Originally Posted by
MatthewAMEL
Ok. I did.
JBLU 1Q/09 CASM 8.88
AAI 1Q/09 CASM 9.22
LUV 1Q/09 CASM 9.76
SWA also had the lowest % change in CASM decrease of all the LCC's.
The numbers I was referencing were for 2008. One quarter's performance can be slanted by one time charges, etc., and can be very volatile from quarter to quarter. Longer periods of time smooth out the fluctuation and are a better picture of the true metric being looked at. SWA's 1Q costs are adversely affected by the mark-to-market accounting of the decline in the value of the futures contracts used in it's fuel hedging program - hedges made SWA a ton of money in 2008. This may also help explain why they had the lowest % decrease in CASM. I have not looked, but I'd be willing to wager that if you looked at the stage length adjusted numbers from 1Q SWA would come out on top.