposal faces opposition from unions and Transportation Secretary Pete Buttigieg who worry it could complicate operations. The Air Line Pilots Association (ALPA) says it could cause airline scheduling and pilot training issues and require reopening pilot contracts. Buttigieg told Fox News Radio Friday that "I would want to see a lot more data before we could feel comfortable with any kind of change" to the pilot age rules. The House bill would also bar airlines from charging family seating fees but would not impose new rules sought by President Joe Biden to compensate passengers for delays.
Persons: Pete Buttigieg, Buttigieg, Joe Biden, David Shepardson, Susan Heavey Organizations: U.S . House, Republican, Transportation, Federal Aviation Administration, FAA, Air Line Pilots Association, Fox News Radio, Regional Airline Association, Senate, Colgan Air, U.S, Reagan Washington National Airport, Delta Air Lines, United Airlines, American Airlines, Thomson Locations: United States, Russia, Buffalo
Wednesday's CPI report showed U.S. consumer prices registered their smallest annual increase in more than two years. The reports have helped to support the view the Federal Reserve will stop hiking rates after an expected 25 basis points rate increase later this month. Technology-related shares provided the most support to the S&P 500, and an index of tech-focused shares including megacaps (.NYFANG) gained 2.7% and registered a record high close. Traders work on the floor of the New York Stock Exchange (NYSE) in New York City, U.S., July 7, 2023. The S&P 500 posted 51 new 52-week highs and one new low; the Nasdaq Composite recorded 135 new highs and 39 new lows.
Persons: Mona Mahajan, Edward Jones, Brendan McDermid, JPMorgan Chase, Alan Lancz, Alan B, Bard, Caroline Valetkevitch, Johann M Cherian, Sinead Carew, Shashwat Chauhan, Saumyadeb Chakrabarty, Maju Samuel, Deepa Babington Organizations: Dow, Nasdaq, Federal Reserve, PPI, . Technology, Dow Jones, Nvidia, New York Stock Exchange, REUTERS, JPMorgan, Lancz, Associates Inc, Air Lines, PepsiCo, Google, Inc, U.S, NYSE, Thomson Locations: U.S, Philadelphia, New York City, Toledo , Ohio, Europe, Brazil, Bengaluru, New York
Wednesday's CPI report showed U.S. consumer prices registered their smallest annual increase in more than two years. The reports have helped to support the view the Federal Reserve will stop hiking rates after an expected 25 basis points rate increase later this month. "PPI is another confirmation this week that inflation continues to trend in the right direction even as we see better overall labor market and consumer data. According to preliminary data, the S&P 500 (.SPX) gained 37.73 points, or 0.84%, to end at 4,509.89 points, while the Nasdaq Composite (.IXIC) gained 219.35 points, or 1.58%, to 14,138.31. Delta Air Lines (DAL.N) shares gained after it lifted its full-year profit outlook following stronger-than-expected second-quarter earnings on a relentless post-pandemic travel boom.
Persons: Mona Mahajan, Edward Jones, JPMorgan Chase, Alan Lancz, Alan B, Bard, Caroline Valetkevitch, Johann M Cherian, Sinead Carew, Shashwat Chauhan, Saumyadeb Chakrabarty, Maju Samuel, Deepa Babington Organizations: Delta Air Lines, Federal Reserve, PPI, Nasdaq, Dow Jones, Nvidia, JPMorgan, Lancz, Associates Inc, Air Lines, PepsiCo, Google, Inc, Thomson Locations: Philadelphia, Toledo , Ohio, Europe, Brazil, Bengaluru, New York
U.S. producer prices barely rose in June and the annual increase in producer inflation was the smallest in nearly three years. Keeping a lid on optimism, a separate report showed weekly jobless claims unexpectedly fell last week, indicating that the labor market remains tight. InflationTraders expect a 20% probability that the central bank will hike borrowing costs in its November meeting but have fully priced in a 25-basis-point rate hike later in July. Five of the 11 major S&P 500 sectors advanced, with communications services (.SPLRCL) leading gains boosted by a 4.9% jump in Alphabet (GOOGL.O). Overall, earnings for the S&P 500 constituents are expected to have dropped 6.4% in the second quarter, Refinitiv data showed.
