itsmytime

the 50-70% capacity cuts we are seeing take care of the retirement bubble. They chopped capacity in a week, you think they are going to restore it that quickly?

daOldMan

This is a time for the airlines to re-boot and fix parts of the business that they didn't like. This includes route and structure. If there are markets that they did not really want to be in, then this will be their chance to get out of those markets. If they felt that they were too big, they can downsize as appropriate.

Until we start seeing light on the other end of this tunnel, we will not have any idea what the other side will look like. As of now, it appears that it is a long tunnel, and we just entered it. Expect this to last at least another year.

Thousands of businesses are going to close and hundreds of thousands will be unemployed. I really didn't think that this was going to last more than a few weeks when it started, but here we are. A global recession that is doing far more damage than the actual virus. Expect summer 2022 to look good, but not before.

boeingdvr

The ULCC’s have the most to lose. They cater to the under 50k a year work force- Millons are going weeks if not months without pay. Very few of these individuals will be whipping out their maxed out CC to catch a flight any time soon

catmanhairy

Ouch

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BobbyLeeSwagger

Everybody rags on spirit so much lol.. Maybe people with maxed out CCs won't be flying but those with half full CCs will. After this is all over, they will still have a customer base who will fly. Might even be a bigger customer base because of all this

DontLookDown

I tend to agree with this perspective

Cyio

I am a big Spirit fan and it will be interesting to see if their business model holds up. After all, it was designed for just such an event, economy wise that is.

LoneStar32

So before all this stuff has happened, flight loads were nearly always full on the big three. How are they going to cut flying and come back smaller when the demand was there? Sounds like they are capitulating to the low cost carriers.

ninerdriver

The demand isn't going to be there for years. Once it is there, the legacies will charge top dollar for the limited seats that are available while they recover and slowly grow. That leaves the door open for the LCCs to cater to everyone else in the meantime.

It wasn't until recent history that the legacies started to price match the LCCs. Basic Economy is a relatively new product.

RAHkid94

This isn’t a black swan event, that gives our elected officials too much credit. This is a black rhino event, an elephant in the room no one wanted to address. epidemiologists have been predicting this for years. Explained on Netflix did an episode over a year ago where they said two major things- the next pandemic would likely be a zoonotic virus that originates in a wet market, and that the economic fallout would be worse than the virus itself. We got extremely lucky with SARS and it was only a matter of time before our luck ran out.