katanabob
Keyboard user
- Joined
- Aug 22, 2002
- Posts
- 199
$.04 ?!?!? That I find hard to believe...That's like $890 per block hour. You can't even operate a B1900 for that, no way in hell you can feed and water 10000 horses and a crew of 4 for that price.
The Airbus number is accurate, a CRJ, even a 70 seater, is pushing it to be below .10, more likley .11 or .12, but whatever. The Q400 would be respectable at .09, downright heaven-sent at .08. .04 has got to be bull.
Sorry to throw a wrench into the works, but industry standard is to not add fuel/oil into the calculation of CASM. (Audit as many quarterly reports and prospectuses as you'd like, but nearly all of them in the definitions specifically exclude fuel from CASM calculations.)
I picked two references from the multitude:
http://www.fool.com/investing/general/2007/04/05/foolish-fundamentals-airline-operating-metrics.aspx
http://sec.edgar-online.com/2005/03/18/0000950124-05-001689/Section2.asp
This means that there are actually two separate numbers that contribute to the overall operating cost of the airframe: CASM and Fuel cost per ASM. (Both typically enumerated in the quarterly report or prospectus)
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