Originally Posted by
Superpilot92
I think this is exactly whats happening. This is what XJT did after the CAL cuts. XJT mgmt grasped for straws to save face after CAL announced pulling the 69 planes and it ended up bad for XJT. Except republic is doing it on a bigger scale. I think they see the writing on the wall and know that flying is shifting back to the mainline carriers, just as Richard Anderson has said over and over. Republic is trying to put the cards in their hands instead of leaving them with DAL, UAL, USAIR, AA, CAL etc.
like everyone else has said, the next year should be very interesting.
There are a few differences in what BB is doing compared to what Indy and XJT tried. Both Frontier and Midwest have something the other two didn't, a steady stream of revenue. Frontier is already cash flow positive and they are expecting about $400mil in revenue from Midwest. Whether that happens or not we'll all just have to pick up the paper one day and see but this is a huge difference between operations. Also the cost per seat mile of a 190/175 is WAY cheaper than that of a ERJ. Also the routes being flown, ie MKE-LAX, will probably create more revenue than some of the more smaller markets XJT was flying into. Like I said we'll have to see if this works or not but trying to compare what RJET is doing to that of Indy Air or XJT is apples to oranges.