United 1st-Qtr Loss & Furloughs
04-22-2008, 10:21 AM
#11
Gets Weekends Off
Joined APC: Dec 2007
Position: CFI, MEI
Posts: 105
Andy,
They may very well get screwed...but it's going to be a tough road a hoe for any airline even the most finely, well-tuned, lean machines like Southwest. I'm going to continue to work while I do my instrument-MEI because of the state of the industry. It will probably be like this for 2-3 years.
They may very well get screwed...but it's going to be a tough road a hoe for any airline even the most finely, well-tuned, lean machines like Southwest. I'm going to continue to work while I do my instrument-MEI because of the state of the industry. It will probably be like this for 2-3 years.
04-22-2008, 10:31 AM
#12
Gets Weekends Off
Joined APC: Oct 2006
Position: L Side
Posts: 409
Genuine questions:
How is consolidation without capacity reduction going to benefit any of these companies on the long run?
Won't some start-up or smaller company expand and fill the void sometime after?
How has the US Air merger benefitted the industry/company/employees?
If all these companies merge, won't they just be bigger versions of their current selves?
How is consolidation without capacity reduction going to benefit any of these companies on the long run?
Won't some start-up or smaller company expand and fill the void sometime after?
How has the US Air merger benefitted the industry/company/employees?
If all these companies merge, won't they just be bigger versions of their current selves?
04-22-2008, 10:47 AM
#14
Gets Weekends Off
Joined APC: Apr 2007
Posts: 284
Unfortunately, you can't separate the two. SWA has fuel hedges which generates significant revenue. Without that revenue, they would probably change their pricing and/or route strategy to some degree. How much and to what effect? Who knows. But it would fundamentally change the competitive environment, which would change everybody's numbers.
Basically, you question is similar to asking how an airline's numbers would be without any debt, without funding a retirement plan, with better labor relations, without any merger costs, or without a hub and spoke system.
You just can't separate out the fundamentals of the business model(s).
Basically, you question is similar to asking how an airline's numbers would be without any debt, without funding a retirement plan, with better labor relations, without any merger costs, or without a hub and spoke system.
You just can't separate out the fundamentals of the business model(s).
04-22-2008, 10:58 AM
#15
Gets Weekends Off
Joined APC: Jul 2007
Posts: 569
Originally Posted by dundem
Genuine questions:
How is consolidation without capacity reduction going to benefit any of these companies on the long run?
If all these companies merge, won't they just be bigger versions of their current selves?
How is consolidation without capacity reduction going to benefit any of these companies on the long run?
If all these companies merge, won't they just be bigger versions of their current selves?
04-22-2008, 11:28 AM
#16
Gets Weekends Off
Joined APC: Jun 2007
Position: 757/767
Posts: 890
Originally Posted by ClipperJet
Unfortunately, you can't separate the two. SWA has fuel hedges which generates significant revenue. Without that revenue, they would probably change their pricing and/or route strategy to some degree. How much and to what effect? Who knows. But it would fundamentally change the competitive environment, which would change everybody's numbers.
Basically, you question is similar to asking how an airline's numbers would be without any debt, without funding a retirement plan, with better labor relations, without any merger costs, or without a hub and spoke system.
You just can't separate out the fundamentals of the business model(s).
Basically, you question is similar to asking how an airline's numbers would be without any debt, without funding a retirement plan, with better labor relations, without any merger costs, or without a hub and spoke system.
You just can't separate out the fundamentals of the business model(s).
04-22-2008, 11:32 AM
#17
Line Holder
Joined APC: Feb 2008
Position: Furloughed, disgruntled
Posts: 63
Well, I am in the last new-hire class, and have an exit interview at old job
tomorrow. Would prefer to try to hang on, and at least get a type rating before furlough.
Or could/should I ask for a leave of absence from UA, and go back to old job tomorrow?
Any ideas? Thanks...
tomorrow. Would prefer to try to hang on, and at least get a type rating before furlough.
Or could/should I ask for a leave of absence from UA, and go back to old job tomorrow?
Any ideas? Thanks...
04-22-2008, 11:40 AM
#18
Gets Weekends Off
Joined APC: Aug 2007
Position: A319 320 321 LEFT GOOOOOD
Posts: 377
Originally Posted by Equinox
Well, I am in the last new-hire class, and have an exit interview at old job
tomorrow. Would prefer to try to hang on, and at least get a type rating before furlough.
Or could/should I ask for a leave of absence from UA, and go back to old job tomorrow?
Any ideas? Thanks...
tomorrow. Would prefer to try to hang on, and at least get a type rating before furlough.
Or could/should I ask for a leave of absence from UA, and go back to old job tomorrow?
Any ideas? Thanks...
04-22-2008, 11:48 AM
#20
Gets Weekends Off
Joined APC: Feb 2006
Position: DD->DH->RU/XE soon to be EV
Posts: 3,732
Originally Posted by Deez340
Except for the fact that their fuel hedges (futures contracts) have a know and quantifiable life span unlike labor relations or route structures. So unless they hedge @ 110/barrel and the future price is 200/barrel their cost advantage will have a sunset and the result will be for all to observe.
There won't be a "sunset" as you put it, just a shift in the numbers.
Besides, wasn't everybody waiting for SW to fall flat on their face a few years ago because their hedge was "going to run out"? Remember that? Well, seems as if they handled that just fine.
Thread
Thread Starter
Forum
Replies
Last Post
