Load Factor

RECENT NEWS
Flightglobal  Nov 23  Comment 
Chris Tarry stresses that load factors are only a measure of capacity utilisation.
MarketWatch  Nov 9  Comment 
Air France-KLM said Monday that it carried 6.3 million passengers in October, a 5.3% decline compared to a year earlier. The airline said traffic once again declined less than capacity, leading to a 1.3 percentage point improvement in its load...
CANOE.ca  Oct 5  Comment 
CALGARY - WestJet (TSX:WJA) said Monday that its flights had fewer empty seats in September compared with a year ago as the airline cut capacity compared with the same month last year.
StreetInsider.com  Oct 5  Comment 
Visit StreetInsider.com at http://www.streetinsider.com/Corporate+News/Alaska+Air+%28ALK%29+Sept+Load+Factor+Rises+to+77.9%25/4992468.html for the full story.
StreetInsider.com  Sep 3  Comment 
Visit StreetInsider.com at http://www.streetinsider.com/Corporate+News/Allegiant+Air+%28ALGT%29+Load+Factor+Fell+3.2%25/4919916.html for the full story.
StreetInsider.com  Sep 2  Comment 
Visit StreetInsider.com at http://www.streetinsider.com/Corporate+News/Continental+Airlines+%28CAL%29+Reported+Load+Factor+of+85.8%25/4916260.html for the full story.
RTTNews  Jun 8  Comment 
Monday, Air Canada (AC-A.TO, AC-B.TO) posted May load factor of 79.5% on a consolidated basis with Jazz, a decline of 3.7 percentage points, compared to 83.2% reported in the year-ago period. For the month of May, System traffic fell 10.3% on a...
StreetInsider.com  Jun 5  Comment 
Visit StreetInsider.com at http://www.streetinsider.com/Corporate+News/Hawaiian+Airlines+%28HA%29+Reports+May+Load+Factor+Declined+2.4%25/4710833.html for the full story.
RTTNews  Jun 4  Comment 
Low-cost airliner easyJet reported an increase in load factor and passengers for the month of May, as customers preferred to travel cheaper in the midst of ongoing economic recession on the aviation sector. Load factor increased 0.3 percentage...
MarketWatch  Jun 2  Comment 
A June 1 MarketWatch report on airline stocks misstated the consolidated load factor reported by Continental Airlines for May. The load factor fell 0.3 of a percentage point from May 2008 to stand at 80.9%.
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Load factor is a metric used primarily in the transportation industry. A company's load factor is defined as percentage of their available seats that are filled.

Load factor = Revenue Passenger Miles (RPM) / Available Seat Miles (ASM)

Companies can determine a minimum load factor they need to meet in order to break even financially. That is, once a company meets a certain load factor the revenues from doing so will cover the costs of providing their seat capacity. If they are below this break-even load factor the company will be spending more than they are earning and will lose money.

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