AirOptions Blog

Faced with surging oil prices, airlines are once again calling for increased limits on speculators. After mounting an unsuccessful push for additional regulations during the Bush administration, the industry is looking for more help from President Barack Obama, though commodity speculation was not specifically addressed in wide-ranging new financial regulations proposed last week. Glenn Tilton, CEO of United Airlines, has warned the administration that “a repeat of last summer’s astronomical crude-oil prices will bring the nation’s economic recovery to a painful halt.” Reuters (6/19)

Drivers may grumble about gas prices this summer, but the prices are still far lower than they were this time last year, and many Florida travel experts say they don’t expect the prices to be deal-breakers for travel this summer. The Fourth of July likely isn’t expected to be a blockbuster, but as one expert put it, “flat is the new up,” and hotels are pulling out as many deals as possible to attract vacationers. Sun-Sentinel (Fort Lauderdale, Fla.) (6/19)

As the airline industry struggles through a severe downturn, Deutsche Lufthansa has agreed to acquire British Midland Airways in stages. Lufthansa executives have been negotiating with BMI co-founder Michael Bishop since October. Since then, the two sides have been discussing sale price and terms. Meanwhile Central European low-cost carrier SkyEurope Holding has received protection from its creditors. The Wall Street Journal

The final phase of the Western Hemisphere Travel Initiative went into effect on Monday with officials reporting few delays at borders. The rules require travelers entering the U.S. to show a passport or other government-issued and approved identification. Agents used the first day of the new rules as more of an educational exercise, giving those without the proper ID information about the requirements and then allowing them to enter. USA TODAY (6/1)

Rescuers are searching a vast swath of Atlantic waters for signs of wreckage from Air France Flight 447, which disappeared Monday in an area of intense thunderstorms. Though one French official said the chance of finding survivors is “very very small, even nonexistent,” investigators are eager to recover the Airbus A330’s two black boxes, which can emit signals for up to 30 days. The plane’s computers sent out automated reports of electrical damage, but they were not sent as distress calls, and the crew never reported any emergency. Early speculation has centered on a debilitating lightning strike, but the 4-year-old aircraft was equipped with an emergency generator to power critical systems after an electrical failure. Experts say it has been more than three decades since a large U.S. jetliner was brought down by lightning. The New York Times (6/2)