CRJ Profitability at $106/Barrel
03-07-2011, 03:13 PM
#13
Gets Weekends Off
Joined APC: Jan 2008
Position: blueJet
Posts: 4,518
Originally Posted by The Dominican
And you guys seriously think that if all the oil consumed in the US would be pulled out of the ground locally then fuel will be cheap?
Don't think so
Don't think so
But unless Montana starts blowing up daycare centers in Saskatchewan and Eskimoes begin committing suicide attacks against public buildings in Anchorage, at least there will not be the issue of "who is in charge of the oil fields and do they want Americans dead?" changing the price of gas on a daily basis.
03-07-2011, 05:31 PM
#14
Gets Weekends Off
Joined APC: Dec 2007
Position: Hot tub for now
Posts: 1,203
Do the math for yourself.
Take your burn for 1 leg. Divide by 6.7. Then times that by the cost of jet fuel/ gallon. Between 2 and $3. Divided by the number of pax.
Your number will most likely be around the $20 mark.
Ok fuel prices double. Then a pax has to pay a whopping $20 more on a $350 ticket?
Not a big deal.
Don't buy into the managements scare. If they were losing money then we wouldn't be flying them.
Take your burn for 1 leg. Divide by 6.7. Then times that by the cost of jet fuel/ gallon. Between 2 and $3. Divided by the number of pax.
Your number will most likely be around the $20 mark.
Ok fuel prices double. Then a pax has to pay a whopping $20 more on a $350 ticket?
Not a big deal.
Don't buy into the managements scare. If they were losing money then we wouldn't be flying them.
03-07-2011, 05:34 PM
#15
Line Holder
Thread Starter
Joined APC: Feb 2011
Posts: 46
Originally Posted by Utah
I've been hearing about how unprofitable the 200 is for years. For some reason though, SkyWest hasn't been parking them and has nearly a billion$ in the bank. -- They even just went out and bought another airline that operates hundreds of 50 seaters. Apparently, they're satisfied with the profit potential of the 50 seater.
Some of these "aviation experts" have been wrong for years, and they keep getting it wrong.
Some of these "aviation experts" have been wrong for years, and they keep getting it wrong.
Skywest making a profit is TOTALLY different than the CRJ being profitable. You see, the regional airline contracts provide a fixed income whether the flights are sold out or empty. Fuel is paid for by the parent company. The regionals are nothing more than a staffing company, that's all.
Look at the reduction in 50 seat flying across the industry. Less and less 50 staters are being utilized each year........as fuel cost increases. Pinnacle is flying less, comair is flying less, expressjet is flying less, just to name a few.
The "true" cost per available seat mile is what it all boils down to. And with the way these company contracts are designed, it's all smoke and mirrors when it comes to really truely knowing what the CASM actually is.
03-07-2011, 05:46 PM
#17
Can't abide NAI
Joined APC: Jun 2007
Position: Douglas Aerospace post production Flight Test & Work Around Engineering bulletin dissembler
Posts: 12,008
#3 is the United States.
But the price of oil mostly is related to those jack hole options traders in NY who don't care about wrecking the economy if they can score an unearned buck. Right now, options traders hold contracts for six times the actual, physical, product.
Hate to be this way, but our Country would be much more stable if common sense regulation of the market prevented naked options trading. IMHO a party should not be able to sell something they do not have and can not deliver. By the same token a party should not be able to buy a contract for something that does not exist, that the seller has no interest in and for which there is no intention of ever securing, or delivering. There is a place for this sort of thing and that place is Las Vegas.
But the price of oil mostly is related to those jack hole options traders in NY who don't care about wrecking the economy if they can score an unearned buck. Right now, options traders hold contracts for six times the actual, physical, product.
Hate to be this way, but our Country would be much more stable if common sense regulation of the market prevented naked options trading. IMHO a party should not be able to sell something they do not have and can not deliver. By the same token a party should not be able to buy a contract for something that does not exist, that the seller has no interest in and for which there is no intention of ever securing, or delivering. There is a place for this sort of thing and that place is Las Vegas.
03-07-2011, 05:58 PM
#19
Gets Weekends Off
Joined APC: Jul 2007
Position: 744 CA
Posts: 4,772
Originally Posted by Bucking Bar
#3 is the United States.
But the price of oil mostly is related to those jack hole options traders in NY who don't care about wrecking the economy if they can score an unearned buck. Right now, options traders hold contracts for six times the actual, physical, product.
Hate to be this way, but our Country would be much more stable if common sense regulation of the market prevented naked options trading. IMHO a party should not be able to sell something they do not have and can not deliver. By the same token a party should not be able to buy a contract for something that does not exist, that the seller has no interest in and for which there is no intention of ever securing, or delivering. There is a place for this sort of thing and that place is Las Vegas.
But the price of oil mostly is related to those jack hole options traders in NY who don't care about wrecking the economy if they can score an unearned buck. Right now, options traders hold contracts for six times the actual, physical, product.
Hate to be this way, but our Country would be much more stable if common sense regulation of the market prevented naked options trading. IMHO a party should not be able to sell something they do not have and can not deliver. By the same token a party should not be able to buy a contract for something that does not exist, that the seller has no interest in and for which there is no intention of ever securing, or delivering. There is a place for this sort of thing and that place is Las Vegas.
Thread
Thread Starter
Forum
Replies
Last Post
turk
Flight Schools and Training
29
01-13-2012 05:58 AM
