BTS Releases 3rd-Quarter 2009 Airline Financial Data; Airlines Report Improved Operating Margins
The network, low-cost and regional airline groups all reported improved operating margins in the third quarter of 2009 compared to the third quarter of 2008, the Bureau of Transportation Statistics (BTS) of the U.S. Department of Transportation reported today in a release of preliminary data.
BTS, a part of the Research and Innovative Technology Administration, reported that the airline industry collected at least $2.0 billion through ancillary fees in the third quarter of 2009, up 36.4 percent from the third quarter of 2008. The ancillary fees constituted 6.9 percent of the total revenue of the 26 carriers that reported receiving ancillary fees.
The airlines collected $740 million in baggage fees, $614 million from reservation change fees, and $601 million from other ancillary fees, such as pet transportation fees and frequent flyer award program mileage sales. Revenue from seating assignments and on-board sales of food, drink, pillows, blankets, entertainment, or any other ancillary items are reported in a different category with other items.
Delta Air Lines collected $447.5 million in the third quarter ancillary fees, the most of any carrier. Delta collected $24 of ancillary fees per passenger, the most of any airline. See BTS Airline Financials Release for the 10 airlines that collected the most in total ancillary fees in the third quarter. For other carriers and additional historic data, go to Passenger Baggage, Reservation Cancellation Fees or Miscellaneous Operating Revenue at BTS Schedule P-12.
Network carriers as a group posted their first operating profit margin since September 2007 while the low-cost and regional groups continued to report profit margins. The regionals' profit margin of 8.3 percent was its largest since the fourth quarter of 2006.