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-   -   [Breeze] Airways (https://www.airlinepilotforums.com/breeze/114461-breeze-airways.html)

OOfff 03-25-2020 09:47 AM


Originally Posted by rickair7777 (Post 3011280)
They are funded for startup activities for at least 1-3 years before ANY revenue. They have to be planning for additional years of not breaking even because that's typical for startups.

Obviously they'll be hosed if this drags on for many years but so will everyone else.

Jetblue didn't really grow up in a great environment either.

planning for not breaking even != planning for zero revenue after launch.

ChopperHopper 03-25-2020 10:12 AM


Originally Posted by sailingfun (Post 3011282)
Neeleman said he was starting this year.

My point is that these guys know what they're doing. This was said pre-COVID-19, I'm sure those plans have changed by now.

sailingfun 03-25-2020 02:19 PM


Originally Posted by ChopperHopper (Post 3011307)
My point is that these guys know what they're doing. This was said pre-COVID-19, I'm sure those plans have changed by now.

I am sure they have also. He was however at a stage where he has incurred fixed costs. At some point they need to generate revenue.

Aldo Raine 05-07-2020 01:51 PM

Anything new here, folks? Been quiet.

Cujo665 05-09-2020 08:20 AM

He's going to be in a great position to buy some earlier delivery slots or options, and even get better terms on some of the leases they were getting ready to finalize. Everything from Jets to Aviation ground equipment will be available for short money. Probably will be able to pick up slots and gates at places they weren't previously considering too.

Excargodog 05-09-2020 09:04 AM


Originally Posted by Cujo665 (Post 3052297)
He's going to be in a great position to buy some earlier delivery slots or options, and even get better terms on some of the leases they were getting ready to finalize. Everything from Jets to Aviation ground equipment will be available for short money. Probably will be able to pick up slots and gates at places they weren't previously considering too.

Absolutely. Startup costs for them have now been LOWERED. They have no legacy costs and will be flying the least expensive equipment with the least senior crews at a time of exceptionally low fuel costs, no shortage of gates, maintenance personnel, etc. and most of their competition will have been hamstrung by training costs and nothing but pilots at the top of the payscale.

it’s an ill wind that blows no good and this one is actually blowing in Breeze’s favor.

BobbyLeeSwagger 05-09-2020 09:19 AM


Originally Posted by Excargodog (Post 3052332)
Absolutely. Startup costs for them have now been LOWERED. They have no legacy costs and will be flying the least expensive equipment with the least senior crews at a time of exceptionally low fuel costs, no shortage of gates, maintenance personnel, etc. and most of their competition will have been hamstrung by training costs and nothing but pilots at the top of the payscale.

it’s an ill wind that blows no good and this one is actually blowing in Breeze’s favor.

Pun intended?

Excargodog 05-09-2020 11:12 AM


Originally Posted by BobbyLeeSwagger (Post 3052345)
Pun intended?

but of course...;)

Notarealpilot 05-09-2020 12:11 PM


Originally Posted by Excargodog (Post 3052332)
Absolutely. Startup costs for them have now been LOWERED. They have no legacy costs and will be flying the least expensive equipment with the least senior crews at a time of exceptionally low fuel costs, no shortage of gates, maintenance personnel, etc. and most of their competition will have been hamstrung by training costs and nothing but pilots at the top of the payscale.

it’s an ill wind that blows no good and this one is actually blowing in Breeze’s favor.

Why do you think this won’t cause Frontier and Spirit to blow up and take over market share for the exact same reasons above? Other than a few differences I think they have a way better shot at taking advantage of this situation. I’m biased because I work for one but my money’s on the current ULCCs.

rickair7777 05-09-2020 01:32 PM


Originally Posted by Notarealpilot (Post 3052459)
Why do you think this won’t cause Frontier and Spirit to blow up and take over market share for the exact same reasons above? Other than a few differences I think they have a way better shot at taking advantage of this situation. I’m biased because I work for one but my money’s on the current ULCCs.

Possible if the economy is totally devastated beyond any hope of return to pre-COVID normals.

If we revert to a third-world economy, with legacies liquidated, maybe business travelers and upper-middle class will have no choice but to fly ULCCs.

But if things return to mostly normal, people will fly the same airlines they've always flown.


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