Connect with us

Hi, what are you looking for?

Smart Success Strategy – Investing and Stock NewsSmart Success Strategy – Investing and Stock News

Stock

Delta says Hollywood and auto strikes are denting business travel

Recent strikes by Hollywood talent and United Auto Workers union members are a “drag” on business travel demand, which is otherwise recovering, Delta Air Lines President Glen Hauenstein said Thursday.

Delta has an outsized exposure to the automotive and entertainment industries, with a more than 70% market share at Detroit Metropolitan Wayne County Airport and a nearly 20% share at Los Angeles International Airport, more than any other carrier, according to airport data.

The strikes have had “a not insignificant change in the business travel to and from Los Angeles as well as now the UAW strike, which curtailed a significant amount of the business in Detroit,” Hauenstein said on an earnings call on Thursday. “We are probably the most impacted by those two sectors.”

The United Auto Workers’ targeted strikes, which began after major Detroit automakers and the union failed to reach labor deals before a September contract expiration, are entering their fourth week — and escalating.

Hollywood writers earlier this week ratified a new three-year contract after nearly 150 days of work stoppage that suspended significant film and TV production.

But Hollywood actors, represented by the Screen Actors Guild-American Federation of Television and Radio Artists, are still on strike. And late Wednesday, the Alliance of Motion Picture and Television Producers, which represents production studios like Disney, Universal, Netflix and others, said talks have been been suspended with the two sides far apart on a deal.

Delta’s Hauenstein noted that demand from technology and financial services customers posted double-digit growth in the third quarter, contributing to an overall rebound for business travel.

A company survey of corporate customers found that a majority expect their travel to stay the same or increase in the last three months of this year and into 2024, Hauenstein said.

Disclosure: Comcast is the parent company of NBCUniversal and CNBC. NBCUniversal is a member of the Alliance of Motion Picture and Television Producers.

More from CNBC:

Target CEO to meet with Biden as the company — and White House — try to figure out U.S. consumersAMC CEO identified as victim of an online blackmail attempt last yearChargePoint shares fall after EV charging operator announces $232 million raise

This post appeared first on NBC NEWS
Enter Your Information Below To Receive Latest News, And Articles.



    Your information is secure and your privacy is protected. By opting in you agree to receive emails from us. Remember that you can opt-out any time, we hate spam too!

    You May Also Like

    Editor's Pick

    The energy revolution is here to stay, and electric vehicles (EVs) have become part of the mainstream narrative. Despite geopolitical tensions and uncertainty, the...

    Editor's Pick

    Overview Mexico’s Sinaloa state hosts a number of prolific silver and gold mines, including McEwen Mining’s (TSX:MUX) El Gallo Complex, Americas Gold and Silver’s...

    Editor's Pick

    Uranium is an important energy sector commodity, and its rising value has attracted investor interest. 2023 has seen uranium prices solidly above the important...

    Investing

    A new survey shows that the presidential race between former President Donald Trump and President Biden is thin, but Biden faces a deficit in...

    Disclaimer: smartsuccessstrategy.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.


    Copyright © 2024 smartsuccessstrategy.com