Alaska profit huge!

[Old School 737]

Soaring revenue pushes
Air Group to $84 mil. profit
Bottom line boosted by more customers,
increased load factors, higher ticket prices
July 22, 2010 ― The bottom line: $84 million profit
Alaska Air Group earned a profit of $84 million in April through June, after paying taxes and adjusting for fuel hedges and Horizon CRJ-700 fleet transition costs. Under Generally Accepted Accounting Principles, the company earned a profit of $58.6 million. Combined with January through March results, Air Group’s 2010 profit so far totals $97 million — the most it has ever made during the first half of a year. Full story
View financial highlights
Listen to Air Group officers discuss the company's results with analysts and the news media at 8:30 a.m. Pacific time today.

 

[CesnaCaptn]

This is great news! Now let's stop the enabling and get our furloughed brothers and sisters back.

 

[jonjuan]

Great, however, it looks like you have some increased competition on the West Coast with VXs aircraft order and Mexico service.

 

[LoveGun]

This is great news! Now let's stop the enabling and get our furloughed brothers and sisters back.

Tell them to apply at VA. They would upgrade there much faster and also probably earn a bunch off the IPO. If you run a spreadsheet it makes more sense to work at VA than wait for a recall.

 

[turbodriver]

Tell them to apply at VA. They would upgrade there much faster and also probably earn a bunch off the IPO. If you run a spreadsheet it makes more sense to work at VA than wait for a recall.

Where do I sign up?

 

[CesnaCaptn]

Tell them to apply at VA. They would upgrade there much faster and also probably earn a bunch off the IPO. If you run a spreadsheet it makes more sense to work at VA than wait for a recall.

What assumptions did you make on your spreadsheet? I multiplied the APC Virgin Captain rate by 5% to include 401(k) match, and the Alaska FO rate by 13.5% to account for B fund contribution and the VA captain barely comes out ahead. I just don't see how a VA career could be worth more. Captain rates at Alaska are much higher, as of now we have been earning decent profit sharing and our vacation maxes out at double that of Virgin's.

 

[QCappy]

Great, however, it looks like you have some increased competition on the West Coast with VXs aircraft order and Mexico service.

I believe in the last 80 years Alaska has competed against other airlines.

Skybus had 65 Airbuses on order, too.

 

[Skybus]

Great News. Good Job everyone.

 

[Green Banana]

Skybus had 65 Airbuses on order, too.

That put a smile on my face. Thanks.

Check it out!

 

[igneousy2]

Alaska Air buys 2 more 737s from Boeing
(AP) – 3 hours ago
SEATTLE — Boeing Co. has sold two more 737-800s to Alaska Air Group for $153 million apiece, the companies said Thursday.
Alaska Air, which operates Alaska Airlines and Horizon Air, will take delivery of 13 "Next-Generation" 737s over the next several years. The carrier already has 116 737s in its fleet.
More than 125 customers have placed orders for more than 5,400 737s. Unfilled orders exceed 2,000 airplanes, Boeing said.
Boeing shares rose $3.42, or 5.4 percent, to close at $66.60. Alaska Air shares added $1.33, or 2.8 percent, to end at $49.26.

Too bad these are replacement aircraft.

 

[QCappy]

Too bad these are replacement aircraft.

According to this they're not: http://www.sec.gov/Archives/edgar/data/766421/000114036110029968/ex99-2.htm

 

[The Prussian]

Alaska Air buys 2 more 737s from Boeing
(AP) – 3 hours ago
SEATTLE — Boeing Co. has sold two more 737-800s to Alaska Air Group for $153 million apiece, the companies said Thursday.
Alaska Air, which operates Alaska Airlines and Horizon Air, will take delivery of 13 "Next-Generation" 737s over the next several years. The carrier already has 116 737s in its fleet.
More than 125 customers have placed orders for more than 5,400 737s. Unfilled orders exceed 2,000 airplanes, Boeing said.
Boeing shares rose $3.42, or 5.4 percent, to close at $66.60. Alaska Air shares added $1.33, or 2.8 percent, to end at $49.26.

Too bad these are replacement aircraft.

That can't be right...can it????

 

[CA1900]

That's good news!

I'm riding home on Alaska right now, enjoying inflight WiFi. Great service!

 

[QCappy]

That can't be right...can it????

No. Probably for the two.

From the Boeing website:

737-800 $72.5-$81.0 million

 

[redflyer65]

Wow. Alaska or Virgin, that's a tough choice...

 

[bjack]

$97 million profit for the year and they're shrinking Horizon and asking for paycuts.

 

[QCappy]

$97 million profit for the year and they're shrinking Horizon and asking for paycuts.

Horizon was only 4% of the profit. It's only going to get worse at Horizon. I hate to see it happen, but the business model isn't working.

