Airline Affairs

Sudden Slump in Domestic Airline Travel:

In an apparent response to Australia’s softening economy, there has been a sudden and largely unexplained slump in domestic airline activity.

Speaking at the National Aviation Press Club in Sydney during late June, Mr John Schaap, Australian Airlines chief executive, noted that domestic airlines were experiencing a noticeable slowdown in passenger numbers, particularly in the important premium class areas as more businesses instructed their employees to travel economy or not at all. The downturn in domestic airline travel is not, however, reflected in international flights. The 1989 figures for Australians travelling overseas showed a growth rate of 17. 2% over the previous year, and it is expected that this will be maintained with at least two million Australians flying overseas in 1990. For the first time ever, the number of outbound passengers is expected to exceed in number those inbound.

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