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Airline Meltdown Hitting Asia Hardest

And we thought Michael O'Leary was overstating the likelihood of airline failures.

The situation is particularly dire in Asia, an emerging market where airlines surged ahead to suit growing demand, only to see their bookings fall dramatically when the economy took a hit. Carriers from India’s Jet Airways to Singapore Airlines are all frantically selling off planes and reducing routes in an attempt to mitigate hemorrhaging profits.

Says one industry consultant:

There is no airline in this region--and that probably goes for most of the world too--that can be confident they will still be here this time next year.

This is going to be a watershed, if it's not already, not just for the industry but for the global economy... Any airline that thinks otherwise is seriously at risk.

At least the service is still good. The day Asian airlines start cutting amenities so their in-flight service resembles the stiff and starving flights within the United States, we’re just going to give up traveling altogether.

Related Stories:
· Analsysts Warn of Asia Airline Failure as Tourism Slows [Reuters]
· "Dark years" Ahead for Asian Airlines [AFP, via Google]

[Photo: alex-s]