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This week, in everything is fintech:
Airlines don't make money from flying passengers.
They lose money on flights, but make it up immensely on points, payments, and rewards.
Every major US airline's operating profit is subsidized by loyalty programs.
7.8. klo 23.58
In this week's @TheEconomist, I wrote about the special relationship between US airlines, their loyalty programs, and their credit card partners.
US airlines tend to be profitable, but they lose money on their passenger operations.
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