Analysts are predicting that the dramatic drop in oil prices could mean profits for the airlines industry this year given the rising revenues brought in the rising fees. However, others are saying that recent fiscal news will drop demand well below the capacity cuts already made by U.S. airlines this year which could fulfill expectations of losses for the airlines. Jamie Baker of J.P. Morgan Chase expects a profit next year for the airlines he follows despite such demand calculations, saying he is having “a tough time modeling losses” for the sector, according to research notes published last week. The industry could be in for savings of $23 billion in fuel given the $1.25 drop in price per gallon and the Air Transport Association’s calculation that every penny increase in fuel increases industry fuel costs by $187 million.