United says covid surge to cut 2022 capacity, pressure costs

United expects a delayed recovery in air travel this year as the coronavirus resurgence pressures business and leisure travel, slowing the carrier’s momentum after a robust holiday season pushed its fourth-quarter results above Wall Street’s estimates. The spreading omicron variant prompted United to lower its capacity forecast for 2022 to below the 2019 level, according to a statement Wednesday detailing quarterly results. The airline previously said it expected this year’s capacity to surpass 2019 by 5%. United expects a delayed recovery in air travel this year as the coronavirus resurgence pressures business and leisure travel, slowing the carrier’s momentum after a robust holiday season pushed its Q4 results above Wall Street’s estimates. The spreading omicron variant prompted United to lower its capacity forecast for 2022 to below the 2019 level, according to a statement Wednesday detailing quarterly results. The airline previously said it expected this year’s capacity to surpass 2019 by 5%. The surge in new infections has upended multiple industries and forced many employees to continue working from home, hurting business travel that’s a staple of United’s franchise. The Chicago-based company’s views on the delayed rebound echo comments last week from rival Delta. “While omicron is impacting near-term demand, we remain optimistic about the spring and excited about the summer and beyond,” United CEO Scott Kirby said.<br/>