Quote:
Originally Posted by nuball5
Alaska can just have Skywest or Horizon do all their flying under Alaska Express and make more $$$, they don't need Jetblue for strictly codesharing. Their regionals already do SEA-MSP...just add a BOS leg. Jetblue's survival plan of having Alaska become a major codeshare partner still means Jetblue has to grow.... but you're right it can be done as long as JB doesn't shrink.
Our scope says to have a big domestic codeshare with Alaska we have to grow JetBlue *a little bit*. Less than any of our previous historical growth rates.
While a agree Alaska has very unwisely leaned on it's regional feed lately for some of it's growth/network, it's not likely to continue to be it's primary growth tool. The best run airline in the country is Delta (Southwest also) and Delta's strong trend the last several years has been to upgauge. More mainline as a proportion of it's overall network, fewer RJs, especially the smallest RJs. And Delta doesn't have an extreme shortage of gate space at some of it's primary hubs (MSP, DTW and ATL) like BJ and Alaska does.
Alaska and JB both have very substantial gate space shortages in it's hubs. That is likely to get worse before it gets better (never). The exception is ANC. The future is also going to be much tougher for airlines to staff the lowest paying positions (RJs). Between the slot restrictions, gate scarcity (worst at large coastal hub cities, you know BJ and Alaska hubs) and pilot short supply, leaning on RJs as your primary lever of growth will soon be more rare than an on-time BJ flight.
Also, for most primary markets with high demand, it's much lower CASM to operate mainline aircraft, like Delta is doing.
The main point of me saying that large airlines are targeting both BJ and Alaska hubs right now is that a large domestic codeshare between us allows for a more complete network for our local customers. A network that begins to compete with the big 4. Right now that is not true. So if one or both companies refuses to merge, and both companies are experiencing pressure from the big 4, a domestic codeshare is the historical way this is resolved.
Delta and Alaska used to have large domestic codeshare. There are others that escape me right now, I think NWA-Continental. The point is it allows airlines to pretend to have a larger more complete network than they really do, without having to grow and compete within each other's respective regions. Which in the case of BJ-Alaska is now almost impossible due to slot and gate shortages.
Long post, sorry.