By keeping regionally feed cheap, especially the wholly owned carriers where the money comes back to AAG, they make more money. They're following a buisness model of Doug's LCC days where performance and customer satisfaction are not as important as the bottom line.

The record profits are mostly due to unexpectedly low fuel costs, not some amazing management team. It won't last forever. When gas goes back up profits will be down and the "pilot shortage" will give AAG the excuse needed to cut service to less profitable markets and reduce frequency to others.

Until then Doug will do whatever he can to keep costs down in the short term, even if that stradegy may cost more down the road with loss of customers and disgruntled employees. Afterall, his bounses are based on the last years' performance, not the next.