Originally Posted by
torpid0
You could make that argument but then how do you explain AA and DAL using MD80's (until now)? Allegiant made big money flying old MD80's. Even Skywest flew the Brasilia (and CRJ50) well past their prime and made a ton of money doing it. There is a cost advantage to the newer aircraft but those old birds - at the right company - can still make lots of money.
I think the name of the game now is to keep the newest fleet and retire old MX heavy airplanes. AA has the most debt by far, but the newest fleet. Along with that they have the most assets, which probably aren’t worth a lot in todays market. And yes SWA will need to take on debt to re fleet but they have typically done that in a responsible way as to not be overly leveraged during a downturn. I think airlines fly older fleets in good times when demand is high and they are paid off and retire them when they are no longer needed. SWA hasn’t yet announced many retirements other than the ones that had been deferred because of the Max delay.