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ganizations this occurs as regulators permit greater freedom and non government ownership in steps that are usually decades apart this pattern is not seen for all airlines in all regions 132 many major airlines operating between the 1940s and 1980s were government owned or government established however most airlines from the earliest days of air travel in the 1920s and 1930s were personal businesses 1 growth rates are not consistent in all regions but countries with a deregulated airline industry have more competition and greater pricing freedom this results in lower fares and sometimes dramatic spurts in traffic growth the u s australia canada japan brazil india and other markets exhibit this trend the industry has been observed to be cyclical in its financial performance four or five years of poor earnings precede five or six years of improvement but profitability even in the good years is generally low in the range of 2 3 net profit after interest and tax in times of profit airlines lease new generations of airplanes and upgrade services in response to higher demand since 1980 the industry has not earned back the cost of capital during the best of times conversely in bad times losses can be dramatically worse warren buffett in 1999 said the money that had been made since the dawn of aviation by all of this country s airline companies was zero absolutely zero 133 as in many mature industries consolidation is a trend airline groupings may consist of limited bilateral partnerships long term multi faceted alliances between carriers equity arrangements mergers or takeovers 134 since governments often restrict ownership and merger between companies in different countries most consolidation takes place within a country by 1990 nearly 200 airlines in the u s had merged been taken over or gone out of business since the airline deregulation act in 1978 135 many international airline managers are lobbying their governments to permit greater consolidation to achieve higher economy and efficiency citation needed types edit passenger airlines can be grouped into various types for example mainline airlines operate flights by the airline s main operating unit rather than by regional affiliates or subsidiaries regional airlines non mainline airlines that operate regional aircraft regionals typically operate over shorter non intercontinental distances often as feeder services for legacy mainline networks low cost carriers giving a basic no frills and perceived inexpensive service business class airline an airline aimed at the business traveler featuring all business class seating and amenities charter airlines operating outside regular schedule intervals flag carriers the historically nationally owned airlines that were considered representative of the country overseas legacy carriers us carriers that predate the airline deregulation act of 1978 major airlines of the united states airlines with at least 1 billion in revenues in addition there are several cargo only airlines this can involve specialized aircraft like those with large cargo doors and reinforced floors or modifying passenger planes for cargo only flights during the covid 19 pandemic some passenger airlines temporarily converted their planes for cargo only flights to meet increased demand for freight transport 136 137 see also edit air charter air ferry airline alliance airline complaints airline timetable airliners net airlines of africa airport security aviation safety beyond rights cargo airline domestic flight environmental impact of aviation federal aviation administration flight length flight planning flightaware government contract flight hyper mobile travel inflight magazine international air transport association international flight legacy carrier virtual airline low cost carrier red eye flight regional airline transportation security administration world s busiest passenger air routes related lists edit airline codes largest airlines in the world list of 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