The global airline industry is facing financial losses nearly twice as large as those estimated a mere three months ago, prompting concerns that it might be next in line for a government bailout.
After all, here in America the federal government has already nationalized trains and automobiles (or at least pumped billions into them in exchange for an inflated ownership stake), so why wouldn’t it go for the trifecta?
Anyway, according to the International Air Transport Association (IATA), this year’s global loss will be $9 billion – which is nearly twice the $4.7 billion loss it estimated back in March.
Additionally, last year’s loss – originally pegged at $8.5 billion – has been upwardly-revised to $10.4 billion.
All told, the industry is looking at a decline nearly twice as steep as the one it faced after the September 11 terrorist attacks, which we have no doubt will spawn cries for federal assistance in Washington.
Which raises the fundamental point – why does GM deserve a bailout over American Airlines? Or for that matter, why does Bank of America get one over Larry Flynt’s crumbling porn empire?
Seriously … once you start picking winners and losers in the marketplace, where do you stop?
Obviously, it gets confusing … which is why we used to have a capitalist system that sorted it out for us.
By Liberty for me June 8, 2009 at 3:27 pm
Good..I hope we have tons more bailouts.The sooner the country is bankrupt,the sooner we can have a revolution and kick all of those bastards out
By me June 8, 2009 at 7:44 pm
kick them out and then bring in the next set of RINO’s :(
By flipnut June 8, 2009 at 10:20 pm
I guess it wasn’t such a good idea for DOJ and the EU to go after all the airlines for price fixing on tickets, fuel surcharges, and cargo prices.
By liz June 9, 2009 at 8:07 am
Fidelity is a major shareholder of Delta and American,Continental… so yeah expect a bailout.
FMR owns and is closing America.