B6 to Sell FIVE A-320s

[DH2WN]

Amazing what the mind can conjure up when fear takes hold.

Is this the most true statement about all pilots or what? I found myself saying the same crap as independence air when down the toilet.

I believe SWA took delivery of about 12-15 planes last year. I also believe we will be dumping them soon because it just financially sound. We will then buy new ones because it will preserve cash. I think the B6 guys are seeing a mirage in a barren desert.

Sorry guys. I know you love your airline and it is a great product but please stop the circular logic. It's embaressing.

 

[DonVersteed]

The math is a little fuzzy here. You divided it out to 6 million/year, and I'll accept that. You are assuming I believe that by having the aircraft out of service you are losing around $3 million in revenue. I don't have the numbers, but I'll believe you. If you are going to look at it that way though, you have to subtract out the costs created in order to generate that revenue. Unless you have a 100% profit margin, I am assuming it will cost $2 million to $2.5 million (using an 18% to 33% profit margin... I think I am being generous here) to generate that $3 million in revenue. Therefore, you should only be adding 1/2 to 1 million to the $3 million C-check cost which works out to 2/3 of a year payment. But then again, that is only for one year. So you are losing $2 million the first year and then $6 million a year for the next 4 years per aircraft replaced. That works out to $130 million lost over 5 years for 5 aircraft. You do, however, have the benefit of depreciation.

You've gotta be one of the Springs 130 guys I met at the deid. Got that former United, current FedEx, nose in the air stink on you. Most you guys are pretty cool, but what's up with the FedEx guys? Ran in to a couple of them out there and gotta say the arrogance maid me ill. Had to say it. My apologies If I'm mistaken.

 

[active_herk]

Well.... I was a former 130 guy, am a present FedEx guy, was never a United guy. I don't know what the "deid" is. I'm not sure why you think I have my nose in the air. I was just asking a question and trying to get an answer. I wish nothing but the best for anyone in the airline business, sorry if I've offended you in some way.

 

[regionaltard]

WTF? Might as well have the auction tomorrow.

That would be premature. It is a seven-year airline after all...........

 

[Bavarian Chef]

Well.... I was a former 130 guy, am a present FedEx guy, was never a United guy. I don't know what the "deid" is. I'm not sure why you think I have my nose in the air. I was just asking a question and trying to get an answer. I wish nothing but the best for anyone in the airline business, sorry if I've offended you in some way.

al-udeid, qatar colloquially known as "the deid"
http://www.globalsecurity.org/military/facility/al-udeid-imagery2.htm

 

[JP4user]

It is a seven-year airline after all...........

.......which is already shedding assets.

 

[JP4user]

I think the B6 guys are seeing a mirage in a barren desert.

Or they are hallucinating from too much Blue Aid.

 

[seahorse]

So they are getting rid of some airplanes... so you get stuck as an FO on that Embraer 190.... who cares because the FO rates on that are good. Sure it's only $39/hr first year, but then it goes way up... $40/hr... then $42/hr... then $44/hr. LOL

 

[B6Driver]

The real, true reason that this profession is on the decline is that pilots never pass up the opportunity to blast away at a fellow flyer. So much for sticking together as a cohesive group of professionals earning a buck in an honest profession.

Sad!

 

[IB6 UB9]

Or they are hallucinating from too much Blue Aid.

You've changed your tune over the last week or so...or are you just growing tired of masking your true colors?

 

[JP4user]

You've changed your tune over the last week or so...or are you just growing tired of masking your true colors?

My tune has always been the same. The tone is lower per moderator request.

 

[JP4user]

The real, true reason that this profession is on the decline is that pilots never pass up the opportunity to blast away at a fellow flyer. So much for sticking together as a cohesive group of professionals earning a buck in an honest profession.

Sad!

In your case that is about 2/3 rd's of a buck on the 190. Now that is sad.

 

[B6Driver]

Thanks for making my point with all your sharp whit.

"The tone is lower per moderator request."

I disagree. It is you that is sad; get a life.

 

[starvingredtail]

So to sum this up,
By getting rid of these 320's profitably and employing the 190's to open new markets while still growing at 20+ percent is a bad plan? This seems to be the emphesis. You can not think of this in terms of running your household budget. To employ your new business plan, sometimes the positioning causes a minor loss. The 320's sale is a case in point. The loss is minimal compared with the overall mechanics of the company. I think Active Herk got the picture earlier in this thread when you factor in depretiation. In the real estate market, investors shed assets after they are fully depreciated because after that point, they lose a tax/profit advantage. American is shedding 757's. In bk, Delta and NWA are threatening to shed all kinds of airplanes--and suprise! The lease rates drop. B6 is taking advantage of the "new" rates and offloading assets that are more expensive. B6 has decreased its expansion from 3X% to 2X%. This can be done by halting incoming assets (that are cheaper) or by getting rid of older assets (that are more expensive) Which do you think they should do?
STANDARD DISCLAIMER:
1. 190 rates are low. B6 leadership knows this and I trust them to fix it like they did 320 pay.
2. Cleaning the cabin is a different thought process. But no different than helping your loadmaster with a quick turn in the military. Its a Leadership/teamwork thing I am surprised more folks don't understand. (and hot young FA's smell better than loadmasters and their smiles of appreciation warm my old heart)
3. Contract/No Union--Screw ALPA. Paid dues for 8 years at NWA and recieved nothing because I was so junior. Good leadership at B6 goes a long way.

Now I return you to your previously scheduled B6 bashfest.

 

[starvingredtail]

Oh great,
I notice JP4user has had 9 cups of coffee and is chirping in with non stop drivel. Chirp on, oh man with no life. Sting us with your humorless, immature nonsence. Make us roll our eyes with your ignorance while we struggle with ourselves over whether to actually respond to you, or whether we should look for your parents and ask them to spank you. Sting on, oh bothersome gnat! Hurt us with your words. Your posts are reminesent of the Spongebob Squarepants episode where Spongebob rips his pants and he gets humorous attention, so he continues to bend over and rip his pants until he learns a valuable lesson: people burnout with the same old material over and over and over. So I think it is probably time for a new screenname so you can re-create yourself.

STANDARD DISCLAIMER:
1. 190 rates are low. B6 leadership knows this and I trust them to fix it like they did 320 pay.
2. Cleaning the cabin is a different thought process. But no different than helping your loadmaster with a quick turn in the military. Its a Leadership/teamwork thing I am surprised more folks don't understand. (and hot young FA's smell better than loadmasters and their smiles of appreciation warm my old heart)
3. Contract/No Union--Screw ALPA. Paid dues for 8 years at NWA and recieved nothing because I was so junior. Good leadership at B6 goes a long way.

Now I return you to your previously scheduled B6 bashfest.