Originally Posted by
All Bizniz
AS bought on airline in 2016 so of course they're going to record strong growth albeit inorganic.. I bet you though, that they would not have bought VX in 2016, if they weren't forced to...
Anyways, I never said we're doing poorly in the sense you just said it. We are doing poorly on transcons but we are profitable overall because of AS' bread and butter regional routes. The company has admitted that...
The company right now is actively trying to drum up support for the transcons as the yields have fell off from what it was upon VX's acquisition and are nowhere near their targets/expectations .. Ask a gate agent about it if you're not familiar with the briefing from mgmnt and what is being done...
Aren’t all purchases out of some form of necessity? SW bought AT out of the necessity to grow and compete. Also the necessity to knock off competition. Same thing with all recent mergers. DAL/NW, UAL/CAL, USA/AA/AW.... Do you think these things happened just because there was some cash lying around and the board needed a project to keep them busy? It was necessary for each of these things to happen for the current surviving companies to thrive, stay competitive and exit bankruptcy. I’m sure the individual companies could have struggled through and last a little longer but the companies thought it necessary to combine in order to stay in the game. Same goes for AS. We were doing fine. Making money and holding our own prior to the purchase of VX. You all say the same of VX. Both companies could have stayed the course and muddled through but the buyer and the seller thought it necessary to combine for a better, more competitive future.
AS’ growth is inorganic....no airline in the last decade has grown organically. All the major players besides JB, NK and F9 have gone through mergers. The reason each is so massive is because of inorganic growth. It also took each of those airlines a number of years to fully recognize the benefits of the mergers. Each one experienced an uphill slog at first.
Every company “drums” up business. That’s what $49 fares are. That’s what fire sales and 2 for ones are. You think AS is the only one that “drums” up business? AS is gonna be fine.