Originally Posted by
PasserOGas
Well it would still be considered a code share, but I see that they cannot purchase block space. Thanks for that.
So, do we know how they are benefiting financially from JetsuiteX? When members of our board own shares of another company and begin feeding that company passengers where is that addressed? You seem to be more in the know than most.
I think BD is correct; B6 gets a little bit on each seat they sell on JetSuiteX and benefits from increased traffic out of LGB. The Codesharing provisions cause me the most concern, just because they’re the most liberal and I wonder if down the road they could be used as an end run around the more restrictive CPA and JV sections. It seems like we’re relying mostly on market forces to limit the threat of codeshares replacing our flying, but I wonder what happens if market forces change? What if they’re able to negotiate a codeshare that pays a few quarters on the dollar instead of a few pennies? I don’t know if that’s even within the realm of possibility, and codeshares don’t seem to pose much of a threat to us today. Cape Air doesn’t seem to be hurting growth in Boston and Silver doesn’t seem to hurt us in FLL, but I just wonder what happens if the landscape changes. It sounds like provisions in the TA are industry standard or better (except for Southwest), but I don’t understand them well enough to know if that’s true.
In terms of the BOD’s other investments, I guess that just falls under SEC rules for conflict of interest, but honestly I have no clue.