Originally Posted by
FlyByCable
Not flame. The regionals have been the only sector of the airlines to show any substantial growth and with the continued outsourcing of domestic flying they would provide someone with a secure flying career since the regionals aren't going to go away and they will get bigger jets.
FlyByCable,
With oil hovering near $100/barrel let's see if no regionals go away. AA is looking to divest Eagle, CO already did that to ExpressJet and DAL is considering the sale of Comair. The RJs made money when oil was cheap and yields were much higher than they are now. The RJs typically break even between 12-18 cents a seat mile. With yields at 10 cents they lose many every they depart. The RJs I believe will be replaced with larger RJs but many smaller markets will lose service. The turboprops may make a resurgence but there will be regionals that don't make it or are acquired by larger regionals for economies of scale.
Either way they aren't a sure thing. That thinking would have had you riding Enron stock all the way to the end.
