Thread: Mesa's Future
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Old 01-28-2008 | 08:59 AM
  #2  
waflyboy
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Joined: Oct 2005
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From: 737 Right
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Loss of contracts due to poor performance or customer's concern that Mesa will be unable to perform. Some of the routes Mesa looses will disappear as mainline cuts back on flying or replaces RJs with mainline aircraft. Other routes will be awarded to carriers with the proven ability to perform.

The aircraft that Mesa will inevitably park will be distributed to other airlines. This will trigger further consolidation at the regional level, as the larger regionals improve their economies of scale and are able to offer better service at lower cost. Smaller regionals, unable to compete, will be subject to M&A activity or liquidation.

2008 will be a bloodbath.
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