Transportation
Airlines Shares Slump Most in Two Months as American Cuts View
- Spirit, Frontier join carriers warning of higher fuel’s toll
- Spirit is seeing ‘steep’ fare discounts ahead of Thanksgiving
American Airlines airplanes at LaGuardia airport in New York.
Photographer: Ed Jones/AFP/Getty ImagesThis article is for subscribers only.
US passenger airline shares sank by the most since July after American Airlines Group Inc. and discount carriers warned that higher fuel costs, labor costs and flagging interest in domestic travel were hurting their bottom lines.
Shares of American dropped 5.7% Wednesday in New York, while Spirit Airlines Inc. fell 6.3% and Frontier Air Group Holdings Inc. tumbled 9.2%. The news also weighed on United Airlines Holdings Inc. and Delta Air Lines Inc., which fell 3.8% and 2.8% respectively.