Investopedia

Continue to Site »

Revenue Seat Miles

Filed Under » , ,
Dictionary Says

Definition of 'Revenue Seat Miles'

The number of miles a plane flies multiplied by the number of passenger seats available per flight. Revenue seat miles, more commonly called available seat miles, are one of the air transport traffic and capacity statistics that airlines must report to the government under section 298.61 of the U.S. Code of Federal Regulations.
Investopedia Says

Investopedia explains 'Revenue Seat Miles'

It is difficult to remain profitable in the airline industry, as evidenced by the chapter 11 bankruptcy filings of numerous major air carriers, including Delta, American and Northwest. Layoffs and wage cuts have plagued airline employees as airlines have struggled to deal with high operating expenses for fuel, aircraft, gate fees, pension funds and union labor contracts. Air travel also has high demand elasticity, so when customers experience a small decline in income, they will cut back significantly on air travel.

Articles Of Interest

  1.

    Save On Planes, Trains And Automobiles

    Getting to, and around, your travel destination doesn't need to break the bank.

  2. Travel Tips For Keeping You And Your Money Safe

    Take precautions to avoid being taken advantage of on your vacation.

  3. Travel Smart By Planning How You'll Pay

    With a little pre-trip planning, you can avoid being stranded without adequate funds.

  4. Industry Handbook

    In this feature, we take an in-depth look at the various techniques that determine the value and investment quality of companies from an industry perspective.

  5. Vacation Savings Tips

    You can enjoy your holiday without spending exorbitant amounts of money. Read on for summer budgeting tips.

  6. CSX Adapting To New Realities

    It wasn't long ago at all that the rails seemed to have things pretty much all going their way. Better management was producing better margins, pricing advantages over trucking...

  7. Airline Stocks are Favored Right Now, But Should You Buy?

    Airline stocks have caught the eye of investors thanks to merger and acquisition activity.

  8. The EU Blows Up The UPS - TNT Deal

    UPS walks away from the TNT Express due to insurmountable regulatory objections.

  9. What is a monopoly?

    Monopoly is a fun family game, but in real life, a monopoly can be dangerous to a country's economy. A monopoly occurs when an industry or sector has only one producer of goods or retailer for ...

  10. Rails Seem To Point To A Respectable 2013

    Industrial rail demand continues to look strong.
comments powered by Disqus
Marketplace
Hot Definitions

  1. Winner's Curse

    Because of incomplete information, emotions or any other number of factors regarding the item being auctioned, bidders can have a difficult time determining the item's intrinsic value. As a result, the largest overestimation of an item's value ends up winning the auction.

  2. Glocalization

    A combination of the words "globalization" and "localization" used to describe a product or service that is developed and distributed globally, but is also fashioned to accommodate the user or consumer in a local market.

  3. Disaster Loss

    A special type of tax-deductible loss, similar to a casualty loss, where a loss has been incurred by taxpayers who reside in an area that has been designated as a federal disaster area by the President.

  4. Fool In The Shower

    The notion that changes or policies designed to alter the course of the economy should be done slowly, rather than all at once.

  5. Pattern Day Trader

    An SEC designation for traders who trade the same security four or more times per day (buys and sells) over a five-day period, and for whom same-day trades make up at least 6% of their activity for that period.

  6. Cost-Push Inflation

    A phenomenon in which the general price levels rise (inflation) due to increases in the cost of wages and raw materials.
Trading Center