VX Launches LAX-LAS Roundtrips

[fam62c]

I'm beginning to get the feeling that it doesn't matter if VA makes money or not. For whatever reason the folks who are bankrolling the airline seem to have very deep pockets and have no problem burning up capital. They must have some type of plan, I just don't know what it is.

 

[bri5150]

I'm beginning to get the feeling that it doesn't matter if VA makes money or not. For whatever reason the folks who are bankrolling the airline seem to have very deep pockets and have no problem burning up capital. They must have some type of plan, I just don't know what it is.

I heard the only code share Singapore did before VX was with US Airways just for LAX-LAS. I am sure they had something to do with this. Also, we already serve both markets so it really doesn't cost us much to add it. We are already established in both places. Lastly, they don't really need too deep of pockets because they are getting interest on the money they loan to us. If we keep up with operational profits then they are making money.

 

[Flyer1015]

VX schedule adjustments seem to be complete, if you search online for fares and tickets. Here is what you will find:

New flights announced:

LAX-LAS Roundtrips
New city SJC to LAX,
New EWR (3x daily each from SFO and LAX)
New ANC (daily roundtrip except Tuesday)
New AUS daily

It seems SFO-FLL will be reduced to one flight daily in May, and the second flight will start again in October.

Also in May, SFO-PHL will be one flight daily. No news on when the second flight will be reinstated, probably next year. No change for the two daily LA-PHL flights.

SFO-MCO becomes about 4 times per week in May, and then is cancelled mid July with no plans to restart this. No change for the daily LA-MCO flight.

Daily flight #3 for ORD and BOS resume in May, which is normal. The winter/slow season sees ORD go to 2 flights a day, now back to 3 flights for the spring/summer/fall period.

So the only true cut is SFO-MCO. Again, LA to MCO daily flight has no change. With only 1 Airbus coming this year, and the new ANC/AUS/EWR/SJC service, the schedule changes were necessary. These seem to be positive changes, as they are responding to the market and adjusting flights as necessary to fine-tune the network.

 

[fam62c]

I heard the only code share Singapore did before VX was with US Airways just for LAX-LAS. I am sure they had something to do with this. Also, we already serve both markets so it really doesn't cost us much to add it. We are already established in both places. Lastly, they don't really need too deep of pockets because they are getting interest on the money they loan to us. If we keep up with operational profits then they are making money.

Are they making enough return to justify the credit risk to their capital? You can earn interest but if your capital never gets returned you still lose money. It's the old saying about being less concerned about return ON your investment and more concerned about the return OF your investment

 

[bri5150]

Apparently they are satisfied with the risk at this point.

 

[fam62c]

Apparently they are satisfied with the risk at this point.

That seems to be the case.