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JetBlue and Delta Say Sandy will hurt results for fourth quarter

JetBlue Airways and Delta Air Lines said that cancellations of flights due to Hurricane Sandy would hurt their results for the fourth quarter

November 04, 2012- On Friday, JetBlue Airways and Delta Air Lines said that cancellations of flights due to Hurricane Sandy would hurt their results for the fourth quarter. The airlines said that both earnings and revenues would be dented. Other airlines indicated they were putting more fuel on their airplanes due to concerns that fuel shortages that might occur in the New York area because of the storm.

Discount airline JetBlue is New York-based and operates a complete terminal in JFK International Airport. Executives of the airline said they expected a weaker demand in the short term for flights, as people look to recover and rebuild following the storm. JetBlue canceled over 1,484 flights during October and another 230 thus far in November because of the storm.

Sandy devastated the New Jersey and New York area starting on Sunday and through into Monday. The storm caused the closing of the three major airports in the New York City region through the end of Tuesday with service slowly starting to resume at the airports on Wednesday.

Delta had to cancel over 3,500 flights due to the storm. The airline said its revenue was hurt by Sandy to the tune of $45 million in October and will likely cut more than $20 million from its profit in October. Delta officials said the storm’s effect on earnings for the airline in November would be less than for October.

According to an online site that monitors all airline flights, the storm caused over 20,000 flights in all to be cancelled. Due to closures of the airports in New York, a trickledown effect was experienced throughout the region, as flights were cut that also served other major metropolitan areas.

American Airlines, United Continental and US Airways all said on Friday their planes had extra fuel aboard as a precautionary measure. Some oil refineries have had their operations closed due to power outages.

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