American Airlines and United Continental indicated upbeat performance in September, when carriers expected higher Labor Day demand than last year. Earlier Tuesday morning, Southwest Airlines reported a 7.9% increase in September traffic. American said it expects unit revenue in Q3 to fall a less-than-expected 2% to 3% year-over-year, compared with its prior guidance of a 3% to 5% drop. United now anticipates Q3 unit revenue to decline 5.5% to 6% compared with the year-ago period. It previously expected unit revenue to fall 5.5% to 7.5%. The result was near the top end of the initial guidance range “largely due to better than expected September close-in bookings driven by the timing of certain holidays.” United said its passenger traffic improved 3.9% in September versus the year-ago period while American reported a 1.7% decline. Airlines for America, the leading industry trade group, previously said the major U.S. airlines anticipated demand to climb 4% over the seven-day Labor Day period compared with 2015. <br/>
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Two airplanes have clipped wings while on the ground at New Jersey's Newark Liberty International Airport. The Port Authority of New York and New Jersey says no one was hurt in the Tuesday evening incident, but both planes had minor damage. A spokeswoman for United Airlines says a flight arriving from Beijing had landed safely at the airport and was at a stop when an empty Lufthansa plane made contact with it. The spokeswoman says the plane was towed to the gate and maintenance is inspecting it. There were 150 passengers and 15 crew members on board at the time. The incident remains under investigation. Airport officials say it did not cause any delays.<br/>
Some travellers apparently like United's "Fly the Friendly Skies" banners enough to carry them as luggage. United is expanding an "upcycling" initiative turning old banners and billboards hanging in airports including O'Hare International Airport into travel accessories, said spokeswoman Maddie King. "Rather than put them in landfills, we decided to try to find something creative to do with them," she said. Last year, the airline worked with students at Columbia College Chicago and the Re:new Project to make 100 carry-on backpacks and duffels out of the banners. They sold out in two hours, King said. This year, 750 luggage tags, drawstring bags and messenger bags will go on sale at www.unitedshop.com on Tuesday. United switched to a new partner, Relan, that is better able to handle the larger order, King said. Relan helps companies turn old marketing materials, like banners and billboards, into recycled bags and accessories. Last year, profits from the recycled luggage sales benefited Glen Ellyn nonprofit Re:new and the Alto Mayo Forest Carbon Project in Peru. This year proceeds will go back into the project so United can keep making the upcycled accessories, King said.<br/>
A THAI Dreamliner bound from Bangkok to Brisbane had to make an emergency landing at Bali on Tuesday, where passengers endured a 36-hour layover. According to an online report by News.com, the right engine of the Boeing 787-8 had "an oil pressure issue". The flight had left Bangkok three hours late, with no reason being given for the delay. The airline said it arranged hotel accommodations for all 264 passengers aboard the flight. The plane dumped fuel before landing at Bali airport.<br/>