SWA plan for 15% ROIC

[dicko]

Completely disagree. I'd say more SW employees have a stake in the company than most others. Especially when it comes to US airlines.

Prove it.

 

[PropPiedmont]

prove it.

espp.

 

[redflyer65]

http://esoppartners.com/blog/bid/89137/Southwest-Airlines-Employee-Ownership-Culture

Article is a little dated at 3 years old. But at 15% employee ownership, that's more than the largest institutional investor which is Primecap.

Total employee ownership is around the 115 million shares. How was the Airtran employee stock ownership before it was sold?

From the article....



We recently mentioned Southwest Airlines when discussing a Different Way to Quantify Your Ownership Culture. http://rady.ucsd.edu/beyster/newsletter/southwest.htmlSouthwest Airlines President Emeritus Colleen Barrett on the Power of an Ownership Culture discusses how employee ownership, Open-Book Management, and an ownership culture built on trust have contributed to the success of Southwest Airlines:
At any given time, 13 to 15 percent of Southwest's stock is owned by its employees through a profit-sharing plan with the option to purchase additional stock. "Employees feel like owners because they are owners," says Colleen. "Ownership is one of the things our employees are most proud of. How can you expect people to have passion and excitement for what they do if they're not owners? We've had flight attendants and mechanics leave Southwest as millionaires."

"Everything is negotiated," says Colleen. "We give employees the opportunity to criticize and question us. Southwest doesn't often need to conduct surveys or hire consultants to determine what we are doing wrong or well. The employees tell us face-to-face year-round. We have open books, we're transparent and we're all-inclusive in telling employees what's happening.

 

[Luv2BFlyin]

speaking of surveys, were the full results of the last company wide survey ever posted anywhere?

 

[Roomwithaview]

Yes

speaking of surveys, were the full results of the last company wide survey ever posted anywhere?

Right here!

www.youtube.com/watch?v=OhohteHuyPM

 

[dicko]

I'd say more SW employees have a stake in the company than most others. Especially when it comes to US airlines.

You didn't address or prove prove any of the above contentions.

Regarding AirtTran stock. As a new hire I was given stock. I sold it when the stock more than doubled. My earnings were massive. I am a genius















before tax profit was less than $400

 

[redflyer65]

You didn't address or prove prove any of the above contentions.

Regarding AirtTran stock. As a new hire I was given stock. I sold it when the stock more than doubled. My earnings were massive. I am a genius















before tax profit was less than $400

Awesome move.

Did Airtran have a employee stock purchase plan?

 

[dicko]

Awesome move.

Did Airtran have a employee stock purchase plan?

Thanks. I'm also able to alter the outcome of horse races by betting. The horse I bet on will die from Ebola seconds after I put money down.

No idea about AirTran ESOP. I don't buy airline stock. It's best for all of us.

 

[maxblast72]

Yes, AirTran had an ESPP as well with a 10% discount. I accumulated $100/paycheck for 4 years and did quite well when Gary Kelly offered a 70% premium to the September 24, 2010 AAI closing price. Wish I had manned up and bought $500/paycheck for 4 years

I seriously doubt 15% of all outstanding AAI stock was owned by employees (although Fornaro, Leonard, and the other AirTran senior executives and board members definitely had their share).

 

[maxblast72]

Many good points discussion here. My $100 Million was based on 5th year F/O pay at 90 TFP per month +15 percent for benefits. I re ran it and it came up to $99 Million. I understand the seasonal swings in our manning here. I think we are slightly overmanned in Sept and Oct as well since almost no one flys on F/O reserve. I don't see any Capt downgrades coming because we are not upgrading at nearly the same rate that we are bringing people over the partition. The 10.2 number I stated was given to me by a captain. Maybe the number really is 10.8. The issue is that a small change in the manning model number per aircraft or number of aircraft radically changes the date of when the break even point is with retirements. If the number really is 10.8 and we stay at 700 aircraft we most likely Won't furlough. That being said if the number is becomes 10.2 or 10.5 OR we end up with fewer airframes the math changes to where a furlough looks much more likely. The things that concern me are 1. That there is no commitment for replacement aircraft for retiring 300s. 2. That there are so many AAI pilots not flying not just seasonally but anually.

