Current challenges in a ‘Distressed’ industry

This paper examines the current airline industry downturn and shows that the most recent available financial and operating estimates for the industry in 2009 look optimistic. Airline share prices have been worse affected than other sectors and air cargo has turned down sharply. While the financial position for the larger European airlines starts in a stronger position that pre-September 11th 2001, aircraft orders outstanding are higher and the economic fundamentals much worse.

Research highlights► The paper highlights the features that have been adversely affecting the European airline industry. ► It highlights the key parameters that reflect the state of the airline industry ► It considers the various forecasts of future trends in airline performance