Thread: RASM & CASM
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Old 03-31-2005, 05:06 AM
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Realistic
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Default RASM & CASM

JetBlue pilots have all been schooled on the subjects of RASM and CASM so I feel somewhat qualified to make the following comments.
We took an airplane (190) with an already tight CASM (number of seats/cost of ownership) and we added $1 million in televisions and $1 million in HUDS. Both of which will have to be paid for with fuel over the life of the aircraft. The training costs and maintenance on the HUDS will be significant as well.
So why isn't jetBlue worried about the growing CASM?
Because they can take it out of pilot pay.
Our mechanics and flight attendants and dispatchers will all be paid the same going rate on this airplane but pilots will close the gap to make the plane profitable.
I had someone e-mail me the other day and tell me that HUDS do not have a return on investment. WHAT! He said that's why nobody buys them. So I called my friend the CRJ fleet manager and he confirmed that there was absolutely no justification for HUDS when they bought their airplanes.
Long and Short -
Pilot pay on the 190 will be shorted to justify a $1 million toy with no ROI.
Your tax dollars at work.
Realistic