Southwest Airlines reduces flight cancellations after rocky weekend
DALLAS — Southwest Airlines flights appeared to be running closer to normal on Tuesday after the airline canceled nearly 2,400 flights over the previous three days.
By midday Tuesday, Southwest had canceled fewer than 100 flights, or 2% of its schedule, according to tracking service FlightAware. More than 400 other flights were running late.
Southwest maintains that bad weather and air traffic control issues in Florida on Friday triggered cascading failures in which planes and pilots were trapped out of position for their next flight. The crisis peaked on Sunday, when Southwest canceled more than 1,100 flights, or 30% of its schedule.
Southwest had already trimmed its fall schedule after widespread cancellations and delays over the summer. The airline thought those reductions had helped, but the weekend debacle is causing it to consider further reductions in schedules for November and December.
The flight disruptions began shortly after the union for Southwest’s 9,000 pilots asked a federal court to block the airline’s order that all employees get vaccinated against COVID-19.
American Airlines announces plans to ramp up holiday schedule
FORT WORTH, Texas — American Airlines expects to ramp up for the holidays and operate a busier schedule than it flew during the peak summer vacation season.
The airline said Tuesday that it will operate more than 6,100 flights on the busiest days around the holidays.
American said third-quarter revenue will be down about 25% from the same period in 2019. That is slightly better than American’s previous forecast of a decline between 24% to 28% compared with two years ago. The shares gained less than 1% in midday trading.
IMF downgrades outlook based on pace of worldwide pandemic recovery
WASHINGTON — The International Monetary Fund is slightly downgrading its outlook for the global recovery from the pandemic recession, reflecting the persistence of supply chain disruptions in industrialized countries and deadly disparities in vaccination rates between rich and poor nations.
In its latest World Economic Outlook released Tuesday, the IMF foresees global growth this year of 5.9%, compared with its projection in July of 6%.
For the United Sates, the world’s largest economy, the IMF predicts growth of 6% for 2021, below its July forecast of 7%. The downward revision reflects a slowdown in economic activity resulting from a rise in COVID-19 cases and delayed production caused by supply shortages and a resulting acceleration of inflation.
The IMF predicts that for the world’s advanced economies as a whole, growth will amount to 5.2% this year, compared with a meager predicted gain of 3% for low-income developing countries.
Electronics firm negotiates deal with GM over Bolt battery recall
DETROIT — LG Electronics has reached a deal with General Motors to pay $1.9 billion to $2 billion to reimburse the automaker for the cost of recalling Chevrolet Bolt electric vehicles due to the risk of battery fires.
The automaker, which announced the deal in a statement early Tuesday, says it will show the estimated recovery in its third-quarter earnings that will offset charges for the recalls.
In August, GM expanded a previous recall to more than 140,000 Bolt electric vehicles sold worldwide since 2016 because a battery manufacturing defect could cause the vehicles to catch fire.