Boyd: Declining role of RJs

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10-30-2016 | 06:33 AM

#21

minimwage4

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From: Embraer Systems Analyst

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.

Wow you need to be promoted straight to upper management at the nearest airline.

10-30-2016 | 06:54 AM

#22

sailingfun

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Quote:

Originally Posted by Flytolive

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.

The difference in fuel prices at Delta from the last peak to this summer was 5 billion dollars a year.

10-30-2016 | 07:34 AM

#23

Flytolive

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Quote:

Originally Posted by sailingfun

The difference in fuel prices at Delta from the last peak to this summer was 5 billion dollars a year.

And it would be approximately the same from the trough.

10-30-2016 | 08:21 AM

#24

gloopy

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From: window seat

Quote:

Originally Posted by RawHide

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

Not only that, but many of those seats don't "feed" anything, so its only a fraction of the 20%, if that.

Like I said, there's still a role for them, but I think all outsourced RJ flying should continue to shrink.

10-30-2016 | 11:53 AM

#25

CBreezy

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Quote:

Originally Posted by Flytolive

You're incorrectly assuming that the cost of fuel is a fixed price. That is like saying, "historically, the price of milk is above average." You can't look at the average over the last 100 years because the data has increased as the years have progressed. If you analyze the data appropriately, you need to find the rate of change of fuel over the given data and find where the fuel SHOULD be based on the data and where it is. Given the data, fuel should be in the high $2. The only way to negate that positive trend would be to start the data set at the 2008 peak.

11-06-2016 | 12:24 PM

#26

gloopy

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From: window seat

Quote:

Originally Posted by Mercyful Fate

Why should it shrink?

Because its jobs outsourced to the lowest bidder that are used to not only whipsaw against the mainline but against other regionals. Its an evil vicious model whose time has come to pass. The current trend of collapsing regionals coupled with growing narrow body mainline is awesome. All signs point to it continuing.

11-06-2016 | 08:34 PM

#27

gloopy

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From: window seat

Quote:

Originally Posted by Mercyful Fate

Absolutely. RJ's are not there to help make money, they are only in place to **** off pilots and cause drama. Airlines are not out to make money, it is all about ****ing off as many people as they can.

This is why you fly an airplane and do not make any business decisions.

LOL yeah OK.

Never said anything about $%^&ing off pilots. Its our scope for our code and we control it. By not allowing them to add more cancerous large RJ's we're cutting off the last viable hope that sector has of continuing to consume the profession at DL and other airlines will likely hold the line as well. If you're at a regional, then that "airline" has a code too. Your union is free to negotiate as strong a scope clause over that code as you want to. Have at it. Meanwhile the regional sector continues to wither, as it should.

11-07-2016 | 03:55 AM

#28

GoldSealCFI

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Quote:

Originally Posted by Mercyful Fate

Why should it shrink?

Because the water is cold....

11-07-2016 | 04:58 AM

#29

Flytolive

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Quote:

Originally Posted by CBreezy

You're incorrectly assuming that the cost of fuel is a fixed price. ...above average. You can't look at the average over the last 100 years...the 2008 peak.

I hope you are debating yourself because I said none of your points. The person I was questioning used the 2008 peak as the norm which is obviously erroneous if you even glance at the data or know anything about the energy markets.

As I actually said, airlines are profitable because of their reorganizations and consolidations.

11-07-2016 | 01:57 PM

#30

idlethrust

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Quote:

Originally Posted by Geardownflaps30

AA doesn't hedge at all anymore.

However AA is in love with the rj.If things go as planned they will purchase a lot more of them.Which,in my opinion, will bite them in the arse a few years from now.