Airlines Post Biggest Traffic Rise Since War

Travelers took to the skies again in May, leading to one of the biggest gains in air traffic for the nation’s top carriers since the Gulf War ended.

The comeback was a welcome relief for the U.S. airlines, reeling under their worst losses after a dismal winter and early spring.

But the gain was uneven and spurred by special fares, leaving the May boost looking like a one-time shot in the arm for the biggest carriers while the weaker ones suffered.

The gap was history repeating itself for the two-tiered industry, which has seen the strong get stronger and the weak get weaker since last year.

The nation’s top three carriers--United Airlines, American Airlines and Delta Air Lines--reported this week that traffic gained 14.9%, 6.6% and 15%, respectively.

The weakest carriers--Pan Am, TWA and Midway Airlines--saw traffic sink.

Analysts said special air fares were bunched up in May, giving the airlines an extra kick in a recession-pinched travel season.

“The proliferation of discount fares with expiration dates of May 31 proved to be a powerful inducement to the discretionary traveler to change his June vacation into May,” said Salomon Bros. analyst Julius Maldutis.

In the next several months, Maldutis said air traffic will continue to pick up, but only by a small percentage.

“The recovery is still very anemic,” he said. “I wouldn’t say a recovery of 2% is something to write home to grandmother about.”