That immediate network growth means Southwest will realize a faster-than-normal return on its investment – and so could investors.
In addition, the company is already building up its international bid by planning to offer flights to Europe as early as 2015. There will be more airline mergers over the coming quarters, but it’s doubtful that any will present such a strong value to shareholders.
Interesting point here....wonder where they got this info from?
Please re-read the following.
On September 27, Southwest announced that it will buy AirTran for $1.4 billion. The acquisition finally gives Southwest that coveted spot in Atlanta, as well as residence in 36 new airports. “Just by acquiring [AirTran] it allows us to expand our network 25%,” said Southwest spokesman, Paul Flanigan.
That’s potentially 25% more routes… 25% more destinations… and most importantly 25% more customers. Practically overnight. Not only that, it gives Southwest access to new international routes in Mexico and the Caribbean – a first in the company’s 40-year history.
HEY PALS! I hope you are having ONE HECK OF AN EVENING. Upon reading that article, and reading the underlined statement, I would think that means you
at SWA are GAINING AT's routes and new cities, not adding on top of what both of you had. That would be the extra 25%. There is NO WAY you could get 25% more routes, planes, airports, etc PRACTICALLY OVERNIGHT. You just can't. And, as far as growth goes, I honestly don't know of many more markets you could further exploit without getting more gates and slots. Sure, you could beef up ATL a bit more (although 25 min turns will be tough there, AT doesn't do that now), but where else is there a lot of room to grow? You are already big in DEN, PHX, LAS, MCO, TPA, FLL, MDW, MKE, BWI, etc. Can you give me some more ideas, because I can't think of any. You may increase some INTL destinations like the Caribbean and maybe Mexico (kinda dangerous down there right now), but that is about it. And, I just don't see any 737s going to Europe, even -800s. Most of your upcoming growth might be in the form of seats in the BACK of the plane, adding 737-800s and replacing older 737-300s/500s. That wouldn't really mean extra pilots, though. If you have any extra insight, please share it with the group MY BROTHERS!!! YOU GUYS ROCK!
Regardless, you guys are SUPER DUPER FANTASTIC. REALLY. AWESOME. And if you have time tonight, please do something nice for someone out there, like striking up a conversation with a toll booth operator at the Lincoln Tunnel. I know those guys love to talk for hours, even if there are extra cars waiting behind you. They are people too, with feelings. See ya!
Bye Bye---General Lee
