View Single Post
Old 07-26-2020 | 02:56 PM
  #229  
Excargodog's Avatar
Excargodog
Perennial Reserve
 
Joined: Jan 2018
Posts: 14,248
Likes: 257
Default

Originally Posted by THKooj
American has the biggest economy of scale of any of the legacy carriers and they are the best positioned to weather the crisis and come out with a large gain in market share on the other side. The proportionate savings in cost with this increased level of production solidifies that aspect.
Nope. The plethora of fleet types and the effect of the seniority system absolutely HAMMERS that argument.

Single type fleets - SWA, NK, and F9, are going to gain tremendously in domestic market share, especially now that they will be less constrained by gate ability anywhere. And with all the airline bankruptcies worldwide, they will be able to pick up new and nearly new aircraft in their single type fleets at rock bottom prices, while AA is still in debt from aircraft purchases they made before COVID, when aircraft were at a huge premium to what they are today and when financing was far more expensive than what it is today with the Fed flooding the market to try to stave off a recession.


https://seekingalpha.com/article/436...for-bankruptcy
Reply