...Office of Inspector General AVIATION INDUSTRY PERFORMANCE A Review of the Aviation Industry, 2008–2011 Number: CC-2012-029 Date Issued: September 24, 2012 Memorandum U.S. Department of Transportation Office of the Secretary of Transportation Office of Inspector General Subject: INFORMATION: Aviation Industry Performance: A Review of the Aviation Industry, 2008–2011 Controlled Correspondence No. 2012-029 Calvin L. Scovel III Inspector General The Secretary Acting Federal Aviation Administrator Assistant Secretary for Aviation and International Affairs Date: September 24, 2012 From: To: Since its inception, the aviation industry has undergone significant transformations as a result of technological developments, economic pressures, and other factors. Most recently, economic recession and recurrent high fuel costs have challenged U.S. airlines, which have taken a number of actions to lower costs and increase revenue—including capacity reductions, fare increases, baggage fees, and mergers. Beginning in 2002, the Office of Inspector General has issued periodic reports regarding the performance of the aviation industry. This report, the 11th in the series, focuses primarily on industry performance during the 2008–2011 period and summarizes long-term trends since 2000. This report also highlights issues related to changes in airlines’ business environment, the industry’s reactions to those changes, and the impact of these actions on the traveling public...
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