Since the company's decision to seek a prestigious London listing, European airline stocks have been hammered amid growing concerns about overcapacity in the sector, despite an improving economy.
Overcapacity is more than 20% in America, and growing.
Although domestic demand has slowed, Chinese steel production is at a record high, contributing (along with overcapacity in South Korea and elsewhere) to excess supply in the global market.
Some high-end casinos are doing even better this year than last, says Brian Gordon of Applied Analysis.This leaves some convinced that Vegas will once again defy the sceptics, just as it confounded those who argued that it would be hurt by competition from Californian gambling dens, or that the wave of mega-hotel openings in the 1990s would create crippling overcapacity.
That may foster inter-service harmony, they say, but it will leave America with an "overcapacity for land warfare and an undercapacity for emerging air, maritime and cyber challenges".In May the CSBA brought together teams from three other think-tanks CSIS, think-tanks CSISerprise Instheute American Enterprise InstituteicandSecuritheto explore how to find the savings required by the sequester.
Even within the car industry, firms realise they have to cut overcapacity rather than prices.
In America the arrival of European, Japanese and South Korean makers has created overcapacity.
Large projects will be delayed sometimes, leading to periods of tight supply; there may also be overcapacity at times, as there has been recently.
It wants to cut overcapacity and pollution, including using the financial markets to put pressure on the steel industry through higher interest rates and tighter credit.
As for most of the rest, don't ask.In this section Getting a head The weakling kicks back The rail billionaires Rupert's misses Born again Fault on the line The gravy train A bad business Marrying an alien Reprints Related topics Internet access Internet IBM Hewlett-Packard IndustriesThese low profits partly reflect overcapacity and competition for market share.
As a result it is China's yards that are struggling, confined to a part of the market that is plagued by overcapacity, whereas Korean and Singaporean order books are almost full.
