I suspect some of it is just a marketing ploy. If you look at the restrictions, it is only for Tuesday, Wednesday, and Saturdays. I agree that it doesn't make sense as a lot of these flights are full.
The 757's and 767's probably have a lower CASM than Airtran's airplanes due to the larger number of seats, but they have trouble nowadays generating a larger RASM domestically. Thus, the general shift over the last few years of the 757/767 from domestic flying to international. I believe Delta's ratio for ASM now is pretty close to 50/50 for domestic vs international (correct if I am wrong GL). Three years ago the ratio was closer to 30/70 favoring domestic.
RASM is actually over 50/50 in favor of international.
Delta's RASM is actually above the industry average now. In the past it had trailed by as much as 15%.
Wow, just looked up AirTran's numbers. Thanks to saving ~$300 an hour on crew costs, they are very competitive. I'm guessing longevity is the biggest difference.
* Delta's new seats that put 10 more passengers on board will lower their 737-800 CASM by around 7%, so an apples to apples comparison of Delta v/s AAI on 737's would be 5.2 to 5.0 CASM.
** Delta will get slaughtered on any markets where they run CRJ200's (13.4) or DC9-40/50's (9.5 to 8.8) head to head with AirTran. You can't make money when your costs are 75% to (gulp) 268% higher than your competition's.
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