Domestic Airlines in the US Friendlier skies After experiencing declining revenue and falling demand and profitability, the industry will experience a modest recovery over the next five years. As consumer and business sentiment rise, the industry is set to improve at a slow and steady rate. Nevertheless, high fuel costs will likely continue to cut into profitability. Further, consolidation will characterize the industry, as major players try to increase profitability and achieve stability.

The Domestic Airlines industry provides air transportation of passengers and/or cargo over regular routes and on regular schedules. Network carriers operate a significant portion of their flights using at least one hub where connections are made for flights on a

 spoke system. Regional carriers provide service from small cities, mostly using smaller aircraft and jets to support the network carriers´ hub and spoke systems. Airlines that transport mail are included in this industry. This report covers the scope, size, disposition and growth of the industry including the key sensitivities and success factors. Also included are five year industry forecasts, growth rates and an analysis of the industry key players and their market shares.