 

[Chief Pilot]

$97 million profit for the year and still denying trip trades due to lack of adequate reserve coverage. This has gone way beyond ridiculous! The enablers need to stop.

 

[Old School 737]

There will canceled flights today due to no crew! There are no sea reserves left

 

[QCappy]

I don't know, guys. So far the premium trip pickup count is FOs 42, Captains 8.:uzi: As long as the greedy keep on being greedy, flights won't be cancelled, and nothing will change.

 

[NWaviator]

Q - Then what model should we have? As long as we lead the way in terms of per hr cost then we will always be under bid. Not trying to call you out but how do you thikn QX should run?

 

[AK737FO]

Watch Flt #67 today. Pair # 1061. With a quick glance at SEA and ANC F/O res today - it looks like #67 is going to be late at best or possibly cancelled.
What's this "pick up only" tag? I would gladly pick up a Premium trip today to drop my straight time trip tomorrow - work the same number of days and get paid more doing it.

 

[Green Banana]

Q - Then what model should we have? As long as we lead the way in terms of per hr cost then we will always be under bid. Not trying to call you out but how do you think QX should run?

I think QX has just reached it's life span as an independent branded carrier. AS keeps it small because it is owned by ALK. If it ever has loads that are too high, the route goes to AS. If it is a light, money looser, QX gets it. QX really cannot grow as an independent brand, and is not worth its cost when compared to hiring a 3rd party contract. With the comments on Brand Confusion, I would bet it will be re-branded as AS Express to help bolster the main line brand. This is the best option for it. Then at least it can operate in other parts of the country, ie Alaska, Hawaii, Cali, without everyone saying "Who is this new Verizon Airlines?"

 

[QCappy]

What's this "pick up only" tag? I would gladly pick up a Premium trip today to drop my straight time trip tomorrow - work the same number of days and get paid more doing it.

If you were to do that, your name would be placed on the "list".:angryfire It is just as bad as picking it up. You are helping them when they are short, and enabling their poor staffing model. Don't stoop to the level of the other greedy people.

 

[QCappy]

Q - Then what model should we have? As long as we lead the way in terms of per hr cost then we will always be under bid. Not trying to call you out but how do you thikn QX should run?

First off, you just identified one of the biggest problems.

Secondly, I think what you will see is more flying out of LAX to other California cities that aren't close to another airline's hub, or are inconvenient to drive to another hub, i.e. STS. Places like SBP, MTY, etc., that would introduce feed to the Alaska, Delta and American networks, and provide a small amount of business point-to-point flying.

You may also see some more intra-Cali flying from SJC and maybe SMF. I think routes like MFR-LAX, that are too long on a Q400 will dissapear and everyone will be fed through SEA, PDX, LAX, and possibly SJC. (I would love to see them put a base in ANC and use the Q400 up there, but the politics won't allow it.) That way all Q400 flights longer than about 1 1/2 hours will dissapear, unless there is absolutely no competition, where a premium price can be commanded.

After the fleet is all Q400, it will be rebranded as Alaska Express, or something, with a little eskimo on the tail. They will then contract out a 3rd party to fly Embrear 175/190s and paint them Alaska Express as well. These jets will have first class and the inflight ammenities will be the same as Alaska. Nothing in either the Horizon nor Alaska pilot contracts prevent them from doing this.

If the costs are then competitive with other regionals, they will bid to third parties for Q400 flying in other parts of the country and will not have to worry about the complaint of Horizon competing against itsself, as they did when doing the Frontier Jet Express flying.

I certainly hope I am wrong, but it seems as if managements statements about changes at Horizon/3rd party flying are showing up more frequently.

I think that about covers it.

 

[Old School 737]

If you were to do that, your name would be placed on the "list".:angryfire It is just as bad as picking it up. You are helping them when they are short, and enabling their poor staffing model. Don't stoop to the level of the other greedy people.

Where can one find "the list"?

 

[Green Banana]

Where can one find "the list"?

#1 - The first rule of THE LIST is, you do not talk about THE LIST. #2 - The second rule of THE LIST is, you DO NOT talk about THE LIST.

 

[jonjuan]

Where can one find "the list"?

It's actually the "list". It's so secret that no one knows who is on it.

 

[QCappy]

Where can one find "the list"?

You can't find the "list". It will find you.

 

[Old School 737]

Watch Flt #67 today. Pair # 1061. With a quick glance at SEA and ANC F/O res today - it looks like #67 is going to be late at best or possibly cancelled.
What's this "pick up only" tag? I would gladly pick up a Premium trip today to drop my straight time trip tomorrow - work the same number of days and get paid more doing it.

ANC Chief Pilot is flying the trip as a FO. Can they do that?