Originally Posted by
WesternSkies
Plenty more fodder for QX to rightfully upset, but Alaska doesn't operate under a capped number of RJs.
They can expand as desired and the delay maybe only a delay. Alaska has all the cheap tools they need to turn QX around quickly.
I would invite you to look at the AAG financial reports, specifically under regional flying. Last year OO generated a pre-tax profit of about $93 million with only 15 airplanes on average. Horizon only generated $23 million with 54 airplanes and that was before the new TA and bonuses. So far this year they have been losing about $9 million per quarter.
At some point, someone at AAG is going to ask why are they doing this, spending tens of millions only to lose money and drag down the brand image. Why not simply make a phone call to SGU, sign a contract and make hundreds of millions.
The only question is when.