Chip Munn said:
The LCC/US Airways CASM is Jetblue 6 cents, Southwest 7.5 cents, AirTran 8 cents, and US Airways 9.5 cents. Furthermore, American and United have lowered there costs below US Airways and in fact now have lower labor expense than US Airways employees.
Do I like it? Nope, not one bit, but it's a fact.
The problem is principally the route network stage length for a mature carrier and that cannot be easily changed.
US Airways needs to compete on costs in LCC markets and grow into markets the LCC's cannot fly.
The challenge is getting there.
FINALLY! A true statement.
United has lowered it's CASM more than US, and the long haul flying means UA's stage length is infinitely better than US.
IMO, because of this UA is in much better shape than US, and not even close to the dire situation that you imply.
I believe that once again, US NEEDS UA more than UA needs US. You are well aware of the problem of USAir's short stage length, and as you said, it is not a situation easily remedied. You know that the only real solution to a major problem at US, is to take someone else's long haul flying. Hence your focus on UA and your hopes that UA's misfortune will be your personal windfall.
USAir, Dave and Dave, and yourself may be pushing for, hoping for, gambling on, a UCT that will solve your problems. But it is certainly not part of UA's current plan. You and I both know that if UA emerges without the need for an equity investor, and no UCT, then the future of US will certainly include more down sizing and possibly another trip to BK. US simply can not survive long term under the current environment.
With the current pilot furloughs extending all the way to within a few years of your seniority, this could be a death blow to your career. So your fear of this possibility is understandable.
I'm sure Tilton is assessing ALL options, including possibly talking to US about a worst case scenario. Perhaps a dooms day plan. That does not mean it is likely to occur. In fact I give it a less than 5 percent chance of unfolding the way you've described it.
767jetz
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QUOTE (mlt @ Oct 25 2003, 12:52 PM)
What is business to you, very well may be personal to others. When people speculate about U's demise, to many people it means losing their homes, cars, the ability to feed their families, etc. The same is true for the employees at United.
Out of decency to our fellow peers, please stop.
Well said, and thanks for your support.