Originally Posted by
full of luv
I'm not saying it's not having an effect on their original strategy, but the resulting external constraint on domestic service in the middle of a well-off economy with low oil prices has produced an environment where all the airlines are achieving much higher revenues than even they imagined two years ago.
Bean counters will have to go to court to convince a jury (or at least Boeing) that had they had access to all this capacity they would have made even more money (than historic 3rd Q profits) despite much more capacity being introduced domestically from SWA/UAL/AMR with the MAX.
You may not wanna include SWA in this figure... UAL and AMR can switch to other types. SWA cannot as we bet our future existence on the MAX. That’s why the debate goes on whether it’s wise to remain a single type fleet.
SWA also hired more workers in anticipation of this expansion and increasing its market share, and it now has to absorb the cost of doing so, in addition to not having aircraft to do what it had planned through no fault of their own.
I don’t see this going in front of a jury. This will get settled out of court.