US airlines will return to profit at the operating level next year if oil stays at or below $60 a barrel, according to JP Morgan analysts Jamie Baker and Pakhi Elder, who forecast the industry will earn $4.6 billion at the operating level compared with an estimated loss of $2 billion in 2005. Operating profit excluding fuel should hit $28.8 billion in 2006, up from $21.9 billion this year. Driving the improvement are declining capacity and "surging RASM," the analysts wrote in a report ...

Subscribe to Access this Entire Article

"Printer-friendly" is part of ATW Plus, our online premium membership. Subscribing will provide you access to exclusive news, carefully researched airline financial, fleet and traffic data, plus the option to receive our popular, award-winning print magazine. To learn more, click here. If viewing via ATW Mobile, please login and click "Read web article" to view fully. Questions?

Already registered? here.