When the going gets tough, the tough find new markets. US airlines, suffering under record fuel prices, low-cost competition and a weakening domestic economy, are increasingly turning to more profitable international routes.
Year-to-date statistics show that almost half of Continental Airlines Inc's mainline operations are now international, up 9 percent on last year, and roughly 43 percent of United Airlines' operations are now outside of North America, helped by a 15 percent jump in trans-Atlantic business.
At American Airlines and Delta Air Lines Inc, growing international traffic now comprises roughly one third of their operations, and at Northwest Airlines Corp, international has grown to make up roughly 40 percent of its traffic.
"They are all making pretty good money on the international routes," said Ray Neidl, analyst at Calyon Securities. "So far, it has been a life-saver for a lot of airlines - it has been keeping the losses from being much bigger."
International routes are often more profitable due partly to less competition and the fact that better fuel efficiency can often be achieved on long-haul flights.
And with the "open skies" agreement between the European Union and the United States now in place, the trend of US carriers increasing their lucrative international routes is likely to gather pace. The first phase of "open skies" - allowing EU and US airlines to serve any route between the EU and the United States for the first time - took effect March 30 and replaced restrictive treaties dating back to World War Two.
"US carriers have been shifting many of their resources to international," said Patrick Murphy, principal of aviation consulting firm Gerchick Murphy Associates in Washington. "I see this (open skies) agreement as allowing them to accelerate something that was already under way."
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The opening up of London's Heathrow airport should further boost the international operations of US carriers. For decades, US access to Heathrow was limited to two US and two British airlines - AMR Corp's American Airlines and UAL Corp's United Airlines, along with British Airways and Virgin Atlantic Airways.
With "open skies" now in operation, other airlines have announced plans to cash in at Heathrow. Delta and Air France have a new joint venture to team up on routes linking major US cities and Heathrow in a direct challenge to British Airways. Delta will use Air France slots at Heathrow.
And Continental recently launched new flights to Heathrow from Newark and Houston. "Broadly speaking, greater access to more international markets provide carriers with new opportunities," said David Castelveter, a spokesman for the chief trade group of major US airlines, the Air Transport Association.
"For years, the international routes have been the most profitable of their routes." US carriers are also adding other international services. American Airlines will begin flying to Milan and Barcelona from New York's John F. Kennedy International Airport on May 1 and start a service between Chicago and Moscow on June 2.
"The network carriers are focusing on the international sector and using their domestic system more and more to feed the international," said Murphy of Gerchick Murphy Associates. "So it boosts their domestic system and allows them to add to international.