Airlines Are Trimming Capacity Ahead of 4th of July

U.S. airlines are cutting capacity going into the Fourth of July travel period, even as demand remains high despite rising airfares. 

Domestic capacity is down 2%, while international capacity is down 2.1%, according to aviation intelligence firm IBA. The trend is more visible among low-cost carriers: Their domestic capacity is down by 9.1% this year versus 2% for full-service carriers. 

The most recent data shows a rightsizing in capacity since Spirit Airlines’ collapse. Ultra-low-cost and low-cost carriers have been cutting back on underperforming routes and focusing on a select number of markets as they look to turn a profit. JetBlue, for example, said it would end