In the second half of last year we saw the major U.S. airlines begin selling tickets for flights to Cuba. It’s no surprise that so many U.S. carriers requested rights to operate routes to Cuba, given that it’s the first time in decades that such flights are possible. I took advantage of that opportunity, and visited Havana in December. I had an… interesting time. I’m happy to have seen Havana, but don’t need to return anytime soon.
However, we’re going from one extreme to the other in terms of airline capacity. While there’s certainly interest among Americans in visiting Cuba, the actual demand isn’t there, at least not to fill the thousands of seats per day that are now operating between the U.S. and Cuba.
While there was a lot of enthusiasm at first, over the past couple of months we’ve heard a lot of airline executives say that they’re in Cuba for the long run, and they don’t plan on making money flying there in the foreseeable future.