Spirit of NKS
Gets Weekends Off
Joined: Oct 2010
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He's just a douche that thinks he's better than us, that's all. It's all good when the legacies grow, but if Spirit does it, "oh, my god, they're dumping cheap seats, that's not fair". Sounds like their moaning about the ME carriers, just because the ME carriers have a better product.
we are making 20% profit margins and have a <.06 cent CASM. They are going to have to drop their prices quite a bit lower to affect us to the point where I would get too worried. Plus there are laws against predatory pricing. They can't just one day say "let's sell all markets where we compete with spirit for $2 per seat until they go out of business". They would have to lower them slowly over time and have some plausible reason to do so. By that time we will be over 100 planes. Then if it gets to where the ULCC market can't make any money, Spirit and Frontier will merge into a large enough airline that it won't matter.
Tomorrow is the first day our contract is amendable, we still have a contract. Fly the contract, stay strong, stay SAFE!
Line Holder
Joined: Jun 2006
Posts: 1,600
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we are making 20% profit margins and have a <.06 cent CASM. They are going to have to drop their prices quite a bit lower to affect us to the point where I would get too worried. Plus there are laws against predatory pricing. They can't just one day say "let's sell all markets where we compete with spirit for $2 per seat until they go out of business". They would have to lower them slowly over time and have some plausible reason to do so. By that time we will be over 100 planes. Then if it gets to where the ULCC market can't make any money, Spirit and Frontier will merge into a large enough airline that it won't matter.
http://m.fool.com/investing/general/...lf-in-the-foot
Gets Weekends Off
Joined: Oct 2010
Posts: 4,603
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Because the company reads this stuff and can use a comment like that to use against us in arbitration.
I agree with most of what you said. While I think a merger would make us stronger in several ways, it would also bring some challenges...in fact, at that point, others will be forced to pay even more attention to us. Just food for thought.
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