The Crisis in the Air Transport Industry - Impact on the Relationship Between Airline Alliances and Airports
F Poortvliet and A Kappers, RAND Europe, NL
The airline industry is now facing one of the biggest crises in its history. Despite a decade of growth andthe formation of strong global alliances, the industry has not been able to absorb the shock. Even government support has not prevented a number of large international airlines from going under. In the same decade airports have transformed from a public service to a value creator in a transport network.
The formation of large hubs has allowed them to generate substantial non-operational revenues. The classical relationship between airlines and airports has changed and further deregulation and privatisation of airports could lead to further interesting opportunities. However the effects of September 11 have also greatly affected the profitable airports. Passenger numbers have dropped, investments have been halted and in a number of cases privatisation plans have been (temporarily) cancelled.
In this paper we will study the interdependence of airline alliances and airports and the effect the currentcrisis has on this relationship. The crisis-inducted changes on a number of airline/airport combinations will be studied and suggestions will be made how the airports and airlines can weather a future storm.
Association for European Transport