LUV considers smaller aircraft?

[AJWick]

Just found this blurb on bloomberg.

Southwest Air CEO Says Carrier May Consider Adding Smaller Jets

August 29, 2003 01:00 EDT -- Southwest Airlines Co., the discount carrier that flies only Boeing 737 jetliners to keep costs low, will consider adding smaller aircraft, Chief Executive Officer James Parker said.


Anyone know anything? MLB,canyon,chase...anyone?


keep us poolies updated....

aj

http://quote.bloomberg.com/apps/news?pid=conews&tkr=LUV:US

 

[Bill Nelson]

I bet that was taken out of context.

 

[Snoopy58]

Doesn't look too badly out of context, but I think we'd all do well to remember the VAST difference between "considering" and "deciding."

If 100-seat jets make sense for JB, it would be kinda dumb for SWA to just dismiss the idea out of hand & not study the possibility. After all, JB has some smart & creative people there, and assuming that they're "just stupid" to pursue almost-RJ's as a strategy would be arrogant. So, it makes sense to try to find out what they see in them, and see if it would make similar sense for SWA.

None of that changes the facts that have made RJ's *not* a good deal for SWA in the past. As the article states, SWA has looked at & rejected the 50 and 75 seat RJ's in the past, and I wouldn't count on the economics being so different for the 100 seat jets that they become the new big thing at Southwest.

I could be wrong, but I don't think this is much of a sign of any imminent change in the SWA fleet. Southwest studies a lot of things, plenty of which don't happen.

Just plane smart!

 

[swaforme]

When I had breakfast with Herb 5 years ago the questrion of RJ's was asked. His reply was that they were, at that time just to expensive. He also stated, that if he could buy them at 14 million a copy he would take all they could build.

I think, if I remember correctly that he was refering to a 50 seat jet.

 

[jhill]

They are not much more that 14 mill right now.

 

[zymotic]

Perhaps SWA is looking at 737-600s.