Originally Posted by
stevo22
LCCs/ULCCS historically break even with a load factor in the high 60% range. Legacies break even around 75%. LCCs can just about break even in that "no middle seat" scenario, legacies can't unless they raise prices, which would give the LCCs an advantage. LCCs grew at a crazy rate after the great recession, and in the following 5 years had the highest profit margins in the industry while legacies shrank. 9/11 was a similar story.
Time will tell, I suppose.
Like you said, during the historically bad times the LCC’s grew while the Legacies shrank. This is a new crisis and potentially much worse, but some of the common elements remain the same.
I have no idea what’ll happen, but I can probably guess if that you work for a Legacy, you’re probably biased towards the Legacies coming out in better shape....and the same if you work for a LCC/ULCC.