Substantial Hike Recorded in Passenger Numbers by US Discount Airlines

In the month of November, budget airlines of America recorded a substantial traffic increase, as opposed to major carrier which still seems to be struggling with declining passenger numbers as the industry tries to recover from a fall in demand over the past year.

The difference between budget carriers and major operators was most significantly out forward by Southwest Airlines Co. which, on Friday, reported a 12% hike in traffic over reduced number of flights, but with much fuller loads. Sometime later, Delta Air Lines Inc., on the other hand, reported a 7.1% drop in traffic. With the gain, Southwest has now posted 5 consecutive months of profits.

Discount carriers AirTran Airways and JetBlue Airways Corp. have also recorded a rise in profits and earnings, with the former reporting an 11% rise in November traffic, and the latter registering a 7.7% surge in traveler numbers.

The nation's biggest carrier, American Airlines, like Delta, also reported a fall of 0.5% in passenger numbers. But it seems that Delta was most hurt during the month.

Southwest shares, after hearing of its success, hiked by 49 cents, or 5.2%, to $10 in morning trading.

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