Persons: IRPR, David Russell, Bard, ChatGPT, Johann M Cherian, Shashwat Chauhan, Saumyadeb Chakrabarty, Maju Samuel Organizations: PepsiCo, Dow, Nasdaq, Federal Reserve, Dow Jones, Google, Microsoft, Delta Air Lines, Meta, NYSE, Thomson Locations: Europe, Brazil, Bengaluru
The carrier's shares rose 4% before the bell as the raised forecast and record earnings fueled optimism about travel demand despite high inflation. Shares of rivals American Airlines (AAL.O), United Airlines (UAL.O) and Southwest Airlines (LUV.N) were also up about 2% each. Delta said it now expects adjusted earnings of $6-$7 per share this year, compared with its previous forecast of $5-$6 per share. It reported an adjusted profit of $2.68 per share for the second quarter, above the average analyst estimate of $2.40. Delta's total revenue per seat mile (TRASM), a proxy for pricing power, was up 1% in the second quarter from a year ago despite a 17% jump in capacity.
Persons: Ed Bastian, Bastian, Rajesh Kumar Singh, Shivansh, Leslie Adler, Maju Samuel Organizations: Delta Air Lines, American Airlines, United Airlines, Southwest Airlines, Labor, Reuters, Delta, Thomson Locations: Bengaluru
3-Stock Lunch: XOM, PEP & DAL
  + stars: | 2023-07-13 | by ( ) www.cnbc.com   time to read: 1 min
In this videoShare Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via Email3-Stock Lunch: XOM, PEP & DALJerry Castellini, CastleArk Management president, joins ‘Power Lunch’ to discuss three stocks: Exxon, Pepsi and Delta Air Lines.
Persons: DAL Jerry Castellini Organizations: PEP, DAL, CastleArk Management, Exxon, Pepsi, Delta Air Lines
SummaryCompanies Delta rises on FY profit forecast raisePepsiCo gains on lifting FY revenue, profit outlookJune PPI data due at 8:30 a.m. A slower rise in prices has boosted hopes that the Federal Reserve could soon end its monetary tightening campaign. Economists polled by Reuters expect producer inflation to have eased to 0.4% over the 12 months through June from 1.1% in the previous month. ET, Dow e-minis were up 54 points, or 0.16%, S&P 500 e-minis were up 15 points, or 0.33%, and Nasdaq 100 e-minis were up 107.25 points, or 0.69%. Overall, earnings for the S&P 500 constituents are expected to have dropped 6.4% in the second quarter, Refinitiv data showed.
Persons: Michael Hewson, Walt Disney, Robert Iger's, Christopher Waller, Johann M Cherian, Saumyadeb Chakrabarty, Maju Samuel Organizations: PepsiCo, Dow, Nasdaq, Federal Reserve, Reuters, Traders, CMC Markets, Dow e, Delta Air Lines, Meta, Fed, Thomson Locations: Bengaluru
Delta posted adjusted earnings per share of $2.68 cents, more than the $2.40 expected by analysts polled by Refinitiv. It gained adjusted revenue of $14.61 billion, greater than the $14.49 billion consensus estimate. MillerKnoll posted adjusted earnings of 41 cents per share on revenues of $957 million. PepsiCo — The beverage stock rose 2% after PepsiCo on Thursday beat earnings and revenue expectation in its recent results, and raised its full-year outlook. The firm reported adjusted earnings of $2.09 per share, more than the $1.96 per share consensus estimate from Refinitiv.
Persons: MillerKnoll, Noguchi, Eames, Refinitiv, Bob Iger's, Iger, Carvana, Bard chatbot, Morgan Stanley, SoFi, — CNBC's Michelle Fox, Jesse Pound Organizations: Delta Airlines, JFK International, Delta Air Lines, Air Lines, Refinitiv, PepsiCo, Walt Disney Company, Disney, CNBC, ViaSat, JPMorgan, European Union, Financial, Microsoft, Cirrus Logic, Barclays Locations: New York City, Americas, Brazil
Flights are getting cheaper as airlines ramp up service during what's shaping up to be a busy summer. Delta Air Lines on Thursday reported record earnings for the second quarter, estimated more record revenue through the start of fall and hiked its full-year forecast. Delta's domestic revenue unit revenues fell 1% in the quarter from the same period of 2019, but trans-Atlantic unit revenues rose 22% and the smaller trans-Pacific segment rose 29% and Latin American service unit revenues were up 16%. Airlines have been especially aggressive in adding record amounts of service to Europe this summer and higher unit revenues are showing that fares there continue to hold up. United Airlines and American Airlines will provide their outlooks on demand next week when they're scheduled to report results.
