The trend: Travel demand weakened precipitously in the first quarter, pushing once bullish airlines like Delta Air Lines, American Airlines, and United Airlines to temper their outlooks and cut capacity.

• Delta expects Q1 revenues to be roughly $500 million lower than its previous guidance, CEO Ed Bastian said at the JPMorgan Industrials Conference. The airline also halved its profit forecast to $0.30 to $0.50 per share.
• American Airlines is projecting flat revenues this quarter, a sizable downgrade from its prior estimate of up to 5% growth. It raised its loss forecast to between 60 cents and 80 cents a share.
• Southwest Airlines slashed the upper end of its unit revenue guidance from 7% to 4%, while United expects Q1 earnings to be at the low end of its forecast.

A perfect storm: Carriers faced “a parade of horribles” in Q1, Bastian said—including bad weather and high-profile accidents like a Delta plane crashing and flipping in the Toronto airport and the tragic collision between an American Airlines flight and a military helicopter. That all made consumers think twice before booking air travel.