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Marketplace All-in-One

Turbulence for the airline industry

Marketplace All-in-One

Marketplace

News, Business

4.51.4K Ratings

🗓️ 9 July 2026

⏱️ 9 minutes

🧾️ Download transcript

Summary

The country's biggest airlines are about to report financial results for the second quarter, which just so happens to have been at the height of the Iran war and all its economic disruption. That's left airlines between a rock and a hard place. It's gotten more expensive to fly, so airlines need to raise prices, but consumers are inflation-wary. We dig in, then learn how the economics of touring have changed for indie bands.


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Transcript

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0:00.0

The Turbulence Sign is on for airlines.

0:05.0

From Marketplace, I'm Sabri Beneshore in for Kimberly Adams.

0:08.1

The country's biggest airlines are about to let everyone know how they are doing.

0:13.0

They're about to report financial results for the second quarter.

0:15.5

That is April to June, which just so happens to have been smack dab at the height of the Iran War and all of

0:23.6

its economic disruption, which has left airlines between a rock and a hard place. It's gotten more

0:28.7

expensive to fly, so airlines need to raise prices, but also it's gotten more expensive to fly,

0:34.3

so a chunk of consumers don't want to pay higher prices. Delta reports tomorrow.

0:38.2

United comes next week. Marketplaces Nova Saffo reports.

0:41.4

U.S. Airlines spent nearly twice as much on jet fuel in May than they had a year earlier,

0:47.1

$3 billion more in a month, according to the latest data from the Transportation Department.

0:53.1

To keep up, airlines are raising prices, says industry consultant Robert Mann.

0:58.2

They can only charge those fares for future bookings,

1:00.8

so they don't really recover the extent of their fuel price exposure for months, if ever.

1:06.3

The if ever part has to do with what happens after the busy summer travel season ends.

1:12.0

Will people keep buying?

1:13.7

Man isn't sure.

1:15.4

But Meghne Maharishi, an airline reporter with the travel industry trade publication Skift,

1:20.5

says executives appear optimistic for now.

1:24.0

Based on everything that we've heard so far from airline CEOs and executive spending patterns still seem to be up for the most part.

1:32.0

And the reason for that, she says, is that airlines have been focusing on passengers willing to spend,

1:37.6

ones buying first class, business class, and premium economy seats.

...

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