Persons: airfares Organizations: National Airport, Transportation Security Administration, Air Lines, Airlines, United Airlines, American Airlines Locations: Arlington , Virginia, Europe
Delta Air Lines posted its highest quarterly revenue and earnings ever thanks to scorching travel demand that has defied fears of an economic slowdown for months. CEO Ed Bastian said he expects consumers' desire for travel will fuel bookings for years, calling the current period the "mid-innings" of travel growth. Bastian said international demand remains robust into the fall and he expects a slow but steady increase in corporate travel bookings. In the third quarter, Delta expects to earn $2.20 to $2.50 a share, above analysts' expectations, on a 16% increase in capacity. Adjusted Revenue: $14.61 billion vs. $14.49 billion expected.
Persons: Ed Bastian, Bastian, Delta Organizations: Delta Air Lines, U.S, United Airlines, American Airlines, CNBC, Unit Locations: Atlanta, Europe, France
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailDelta Air Lines CEO Ed Bastian on record Q2 earnings: Momentum has continued to buildCNBC’s Phil LeBeau and Delta Air Lines CEO Ed Bastian join 'Squawk Box' to discuss the airline's Q2 earnings results, which posted its highest quarterly revenue and earnings ever thanks to searing travel demand that has defied fears of an economic slowdown for months.
Persons: Ed Bastian, Phil LeBeau Organizations: Air, Delta Air
The new first-class seat for narrow-body domestic flights features better technology like armrest wireless charging stations and winged headrests. United and rivals like Delta Air Lines and JetBlue Airways have upgraded their business- or first-class seats in recent months to create more privacy and more room for customers willing to pay a premium to fly. Last year, Delta debuted domestic first-class seats that also feature privacy wings at the top of the seat, while JetBlue redesigned its Mint class to offer seats with sliding doors. The new United first-class seat will first appear on a Boeing 737 this month. The seats will feature three kinds of charging: wireless, a USB-C and an AC outlet.
Persons: Mark Muren Organizations: Airlines, Wednesday, Delta Air Lines, JetBlue Airways, Delta, JetBlue, United, Boeing, Airbus, CNBC
Traders work on the floor of the New York Stock Exchange (NYSE) in New York City, U.S., July 12, 2023. Stock futures inched higher in overnight trading after the S&P 500 closed at its highest level in over a year. Futures tied to the S&P 500 rose 0.1%, while Nasdaq 100 futures added nearly 0.2%. The S&P 500 and Nasdaq Composite jumped 0.74% and 1.15%, respectively, to hit their highest closing levels since April 2022. The early innings of second-quarter earnings season continues Thursday with results from PepsiCo , Delta Air Lines and Fastenal before the bell.
Persons: Bob Iger's, Stocks, Fundstrat's Tom Lee, CNBC's Organizations: New York Stock Exchange, Stock, Disney, Nasdaq, Dow Jones Industrial, Federal, Dow Jones, PepsiCo, Delta Air Lines Locations: New York City, U.S
REUTERS/Jim Vondruska/File PhotoCHICAGO, July 12 (Reuters) - Relentless travel demand has sent bookings at U.S. carriers soaring, translating into bumper earnings. Airline shares have suffered because of bearish sentiment about the broader economy as interest rates are up sharply and inflation remains high, analysts said. There are still no signs of air travel demand waning as ticket purchases for the rest of 2023 are up 4%, said Steve Solomon, ARC's chief commercial officer. Believers in airline stocks have seen signs of hope this year. Global Investors' Holmes said airline shares are poised for even more gains.
Persons: Jim Vondruska, Refinitiv, Jefferies, Sheila Kahyaoglu, TD Cowen, Frank Holmes, Steve Solomon, Hopper, Hayley Berg, Hopper's, airfares, Holmes, Rajesh Kumar Singh, Ben Klayman, Nick Zieminski Organizations: Chicago Midway International, REUTERS, Airline, US Global Jets ETF, United Airlines, Delta Air Lines, Airlines, Global Investors, U.S . Transportation, Airlines Reporting Corporation, ARC, airfare, Delta, American Airlines, Global, Thomson Locations: Chicago , Illinois, U.S, Europe, United
The outlook for this earnings season looks bleak, but Bank of America thinks there are some companies that can still deliver upside surprises. The season kicks off this week, with banking giants JPMorgan Chase , Wells Fargo and Citigroup set to report. BofA screened the S & P 500 for companies most likely to beat consensus earnings expectations. To find these names, the bank used this criteria: BofA earnings estimate above the Street consensus. Companies that beat earnings per share and revenue during the last reporting season.
