AA Assoc. signs away leverage in latest partial TA

[Jetjockey]

Southwest is profitable because they compete with higher cost (CASM) RJs, and offer a better product. Major airline managements groups keep outsourcing their product to the lowest bidders. I imagine that Southwest management celebrates every time they see another RJ. Look at why the Allegiant model works. Same premise.

 

[Flyby1206]

Southwest is profitable because they compete with higher cost (CASM) RJs, and offer a better product. Major airline managements groups keep outsourcing their product to the lowest bidders. I imagine that Southwest management celebrates every time they see another RJ. Look at why the Allegiant model works. Same premise.

Southwest's product is better than mainline legacy carriers? Really? Even if we dont count all First and Business class cabins on legacy carriers, the coach cabins are still at least on par or better than SWA.

Same as the Allegiant model?! Are you speaking out of your a$$??? Allegiant's model is COMPLETELY different than SWA or any legacy carrier.

On a related note, I would be willing to argue that RJs are a necessity in order to support a global network in a competitive major hub environment. Notice I didnt say regional airlines are a necessity, but the RJ does serve a purpose bringing high yield international traffic from small communities into the large hubs.

 

[slaquer5]

Now that SWA's fuel hedge advantage(advantage might be even too weak of a word to use) is gone they are now on the same level playing field with the legacies. In the next several years you will see much less stellar profits from them. We already saw a preview of that last quarter. UniCal and Delta beat SWA earnings badly.

International flying is much more profitable and provides more higher paying jobs than domestic flying. That is what the unions should be focused on. Not on Duluth, Minn while Emirates is ordering 50 777-300ERs in addition to their 100 A380s on order with plans to take over the world

Wow just how bad do u want to take away the flying from AA?


Who do u fly for?

Sent from my DROIDX using Tapatalk

 

[shon7]

Southwest's product is better than mainline legacy carriers? Really? Even if we dont count all First and Business class cabins on legacy carriers, the coach cabins are still at least on par or better than SWA.

Service not only includes the cabin but also the people that are supposed to take care of the customers. Mainline legacy carriers are notorious for their rude, arrogant and hostile attitude to customer service - which is why on the international product they have a LONG LONG way to go before they can compete with the likes of Emirates, Singapore, Cathay etc and on the domestic front Jetblue, Virgin and Southwest will continue to eat into marketshare.

 

[Bruno82]

I hope APA does not give on SCOPE at all. I think regional feed with jets with less than 100 seats will be too expensive in the looming pilot shortage. I'm hoping that means more domestic flying for AA (with less frequency) in areas currently served by regional jets.

 

[JonnyKnoxville]

At a buck 80 a share, they're going to declare. Why not just keep the status quo and roll the dice?

Agreed. +1

 

[777forever]

To say the business model of Emirates is completely different from American Airlines would be a gross understatement.

Dumbass RJ pilot who obviously can't see the forest for the trees would be wise to look at a globe to help deduce why Emirates needs long-range widebodies.

Who cares about the business model?!? They are all competing against each other. If my team gets their tail kicked in a football game Im not going to say its because we ran the old school power I and the other team ran the spread offense. You make your team better. European airlines and Qantas are losing their shirts, shoes, and socks against the middle east carriers. Now with the latest aircraft orders, the US is next.

What should the airlines do, start getting efficient. Management structure and pay needs to be cut drastically. US and European companies have unnecessarily big and overly complex management structures. Must be a cultural thing. Mainline pilots should KEEP their scope and get their pay increased back to respectable levels BUT pilot productivity MUST increase drastically.

http://atwonline.com/international-aviation-regulation/news/european-airlines-determining-how-counter-growing-emirates-07