I found this on USAToday's website. (I especially like the part that the employees get bonuses just for showing up LOL!)
U.S. airlines pack planes but face holiday hangover
WASHINGTON (Reuters) Struggling airlines will stuff their planes with passengers this week to start the holiday travel season, but there is no expectation they will salvage much to ease the sting of big losses this year.
U.S. airlines estimate they will carry a record 16.3 million passengers during Thanksgiving week. Sunday is the biggest travel day of the year, and the last several weeks of the year have historically represented the best opportunity during an otherwise slow fourth quarter for the industry to improve its bottom line.
Many flights will be at or near capacity this weekend as well as on select dates through the New Year's holiday. United Airlines, the No. 2 U.S. airline which is trying to weather bankruptcy, expects its flights to be 98% full on Sunday. America West Airlines and other carriers also expect 90% or more of seats to be sold on that day.
But planes full of passengers do not solve the industry's problems this year, analysts said.
Some low-cost carriers, like profitable Southwest Airlines could have holiday cheer. But struggling legacies like Delta Air Lines, American Airlines, US Airways and United, are expected to emerge from the year-end rush with a big hangover unless fuel prices plunge unexpectedly.
The industry's top lobbying group projects losses of at least $7 billion this year with many airlines blaming record high fuel prices for their woes.
"I would steer away from any conclusion that holiday traffic patterns mean anything at all," said William Warlick, senior credit analyst at Fitch Ratings. "Fuel and overcapacity are the overriding concerns moving into 2005."
Warlick and other analysts point to reduced pricing power and weak revenue at major airlines, even though flights are running full and overall travel on domestic airlines is on track to set a record this year at 685 million passengers.
Discount airlines have driven ticket prices to historic lows and undercut the lucrative business-fare market, long a lifeline for the biggest airlines. But with competition fiercer than ever during the holiday period, struggling airlines are not holding much space for last-minute business or leisure travel at higher prices.
"There is no expectation they can earn any fare premiums," said Robert Mann, an independent analyst based in Port Washington, N.Y.
"They will fill it up," Mann said of the airlines' strategy to simply pack their flights at reduced rates and try and hold down costs.
Airlines, which have cut thousands of jobs in recent years, are trying to ensure that ground and flight crew shifts will be filled during the Thanksgiving and December holiday period. Some are offering overtime or other incentives or deferring vacation or personal time for employees.
"This is a big opportunity for US Airways to create a positive impression," the bankrupt airline's chief executive, Bruce Lakefield, reminded workers in a recorded message. "An efficient operation and friendly service will go a long way to instill confidence among our customers."
US Airways, which is threatening to scrap labor contracts to cut costs and survive, is offering additional travel benefits for employees who simply show up on time and work their assigned schedules through Jan. 5. In addition, the company plans a lottery to give away a computer, a cruise and Broadway theater tickets paid for by other businesses for employees who meet certain holiday attendance targets.