Boyd: Declining role of RJs

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10-29-2016 | 08:24 PM

#11

gloopy

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From: window seat

Quote:

Originally Posted by Is offline

You realize most airlines hedge fuel for five or more years? Even then the price of jet A has not gone down that much since oil plummeted. The RJ's make money and not only that they provide 90% of the feed for mainline.

LOL actually mainline provides 90% of the feed for mainline. But there's still a small role for RJ's.

10-29-2016 | 08:34 PM

#12

Is offline

Dumb Pilot

Joined: Apr 2013

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From: Broke

Quote:

Originally Posted by Wink

90%??? Where did you get that figure from? Most I had heard was 50% of domestic feed.

Regionals are doing 50% of all domestic flights and 90% of out stations.

10-29-2016 | 08:35 PM

#13

Is offline

Dumb Pilot

Joined: Apr 2013

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From: Broke

Quote:

Originally Posted by gloopy

LOL actually mainline provides 90% of the feed for mainline. But there's still a small role for RJ's.

You call 50% of all domestic flights a small role?

10-29-2016 | 08:45 PM

#14

RawHide

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Quote:

Originally Posted by Is offline

You call 50% of all domestic flights a small role?

50% of the departures but like 20% of domestic seat miles.

10-29-2016 | 09:51 PM

#15

Winston

Squawking 2000

Joined: Jul 2015

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From: Skeptical

Quote:

Originally Posted by RawHide

50% of the departures but like 20% of domestic seat miles.

This indeed.

And when United gets their 65 737-700s and Delta their CSeries, those numbers will drop precipitously (for the good of us all).

10-30-2016 | 12:51 AM

#16

Wink

Line Holder

Joined: Dec 2015

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Quote:

Originally Posted by Is offline

Regionals are doing 50% of all domestic flights and 90% of out stations.

Ok, now i know where you get your statistics from - your ass.

Cheers!

10-30-2016 | 03:25 AM

#17

Geardownflaps30

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Quote:

Originally Posted by Wink

90%??? Where did you get that figure from? Most I had heard was 50% of domestic feed.

AA doesn't hedge at all anymore.

10-30-2016 | 03:38 AM

#18

CBreezy

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Quote:

Originally Posted by Wink

Ok, now i know where you get your statistics from - your ass.

Cheers!

This! Haha. In his scientific study, what does he define has out-stations?

10-30-2016 | 04:56 AM

#19

sailingfun

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Quote:

Originally Posted by Is offline

Your post could not be further from the truth. Most major airlines are virtually unhedged at the moment and plan to stay that way. Jet fuel prices have dropped like a stone. They were as high as 3.00 a gallon and got as low as 1.25. Every penny is worth 25 million dollars to a airline the size of Delta. RASM has declined every quarter for almost two years. Profits are solid only because of the drop in jet fuel prices.

10-30-2016 | 06:01 AM

#20

Flytolive

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Quote:

Originally Posted by sailingfun

Your post could not be further from the truth. Jet fuel prices have dropped like a stone. Profits are solid only because of the drop in jet fuel prices.

Historically speaking fuel prices are above normal.

U.S. Gulf Coast Kerosene-Type Jet Fuel Spot Price FOB (Dollars per Gallon)

The airlines are profitable because of reorganizations and consolidation.