Persons: Wells, BofA, SolarEdge, Julien Dumoulin, Smith, — CNBC's Michael Bloom Organizations: Bank of America, JPMorgan Chase, Citigroup, Delta Air Lines, PepsiCo, Meta, United Rentals, Corning Locations: Wells Fargo, Horton
A bipartisan group of lawmakers want major flight changes at Reagan National Airport in Virginia. Many lawmakers want to see the 1,250-mile perimeter restriction for round-trip flights relaxed. But some members of Congress argue that Reagan National is already under immense strain. But members of Congress also have a huge personal motivation for increasing the number of flights at Reagan National: the location. The prime location makes Reagan National the preferred airport for most lawmakers, but any route alterations would require changing a law which currently blocks long-haul flights of over 1,250 miles to or from the airport.
Persons: Ronald Reagan, Democratic Sen, Jon Tester, Montana, Tester, Blake Moore of, Virginia aren't, Abigail Spanberger, I'm Organizations: Reagan National Airport, Reagan, Service, Ronald Reagan Washington National Airport, Reagan National, Capitol, Washington Metro, DC, Washington Dulles International, Washington International Thurgood Marshall Airport, Delta Air Lines, Federal Aviation Administration, The New York Times, Democratic, Times, Great Falls International, Washington DC, GOP, Delta, American Airlines and United Airlines, The Times Locations: Virginia, Wall, Silicon, Ronald Reagan Washington, Arlington , Virginia, Washington, Baltimore, Montana, Great Falls, Great Falls , Montana, Denver , Minneapolis, Salt Lake City, Blake Moore of Utah, Maryland, Austin , Texas, Seattle
JPMorgan Chase and Citigroup, as well as Delta Air Lines are slated to post their latest quarterly results. Expectations for this earnings season are downbeat, with analysts forecasting a roughly 7% year-over-year drop, FactSet data shows. Thursday PepsiCo is set to report earnings before the bell, followed by a conference all at 8:15 a.m. Delta Air Lines is set to report earnings in the premarket, and management is slated to hold a call at 10 a.m. Friday JPMorgan Chase is set to report earnings before the market open, followed by a call at 8:30 a.m.
Persons: bode, Steve Powers, DAL, Leslie Josephs, JPMorgan Chase, JPM, Hugh Son, Wells Fargo, Wells, — CNBC's Michael Bloom Organizations: JPMorgan Chase, Citigroup, Delta Air Lines, PepsiCo, Federal Reserve, CNBC, Deutsche Bank, PepsiCo —, Investment Group, FactSet, JPMorgan, Management Locations: America, U.S, Wells
3 things to pay attention to in the markets this coming week
  + stars: | 2023-07-08 | by ( Zev Fima | ) www.cnbc.com   time to read: +9 min
The consumer price index (CPI) report — which calculates the average change over time in prices that shoppers pay for goods and services — drops Wednesday. On Thursday, the producer price index (PPI) is out and will show the change in selling prices received by producers of goods and services. ET: Consumer Price Index After the bell: MillerKnoll (MLKN) Thursday, July 13 8:30 a.m. The consumer price index (CPI) report — which calculates the average change over time in prices that shoppers pay for goods and services — drops Wednesday. ET: Consumer Price IndexAfter the bell: MillerKnoll (MLKN) Thursday, July 13 8:30 a.m.
Persons: Stocks, Wells Fargo, We'll, Jim Cramer, Jeff Marks, Helen of Troy, HELE, Wells, ERIC, Jim Cramer's, Jim Organizations: Federal Reserve, PPI, Delta, DAL, PepsiCo, Conagra Brands, Delta Air Lines, JPMorgan, Citigroup, UnitedHealth, Ericsson, Jim Cramer's Charitable, CNBC, Anadolu Agency, Getty Locations: China, Wells, Wells Fargo, Red, Ras Behar, Egypt
The subscription offers unlimited travel throughout Frontier's network, but only if a seat is available. Frontier Airlines' new "all-you-can-fly" GoWild Pass has officially taken off. In June, Wall Street Journal Reporter Dawn Gilbertson used the Colorado-based carrier's new flight subscription, which markets unlimited travel to anywhere in Frontier's network. Moreover, there are several caveats to "unlimited" travel. However, she also realized "unlimited" travel can actually be very limiting.
Persons: isn't, Dawn Gilbertson, Gilbertson, Thomas, St, San Diego, Passholders, Julia Carmel, passholder Jacob Brown Organizations: Frontier Airlines, Wall Street, Delta Air Lines, Walt Disney, Disney, Los Angeles Times, Facebook, LA Times Locations: Colorado, Phoenix, Atlanta, Dominican Republic, Chicago, St, Puerto Rico, Orlando, Maarten, Hartford , Connecticut, Raleigh, San, Newport , Rhode Island, Connecticut
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