Gregory Polek has spent his entire career in aviation journalism with AIN, starting as a proofreader and assistant to then-managing editor Mary Mahoney in 1995 after serving an internship with&nbsp;New Jersey Monthly&nbsp;magazine and completing his B.A. degree in English/Writing at New Jersey’s William Paterson College. By 1997 Polek accepted a position as an associate editor, covering the regional airline beat for&nbsp;Aviation International News&nbsp;in place of retiring industry veteran Don Anderson. The assignment took Polek across North America and Europe to profile regional airlines varying in size and mission from the likes of floatplane operators Kenmore Air and Chalk’s Ocean Airways to regional jet operators such as SkyWest and American Eagle. Today, in his dual role as Air Transport Editor and International Airshow Editor, Polek writes, edits, and manages AIN’s commercial aviation content while overseeing each of the company’s daily international air show publications in Paris, Farnborough, Singapore, and Dubai. Most recently Polek has assumed oversight of daily coverage of the Helicopter Association International’s annual Heli-Expo convention.

Senior Editor

Gregory Polek

European airlines will likely remain cautious about adding seating capacity for the summer travel season and beyond, given lessons learned from the experience of U.S. carriers that failed to meet surging demand in that country, International Air Transport Association director general Willie Walsh commented during the group’s Media Day on Wednesday. Walsh also amplified calls for governments to offer more clarity over plans for reopening borders as airlines express a&nbsp;need for lead time to prepare for reinstating capacity.

 


“I think we've got to recognize, for example, that a lot of aircraft that were in the fleets in 2019 have been permanently removed. So it will take time for airlines to recover their network,” said Walsh. “I think the appetite for risk amongst a lot of airlines would be significantly lower because of the impact on balance sheets.”

 


Walsh noted that the industry’s debt burden has increased by $220 billion to $650 billion—a figure, he added, that will likely increase further by the end of the year. “I think it's a combination of aircraft that have been retired [and] weaker balance sheets, which will discourage airlines from taking risks in terms of reintroducing parts of networks that were unprofitable or marginally profitable before the crisis,” explained Walsh.

 


IATA still believes total traffic will rebound to 2019 levels in 2023 or 2024, thanks largely to hesitancy by airlines to return to expansion patterns evident between 2015 and 2019, he&nbsp;added.

 


In the U.S., where domestic markets account for some 66 percent of the total, demand for travel within the country returned faster than some airlines anticipated, which, Walsh said, supports IATA’s view that pent-up demand exists elsewhere. However, given that in Europe, for example, international travel accounts for 89 percent of the market, visibility on plans for relaxing border restrictions in the EU will prove all the more important to the continent’s airlines.

 


“I put the U.S. to one side because…it’s a very big market with a single decision [on travel restrictions]," noted Walsh. “If you look at the EU...you've got a lot of decision-makers...If you get the timing of the increase in your network wrong, your costs are going to significantly increase.”&nbsp;

 


The IATA boss&nbsp;also cited the fact that European airlines’ 2021 cash burn of $81 billion didn't include fuel expenditures and much of the usual labor costs, thanks to government support programs. That point, along with the lack of traditional sales in advance of carriage that airlines enjoyed before the pandemic, suggests a cash-flow imbalance.

 


“You’re going to see a disconnect between the cash going in and the cash going out,” said Walsh. “And this is where I think airlines are going to be very cautious.”

News about commercial airlines, including regulations, aircraft orders, safety, acquisitions, and mergers.

IATA Calls for Clarity from Governments as Airlines Bleed Cash

During IATA’s media day on Wednesday, association director general Willie Walsh said European airlines will take a cautious approach to adding capacity.

2024 Corporate Aviation Leadership Summit

Charles Alcock

News and developments about airplanes, helicopters and unmanned air vehicles used in all varieties of operations, including airlines, military, business, commercial, general aviation and private.

News about environmental issues relating to aircraft operations, including noise issues, emissisions, and regulations. See Fuel for biofuel.

News and issues relating to international air transport and cargo carriers, national airlines and regional airlines, including aircraft, engines, personnel, acquisitions, accidents, safety, security and training.

Agreement between start-ups could lead to orders for up to 15 aircraft

Skyhop Plans Island Routes With Noemi's Electric Seaplane

Howard Hardee

Airline plans to gradually replace its Embraer E-Jet fleet

A220’s Performance Drives BermudAir’s Fleet Growth

Partners say eVTOLs could accelerate response times in crowded Indian cities

Air India Backs SkyDrive Emergency Medical eVTOL Plans

News and issues relating to the aerospace industry that are related to the science, engineering and business of flight in space involving civil, industrial and military applications, and similar topics related to flight in the atmosphere of the Earth that are not covered more directly by other AINonline subject channels. In other words, both astronautical and aeronautical subjects, except for those aeronautical topics that are specifically covered elsewhere on this website.

Rival Boeing arguably claimed bragging rights at the Farnborough International show

Airbus Balances Shareholder Returns and New Aircraft

New developments at airports including regulations and noise issues; legal disputes; openings, acquisitions and mergers.

Connections to London Heathrow and Manchester airports will start first

Virgin Firms Up eVTOL Air Taxi Alliance with Joby

News and developments about everything that goes into the cabin of an aircraft, from floor coverings to headliners, with a special emphasis on in-flight entertainment, communications and other electronics for passengers. If it is in the cabin of an aircraft, it’s covered here.

More In Airlines

Skyhop Plans Island Routes With Noemi's Electric Seaplane

Agreement between start-ups could lead to orders for up to 15 aircraft

A220’s Performance Drives BermudAir’s Fleet Growth

Airline plans to gradually replace its Embraer E-Jet fleet

Air India Backs SkyDrive Emergency Medical eVTOL Plans

Partners say eVTOLs could accelerate response times in crowded Indian cities

Airbus Balances Shareholder Returns and New Aircraft

Rival Boeing arguably claimed bragging rights at the Farnborough International show

Virgin Firms Up eVTOL Air Taxi Alliance with Joby

Connections to London Heathrow and Manchester airports will start first

ATR Chases New Regional Markets for Twin Turboprops

Iran war and wider geopolitical pressure stall buying decisions

Embraer Racks Up E-Jet Orders at Farnborough

30 firm orders led by Abra

Gulf Air May Buy JetZero’s Blended-wing-body Z4

Japan Airlines also expresses interest at Farnborough Airshow

AIN Products

SUBSCRIPTIONS

RESOURCES

ABOUT AIN