Airline Expenses?

Question

On average, what percentage of an airline's expenses are fuel prices? I know it differs by route, and fleet, and size, and airports served, and everything, but I would appreciate a simple estimate.

Would it be safe to say that fuel expenses, today, account for 50%? I highly doubt its that much, but i don't know, therefore I am going to ask you.

Thanks

Answer 1

According to a CNN article, "It outpaced labor as the biggest airline expense three years ago. As of September 2007, fuel made up 27 percent of operating expenses for U.S. airlines, according to the latest data from the Bureau of Transportation Statistics."

Answer 2

Fuel Cost - on average, fuel can make up 14-16% of an airline's total costs, although efficiency among different carriers can vary widely. Short haul airlines typically get lower fuel efficiency because take-offs and landings consume high amounts of jet fuel.

Labor - it is estimated that 40% of an airline's expenses are used to pay pilots, flight attendants, baggage handlers, dispatchers, customer service, and others.

more info here

http://www.investopedia.com/features/ind...