Overview
- American Airlines, which reported first‑quarter results Thursday, cut its 2026 outlook and said higher fuel will add more than $4 billion to costs, with plans to recapture about half of the increase in Q2 and more than 90% by Q4.
- United lowered its full‑year profit view despite a strong quarter, citing roughly $340 million more in fuel expense than a year ago.
- Alaska Air suspended full‑year guidance after a quarterly loss and now expects $600 million or more of extra fuel expense in Q2, pausing share buybacks to conserve cash.
- Carriers said they are raising fares, increasing bag and other fees, slowing capacity growth, and trimming flights because many tickets were sold before the price spike and cannot be repriced quickly.
- The fuel jump ties to Iran‑related disruptions near the Strait of Hormuz that pushed U.S. jet fuel toward $4 per gallon, a squeeze that could mean fewer seats and higher travel costs until supply stabilizes.