UA Says Traffic Fell In February

[Ex737Driver]

The real kicker is what Continental reported for February RASM performance. They gave out a range of -11.5% to -12.5% for the whole system (counting regional). That is a pretty grim number considering the amount of capacity that has come out of the entire system over the last 12 months (10-15% at most airlines).

The lower fuel prices will help, but if RASM continues to drop more this summer as the recession deepens, more capacity reductions will be required to stop the declining RASM trends.

Won't be this summer or this fall but keep an eye out for more reductions this winter as well as into 1st qtr 10. we still have guys retiring and I forsee this summer to be the worst we have ever experienced. You will see numerous CA's flying at 1 1/2 as FO's to help cover the summer schedule. The question is, what are we going to do about it?

RASM will be more than offset by the resuction in the cost of GC jet -a and the crack spread. CAL estimates are for $3.30-$4.00 a share profit in 2009.

 

[Ex737Driver]

https://www.schwab.wallst.com/retai....asp?reportType=ArgusCompanyReport&symbol=CAL

 

[Skippy]

i dont think the open time pickup - etc will be rampant/widespread at united this summer----