United Airlines shares moved lower in premarket Monday after the carrier said it will cut additional unprofitable flights over the next two quarters, as it braces for a prolonged period of elevated jet fuel prices tied to the Iran war.

The stock slipped 1.7% in the market pre-open trade by 05:59 ET.

The pullback comes after United CEO Scott Kirby told staff in a Friday memo that the airline is preparing for a scenario where oil could climb to $175 per barrel and stay above $100 through the end of 2027. At those levels, United’s annual fuel bill would increase by roughly $11 billion—more than double the profit it generated in its “best year ever,” he said.

The conflict in Iran has triggered a renewed fuel shock for airlines, with jet fuel prices nearly doubling since late February. The surge has raised operating costs across the sector while also forcing carriers to adjust routes due to airspace restrictions and rerouting.

Despite the pressure, U.S. airlines have so far managed to raise fares, supported by steady travel demand and reduced capacity.

“There’s a good chance it won’t be that bad,” Kirby wrote of the airline’s fuel assumptions. “But…there isn’t much downside for us to preparing for that outcome.”

United had already started reducing less profitable flying, including certain midweek, Saturday, and overnight services. The latest plan calls for a roughly three percentage point cut to off-peak flying in the second and third quarters, focusing on routes and time periods with weaker demand.

The airline will also remove about one percentage point of capacity from its Chicago O’Hare hub and continue suspending flights to Tel Aviv and Dubai. In total, these moves amount to a roughly five percentage point reduction in planned capacity for the year.

Kirby said the airline still expects to restore its full schedule in the fall.

The additional cuts follow earlier remarks from the CEO that United would rather leave some demand unmet than operate flights that are unprofitable if fuel prices remain elevated.