DL January Performance

[WorldTraveler]

go ahead. but I don't and didn't make RASM estimates.

 

[jcw]

Another bad month of reporting just happened

 

[WorldTraveler]

int'l was down.

and given that other carriers won't even report their RASM by region, you might want to hold onto your comments and your pants before assuming that DL is in any worse of a position than other carriers.

in fact, quite the opposite is likely to be the case given DL's strong domestic performance. in contrast, the little N. Texas shootout is bound to put a couple carriers' results "on the ice".

 

[diamondcutter]

int'l was down.and given that other carriers won't even report their RASM by region, you might want to hold onto your comments and your pants before assuming that DL is in any worse of a position than other carriers.in fact, quite the opposite is likely to be the case given DL's strong domestic performance. in contrast, the little N. Texas shootout is bound to put a couple carriers' results "on the ice".

Please go seek help !!! Folks we have all seen this personality disorder before , hmmm what prison are they in now and what harm did they inflict on others.

 

[robbedagain]

on yahoo.com  it said that DL KEY REV was down    of course someone will claim its ok bec its the widget  but God help any other airline

 

[WorldTraveler]

well, duh.
RASM is the KEY REVENUE indicator for the airline industry.

if you weren't so ignorant of what is going on, it would really be sad.

 

[topDawg]

on yahoo.com  it said that DL KEY REV was down    of course someone will claim its ok bec its the widget  but God help any other airline

pretty much. 
It would be in every thread on the AA board if AA posted a small loss in PRASM. 
Happens to delta he has to deflect and defend 

well, duh.
RASM is the KEY REVENUE indicator for the airline industry.

if you weren't so ignorant of what is going on, it would really be sad.

Tossing more stones. 

 

[jcw]

no, he is confusing month and quarter and trying to throw dirt while mixing basic units of time.DL didn't report anything that contradicts what was previously forecast.other carriers have indeed said they would have negative RASM growth for the quarter, not just the month.

So we have two months of being down can you predict how much it will need to grow in March to just get back to flat - tough one

Everyone should re-read the entire thread so one can see the spin

 

[FrugalFlyerv2.0]

 in contrast, the little N. Texas shootout is bound to put a couple carriers' results "on the ice".

 
Given that DL is #3 in N. TX, I certainly hope they're able to find their niche and soon because according to the sermons from a certain preacher wanna be, the #3 carrier in any market is doomed.

 

[WorldTraveler]

Given that DL is #3 in N. TX, I certainly hope they're able to find their niche and soon because according to the sermons from a certain preacher wanna be, the #3 carrier in any market is doomed.

so AA is in dozens of markets where DL and UA are dominant?

pstt... DL isn't trying to be the hub carrier... they fly from Texas to their hubs.

airlines have well established that they can operate to their hubs from cities around their world quite successfully. the concept only goes back to before deregulation.

And, btw, DL gets higher average fares in the local DFW markets than AA where the two directly compete - mirroring DL's domestic RASM premium.

 

[jcw]

Once again this is about DL and its prediction and guidance that it would be flat for the first Quarter and DL has put up two months of being down - it's clear DL gave incorrect guidance

 

[FrugalFlyerv2.0]

so AA is in dozens of markets where DL and UA are dominant?

pstt... DL isn't trying to be the hub carrier... they fly from Texas to their hubs.

airlines have well established that they can operate to their hubs from cities around their world quite successfully. the concept only goes back to before deregulation.

And, btw, DL gets higher average fares in the local DFW markets than AA where the two directly compete - mirroring DL's domestic RASM premium.

 
psstt .. AA gets a huge (>60%) average fare premium compared to DL on LAX-JFK (you know, a market where the two directly compete)

 

[WorldTraveler]

and they shrunk total revenue to get it.

can you show me where "shrink to profitability" strategies have worked either at a market or macro level?

Once again this is about DL and its prediction and guidance that it would be flat for the first Quarter and DL has put up two months of being down - it's clear DL gave incorrect guidance

so you know what DL's performance will be in March?

psst.... airlines adjust their guidance if they expect what they previously said to no longer be valid.

if DL needs to do it, they will. so will other carriers.

neither you or I have any information to know whether DL will make or miss their QUARTERLY guidance.

 

[FrugalFlyerv2.0]

can you show me where "shrink to profitability" strategies have worked either at a market or macro level?
 

 
Well, according to what you written ad naseum on here, it apparently worked marvelously for DL in N. TX.
Unless you were making things up.  Again.

 

[WorldTraveler]

DL didn't shrink.. it reallocated resources.

that is the part you can't seem to accept.

DL took the assets it used at DFW for hub flying and almost one for one in terms of capacity (not actual aircraft or routes) built JFK into what it is today.

and connecting commavia's endless plans about LAX with your post about N. Texas, AA was the one that pulled back at NYC as DL grew... which is why DL is now 50% larger than AA/US in NYC today.

in contrast, DL hasn't LET AA grow its market strength in LAX because DL has kept up with AA's growth.

in contrast still, AA had no choice but to LET WN grow its presence at DAL because AA underestimated the impact of opening DAL, signed away their rights to serve the airport, and WN is now making hay as fast as it will grow.

“The one thing that really – I can’t do anything about it now – bothers me about our DOJ settlement we were forced to do is that we gave Southwest a virtual monopoly on that airport,” Kirby said. “They now have 90 percent of the gates there. At American Airlines, we’d like to fly and compete with Southwest Airlines out of Love Field, but we’re not allowed to.”

He also said the first phase of Love Field expansion after Oct. 13 was “similar to what we were expecting. When you have that kind of capacity growth – in some of those markets, you have 60, 70 percent capacity growth – that drives fares lower. It’s just Economics 101. When the supply curve moves that much, prices go down, and that’s what has happened.”