Delta posts profits thanks to Govt etc..

[jarhead]

General.........

an excerpt from your above post....

"Wall Street does NOT like labor. They do not. They are out for the stock holder, and they want management to win with lower paying contracts."

This is hardly an epihany. Wall Street is about stock, and shareholer equirty. That is all they are about, and all they ever have been about. I sure hope Wall Street stays focused on Shareholder value........that's how I keep MY livelyhood going in retirement, as you no doubt will do also one day.

 

[wil]

General- you can thank your "redheaded" stepchildren (ASA,CMR) and Uncle Sam for the positive numbers! I don't give buddy passes anymore due to the high cost (300.00 international and you can buy a tik for not much more) and the fact that all our flights are over sold!! How is Delta not absolutely swamped in cash? There is no way that pilot salaries affect the bottom line that much. The high paying biz traveler is gone- for good. The internet has seen to that fact. I hope Delta fixes whatever is broke cause we have the load factors and there is no excuse not to be making money!! Fly safe- Wil

 

[80drvr]

General- you can thank your "redheaded" stepchildren (ASA,CMR) and Uncle Sam for the positive numbers

Can you substantiate this? I haven't seen a major break out a profit/loss for a wholly owned regional and would be interested in those numbers.

AMR acknowledges that RJ ASM's cost twice as much as mainline narrowbody. In a tough yield environmet, I've wondered how that makes sense other than reducing capacity while maintaining a market presence.

 

[wil]

Well, ASA has been profitable! Now, how Delta wants to issue these figures is up to them- I only know what I read off our internal newsletter and our numbers have been great! ok, except our on-time performance!
Don't let the ASM figures lead you down the wrong path. Simply put (and I'll use DFW-SAV as exp) the RJ on most routes can command premium fares. Let's say you want to fly from DFW to SAV with no connection. We have 3 daily flights. 150 seats available to the traveling public. With all the attractions of Savannah, Hilton Head, and the coastal islands (think J Lo and Ben Affleck) it is a safe bet that a lot of people want to travel to this destination. Now, since we have a limited amount of seats and people clamoring to fly direct it puts us in a good pricing senario. I know this sounds overly simplistic and I'm sorry for that but this truly is why the RJ is successful. Also, on thin markets where a city would not normally be served we get another advantageous pricing senario. And, we help mainline establish new service that hopefully will be replaced with larger equipment. I'll leave number crunching to the pilot CPA's on the board it gives me a headache! Fly safe- Wil