Get your calculator GhettoBeechJet. You may need to do some recalculating soon.

http://www.reuters.com/article/2013...1?feedType=RSS&feedName=innovationNews&rpc=43

 

[dicko]

Get your calculator GhettoBeechJet. You may need to do some recalculating soon.

http://www.reuters.com/article/2013...1?feedType=RSS&feedName=innovationNews&rpc=43

Hmmm ...

1. Wright amendment lifted in 2014.

2. Houston: International terminal complete in 2015 at the same time as our heinous sweaty coupling. A geographically efficient base for South America
Operations. The city is the fastest growing in the U.S.A. with a large Latino population.

3. G.K. gets his 15% ROI.


"Andele Arriba" - S. Gonzales

 

[jonjuan]

http://esoppartners.com/blog/bid/89137/Southwest-Airlines-Employee-Ownership-Culture

Article is a little dated at 3 years old. But at 15% employee ownership, that's more than the largest institutional investor which is Primecap.

Total employee ownership is around the 115 million shares. How was the Airtran employee stock ownership before it was sold?

From the article....



We recently mentioned Southwest Airlines when discussing a Different Way to Quantify Your Ownership Culture. http://rady.ucsd.edu/beyster/newsletter/southwest.htmlSouthwest Airlines President Emeritus Colleen Barrett on the Power of an Ownership Culture discusses how employee ownership, Open-Book Management, and an ownership culture built on trust have contributed to the success of Southwest Airlines:
At any given time, 13 to 15 percent of Southwest's stock is owned by its employees through a profit-sharing plan with the option to purchase additional stock. "Employees feel like owners because they are owners," says Colleen. "Ownership is one of the things our employees are most proud of. How can you expect people to have passion and excitement for what they do if they're not owners? We've had flight attendants and mechanics leave Southwest as millionaires."

"Everything is negotiated," says Colleen. "We give employees the opportunity to criticize and question us. Southwest doesn't often need to conduct surveys or hire consultants to determine what we are doing wrong or well. The employees tell us face-to-face year-round. We have open books, we're transparent and we're all-inclusive in telling employees what's happening.

$15 price in 1999. $12 today. Killer investment.

 

[PropPiedmont]

$15 price in 1999. $12 today. Killer investment.

I'm sure the stock never split or exceeded $15 either.

 

[jonjuan]

I'm sure the stock never split or exceeded $15 either.

Once in 2001, 3/2. Still uuuuugly....

 

[slaquer5]

Once in 2001, 3/2. Still uuuuugly....

True, but better than money invested in NWA, UAL,AMR, DAL..... Do I need to continue ?

 

[maxblast72]

When compared to AMR, DAL, and UAL who all went from over $50/share to $0 since 1999, an increase from $15/share to $18/share ain't so bad. And out of the Big 4, LUV is the only one that doesn't currently have a stockholder deficit on their balance sheet.

 

[redflyer65]

$15 price in 1999. $12 today. Killer investment.

I'm up 60% percent, and I'm pretty sure it's going above 15...so that's another 30%, at least. Gary's 15% is starting to get traction.

 

[jonjuan]

True, but better than money invested in NWA, UAL,AMR, DAL..... Do I need to continue ?

So, now we're comparing the huge % of employees invested in luv and stock returns versus other airlines? Sounds like the winner in the 36 foot race in the speshel olimpiks. :beer:

 

[jonjuan]

I'm up 60% percent, and I'm pretty sure it's going above 15...so that's another 30%, at least. Gary's 15% is starting to get traction.

60% since when? The S&P is up 20% MORE than luv since '08. 15? It will never hit that in the next 5 years.

 

[waveflyer]

LUV will be >$20 in 3 years

Feel free to call me out in 2016