WorldTraveler
Corn Field
- Dec 5, 2003
- 21,709
- 10,662
- Banned
- #31
actually, kil, you might want to refer to the US gov't study on the airlines. It said that bankrupt carriers do not bring down the rest of the industry nor is there any evidence that removing a carrier has resulted in any greater health to the rest of the industry. There is still way too much capacity in the industry - now and on order - for even one airline to fix the problems. It also correctly points out that there are huge incentives for many other companies to keep airlines flying. It is no surprise that GE is DL's best buddy right now and GE also is the primary investor in the industry and has the greatest risk if DL fails. Quite frankly, there is no place else GE can deploy DL's assets (including the world's largest fleet of 767s) and so GE will do what they and other creditors have done since 9/11 - prop up troubled airlines who will eventually figure out how to operate profitably - largely by reducing salaries of American workers. The strategy has worked for Wal-Mart; why shouldn't it work for airlines?