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Will Business Travel Come All the Way Back After COVID-19?

The return of the corporate jet set is vital to keeping the recovery in air travel going. U.S. airlines have benefited from a robust snapback in leisure travel, and some are now eyeing their first profits without the help of government aid. But come fall, that booming leisure demand will taper off. There are only so many vacations and trips to reunite with family that people can take. With an international travel recovery moving more slowly than the airlines would like amid continuing Covid restrictions, it will largely fall to business fliers to fill up the planes.  Will it happen? As optimistic as U.S. airline executives are about the prospect, investors appear skeptical: The S&P 500 Airlines Index has slid more than 15% from its June peak. To be sure, not a single one of the major U.S. carriers has reported any kind of impact on bookings from the rise in the highly transmissible delta variant across the country. It helps, too, that face masks are still required on a

Will Business Travel Come All the Way Back?

Will Business Travel Come All the Way Back? Jul 27 2021, 11:08 AM July 27 2021, 12:36 AM July 27 2021, 11:08 AM (Bloomberg Opinion) Airline CEOs are increasingly bullish about the business travel recovery. Other S&P 500 CEOs aren’t so sure. And neither are investors. (Bloomberg Opinion) Airline CEOs are increasingly bullish about the business travel recovery. Other S&P 500 CEOs aren’t so sure. And neither are investors. All of the major U.S. carriers reported improving demand from corporate fliers in the second quarter and expressed more optimism than they have at any other point of the pandemic that this lucrative corner of the market would start to return to normal. American Airlines Group Inc. predicted a full bounce back in U.S. corporate demand by 2022, even though revenue tied to this business had only recovered to 45% of pre-pandemic levels by June. United Airlines Holdings Inc. highlighted a recent survey in which more than 90% of corporate customers

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