SWA plan for 15% ROIC

[j41driver]

Here's some public math for ya....

What's the idle fuel burn per side? Say 700/hr? Fuel's what?...$3.50/gal?

700lb/hr / 60 min = 11.67lb/min /6.7lb/gal = 1.74 gal/min x $3.50/gal = $6.09/min

How many flight per day? 3200ish a good number? Lets say they only save 1 minute of fuel burn per flight.

3200 flts x 1 min x $6.09 = $19,488 per day...thats $7.1 million in annual fuel savings with just ONE less minute of fuel burn per flight. Of course it's not a trillion $$ but it's pretty significant.

Remember GK asking for ideas that save $5 per day??

 

[Crash Pad]

7.1 million. Lot of money, love to have it. I also think wasting 10 million on anything is stupid.

That said, shooting down AIP1 was worth 100 million annually. So when I hear my coworkers talking about SE taxi like its the holy grail of airline profits I find it comical. SWA lost 117 million in one quarter on a missed hedge.

Hey next we can take one Milano out of the two pack and save a couple bucks. Logo lights aren't required. SE taxi is the latte factor of airline finance.

 

[j41driver]

OK, it's not $100 million savings but when the CEO keeps talking about 15% ROIC and is asking employees to suggest ways to save $5 a day while we're still taxiing on both engines is just ridiculous.

 

[Just thinking]

Make it rain SWA!!!!!!!!!!!! 7.1 million easy money.

http://www.tmz.com/2012/06/25/daz-dillinger-make-it-rain-money-homeless-people/

 

[redflyer65]

Added together I'd say the year is looking pretty good for earnings.

1. Single Engine Taxi
2. Full -800's, and getting more every month
3. Evolve Interior conversion in full swing on the -700's
4. Codeshare turned on soon
5. Early boarding option that has already made over 500k in a few weeks

The only variable is really just fuel. And if it remains fairly stable, 15% should be obtained this year. I see the stock easily pushing past $15/share with all of the above.

 

[scoreboardII]

OK, it's not $100 million savings but when the CEO keeps talking about 15% ROIC and is asking employees to suggest ways to save $5 a day while we're still taxiing on both engines is just ridiculous.

You realize in sixty days we'll be single engine taxi?

 

[j41driver]

You realize in sixty days we'll be single engine taxi?

Yep. Still trying to wrap my head around why it's taking so. damn. long.

 

[waveflyer]

Hey next we can take one Milano out of the two pack and save a couple bucks. Logo lights aren't required. SE taxi is the latte factor of airline finance.

Wait, you have milano's

 

[Phlintstone]

Yep! Just had a two pack this afternoon on a deadhead.

Phred

 

[Jim]

I say it won't be $7.1 million but something less. If SWA single engine taxis they will either have to slow down (and we all know this is not going to happen....) or burn more gas in the one engine to maintain their current high speeds. Either would make the savings less.....