Originally Posted by
clearprop
Some of regionals are not going to fall apart. The business model is not completely broken. It's evolving. As was posted earlier, the hiring cycle is starting to take form. Skywest will survive and grow. Upgrades will happen and peace shall envelope the world. All kidding aside, I'm actually optimistic about the future of this airline. Cash, economy of scale, and attitude is king.
Now back to our regularly scheduled doom and gloom discussion.....
I do agree that SkyWest will survive but they will not be immune to the problems caused by the ATP rule and mainlines hiring. SKW will have a hard time filling their aircraft but not as hard of a time as 9E, CommuteAir, etc. Mark my words, SKW they will NOT be able to blink and fill a class. Also Economics of Scale actually means VERY little here, otherwise we wouldn't have lost those 12 CRJ-700's to GoJet who only has around 5% the number we do.
SKW Mgt wants mainline to start hiring to help off load our SR (expensive) pilots but they see the issues they will face and they're starting to prepare. They want to fill classes now and bloat the airline so when the hiring picks up and the ATP rule is in effect they will have a head start in dealing.
I’m pessimistically optimist when it comes to this industry. My advice to you is never feel safe cause when you do the sky will fall and although SKW will walk out the other side they will not be the same airline you see today.