Crew rooms don't cost $200m. I'd assume it gates at underperforming markets.

 

JD: "And the 200 million of cost savings, about half of it is rent right. Which comes from from the deal we've done today. About another third of it is really network shape driving unit cost savings into the business from where we fly basically. And then you've got efficiencies that come on the back of of having a business that was fragmented as the week progressed. So Tuesdays and Wednesdays had a lower flying. Saturday had slightly lower flying than the other four days of the week. And so you get efficiencies, efficiencies from that."

I don't think bases close to save the $200M. They're claiming $100M from the aircraft deal & $100M from fixing the network / utilization.

Ofc can change tomorrow.

 

I probably missed it but it sounded like $200M in cost cutting and $90M was lease returns? So $110M in other areas? I might have misinterpreted his statement. Assuming the remaining $110M in savings is from a combination of other areas.

 

You don’t need TPIC… FWIW buddy of mine has TPIC no calls at all. But I know of a handful of guys ZERO TPIC that have either interviewed in the last few months or have interviews coming up. Keep updating your app and keep right side up, you’ll get a call.

Yes the rent is partially true but not the entire story with just leases.


No they don’t but you can claim an umbrella statement in an earnings call with gates/ground crew/GAs all inclusive to rent right? We rent all of those services. Rather then him getting into the weeds about exactly ever aspect of the savings.



What does network shape mean to you? Because to me it means a realignment/closure. Just take a look at the bid packets for March…. What bases didn’t get an increase in block hours? Meanwhile, the other bases did. Ofc I could be wrong with all of this but it seems to me that this is the way it’s going to go. Higher utilization also means potentially more trips not turns. Think TransCon flying through the night.

I agree not all $200M is from bases closing, see my above comment to DumbDrop

 

To me this means frequency changes rather closures. You're right about the Mar bid packets. But looking at FFT pilots "Top 15" data, I see DEN and MCO fell off in '25 as well as PHL lower. I see a push west (LAX/SFO), ATL gaining momentum, and even places like JFK moving up. More ORD and IAH. Makes sense with capacity pullbacks in '25 and the fact we didn't fly half a week. I'm just not on the closure train quite yet.


That's one way to make it happen. The company can also use turns. Or three leg single day returning to base. High utilization isn't exclusively pinned to multi-days, but I'm pretty sure you know that.


Copy.


My crystal ball is a bit foggy though, so anyone's guess.

 

System bid just came out.

No base closures or even shrinkage.

I heard nothing in the call today that would indicate base closing to me. They said the future growth will be 50% filling in the gaps and 50% new routes

 

Agreed man no idea what’s happening. It’s just really old always wondering which direction we are going. Stability is not really a thing here in my opinion.

 

Isn’t that the most telling part? We wok for the company. We listened to the town hall. And we all have no F’ing idea what our plan is. We hear some rather cryptic/non-detailed talk about right sizing, utilization, old and new markets, etc.

But what’s the plan?

Are we gonna diversify into more premium services (outside of just first class seats)? Are we gonna focus on developing out infrastructure to include better customer service from the app to the ticket counter to the gate? How are we gonna improve on-time
performance - stretching out the time between flights or something else? I get that he can’t be too specific but it’s a freakin town hall for cries sales. People should have a better idea of HOW - not just what we’re planning.

Where are we focusing? What about the network needs changing? When will the first classs seats (that are already overdue) come out and when is WiFi gonna start.

 

As expected, pretty disappointing. I would have liked to have heard a clear path forward. 10% growth through utilizing the assets on hand more efficiently? Great! But what does that look like?
Nothing but crickets.

If you want to generate more CC revenue by increasing customer retention and loyalty, you have to fix the product. Unfortunately, I did not hear clear answers on how you fix the things that we all know are broken: frequency, reliability, customer service, and aircraft cleanliness.

I’d like to be optimistic, but I was unimpressed. I hope I’m proven wrong, but his closing rang hollow and sounded vaguely familiar.

But be proud of what you do and remember…smiles are free!

 

This exactly this! Which is why I can’t stick around to find out anymore. This is just more lame duck excuses with cryptic responses. Skirted right over the base closure question in the town hall and then morphed it into MX setups at specific bases.