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United Airlines said on Wednesday it expects its financial performance to remain resilient despite economic uncertainty stemming from new tariffs, citing demand for high-margin premium offerings and international travel. Shares of the carrier rose as much as 5% in morning trade before shedding those gains to a broader market fall. They were marginally down in afternoon trade. "Regardless of the economic path ahead, we expect our financial results to be resilient," CFO Michael Leskinen said on Wednesday. Trump's trade policies and sweeping tariffs have sparked a global trade war and increased the possibility of a global recession, making customers hesitant to spend on travel. Expectations of a gloomy demand environment have prompted airlines to take a prudent approach with capacity and cost controls. Several U.S. airlines are cutting flights to avoid lowering fares and to protect margins. The economic downturn is creating headwinds for major U.S. airlines, which, just two months ago, were benefiting from strong travel demand and solid pricing across their networks. However, airlines with an extensive premium presence have limited some of the impact. United on Tuesday reported better-than-expected first-quarter earnings and said forward bookings for high-margin premium cabins rose 17% over the past two weeks, with international reservations up 5% during that period. "So far we've seen no deterioration in high-end consumers' willingness to purchase a premium experience," CCO Andrew Nocella said on the company's earnings call. United said it expects to hit its full-year adjusted profit forecast of $11.50 to $13.50 per share if demand remains stable and fuel prices stay around the current levels. "This was a well-executed quarter, and we expect UAL to outperform given its premium revenue base, strong loyalty program, and solid balance sheet," BofA said in a note, while maintaining its "buy" rating on the stock. But United also warned the forecast was dependent on the macro environment, which it added was "impossible to predict this year with any degree of confidence."<br/>

A airplane engine burst into flame after reportedly striking an animal on departure from Denver International Airport, prompting pilots to make an emergency landing over the weekend, according to the Federal Aviation Administration and air traffic control recordings. “United 2325, it looks like you got, every once in awhile, little bursts of flame coming out the right engine,” somebody said over the radio. “We think we lost our right motor,” a crew member on the plane replies. The United Airlines flight bound for Canada, a Boeing 737-800 that was carrying 153 passengers and six crew members, landed safely Sunday without reports of any injuries, the airport said in a statement. The FAA said it is investigating the incident. Animals, particularly birds, hitting airplanes isn’t uncommon, with nearly 20,000 strikes reported in 2023, according to an FAA report. In the most extreme cases over the years, collisions with wildlife killed 76 people and destroyed 126 aircraft between 1988 and 2023 in the U.S.<br/>

Executives with United Airlines on 16 April insisted that the carrier will not pay significantly more for Airbus or Boeing aircraft as a result of tariffs on US trading partners. President Brett Hart says that “broader economic uncertainties remain top of mind” but the company does not anticipate an aircraft price hike as a “direct” result of trade barriers erected by the Trump administration. ”We are closely monitoring the potential impact on the prices we would pay for aircraft,” he says. ”As a reminder, Boeing accounts for the majority of our future total orderbook, and most of our Airbus A321neos are produced in Alabama. “As such, we don’t currently anticipate a meaningful direct impact of tariffs relating to aircraft purchases.” Competitor Delta Air Lines said earlier this month that it would not pay for tariffs related to Airbus aircraft deliveries. United CE Scott Kirby notes that the aerospace industry is “probably the number one example of a successful high-tech manufacturing export powerhouse industry” in the USA, potentially putting it in a position to receive tariff relief. It is too early to tell how tariffs will “settle out” for airlines and aerospace supply chains, he says. ”I suspect by the time we get to the end game, aerospace is going to be recognised as a clear winning proposition for the United States and things are going to work out,” he says. “My recommendation to everyone would just be to take a breath and let’s wait a little while before you start making panicky moves.” <br/>

Air New Zealand’s first retrofitted Boeing 787-9 Dreamliner has landed back in New Zealand, ready to show off its cabin glow up. The plane has spent 184 days in Singapore getting a new interior layout, including the new Business Premier Luxe seat and redesigned Business Premier, premium economy, and economy cabins. The plane has also been kitted out with new carpet, curtains, wallpaper, hands-free waste disposal and amenity holders in the lavatories, new in-flight entertainment screens and system and a Sky Pantry installed in the economy cabin. The help-yourself free snack station for economy and premium economy passengers will have an array of snacks, fruit, non-alcoholic drinks and water available for travellers to take at their leisure. The aircraft, ZK-NZH, was the first in the airline’s fleet of 14 Dreamliners to undergo the world-first, full nose-to-tail retrofit. All of them will be reconfigured to have 272 seats; featuring four Business Premier Luxe seats, 22 Business Premier seats, 33 premium economy seats and 213 Economy seats, including 13 Economy Skycouch. Air NZ CCO Jeremy O’Brien said the aircraft’s arrival was an exciting moment in the airline’s 85-year history. “Now the aircraft is back on home soil, it will undergo final preparations including testing of its new in-flight entertainment system, and a full crew ground trial to rehearse onboard service before welcoming customers on board for the first time in mid-May."<br/>