Ny Times Article

[WNrforlife]

Yeah, I get a laugh out of it, too! Only I'm not laughing at the employees, just the management. (Well, ok, I might laugh at those legacy employees who only a few years ago arrogantly rubbed their high-brow egos in the face of SWA's people. I hope we can keep it in perspective and don't fall victim to the same uncivilized behavior!)

You mean like you're doing now???? You know what they say about those that live in glass houses......

 

[corl737]

You mean like you're doing now???? You know what they say about those that live in glass houses......

... don't throw stones. If you weren't one of the rock throwers you shouldn't be concerned with my comment. It simply points out the irritation we feel toward those who arrogantly did the stone throwing for years. There, I'm done. Good luck and best wishes to those who deserve to receive it.

 

[luvn737s]

So how do you increase (Q3 YOY) ASM's by 12% and average fares by 5.8% with little appreciable decline in total costs and come out to a 90% increase in Net Income?

Call accounting. Ask 'em what they're cookin'.

http://yahoo.brand.edgar-online.com/doctra...-05-000014&nad=

 

[PHX-F/A]

i find it reprehensable that so many people are waiting for swa to fall. mind your own business and worry about the well being of your own companies. We will worry about ours as traditionally the employees all have done in the past and as usual we will make it through the tough times. :down:

It's kind of hard for the rest of to do that when WN is so predatory. rename the airline AIRSHARK

 

[mga707]

It's kind of hard for the rest of to do that when WN is so predatory. rename the airline AIRSHARK

WN "predatory"? Please! You don't know predatory until you've gotten a certain Ft. Worth-based AAirline riled up (something HP has wisely managed to avoid doing in the last 22 years). Braniff, Vanguard and Legend, R.I.P....

 

[corl737]

So how do you increase (Q3 YOY) ASM's by 12% and average fares by 5.8% with little appreciable decline in total costs and come out to a 90% increase in Net Income?

Call accounting. Ask 'em what they're cookin'.

http://yahoo.brand.edgar-online.com/doctra...-05-000014&nad=

What they're cooking are ideas on how to generate corporate profits from more lucrative activities than just airline operations!

It isn't hard to create a huge percentage increase/decrease when the starting number isn't very large. You don't seem concerned about JetBlue's 66% reduction in net.

It is unfortunate that in today's economic environment, the ability of airline management to be prudent investors is as important as their skills in actually running an airline.

 

[corl737]

It's kind of hard for the rest of to do that when WN is so predatory. rename the airline AIRSHARK

Actually, that would be ORCA to reflect our already painted aircraft. And we prefer Alaska salmon for dinner!

 

[jbguppy]

It says 500 million bucks to the bottom line.

They fly about a million trips a year (or probably will next year). 1 million flights.

They need 500 additional dollars in revenue per flight. They traditionall run a %70 load factor (although even that's going up--but we'll assume with their growth plans it remains around %70). That means (if you discount the 25 or so planes that seat 122), they are filling around 96 seats/flight.

That's roughly a five dollar increase in every fare. Since LUV basically dictates what the bottom fare is in any case, and usually raises fares $1-$3 oneway periodically, I'd say that the solution is a whopping $5 fare increase.

Two increases of $3 if it's closer to $600 million or if they really go nuts. That solves the problem, excluding any additional revenue growth or cost out.

Let's keep things in perspective before predicting Southwest's demise.

Uh Oh,
remember that is all you've got is low cost...a very simple product that costs less
More connections, less non stop, no meals, no entertainment, cattle car seating, cramped seats etc. No one is going to pay more for the bad jokes during the safety presentation by the F/A's

SWA has already passed on many fare increases "due to the cost of fuel", how are they going to convince the flying public that they should pay more "because our hedges are running out"??

Your only lever is "we cost less so fly us" You have used that to successfully compete and gain market share from nearly every airline flying in the US.

I have only two questions

1. Don't you think every other airline out there is waiting to re-visit that competitive sting back on you, and
2. What are you going to do as your low cost advantage evaporates??

You have higher employee costs than many airlines, the fuel hedge has been the anomaly in the revenue picture, as it dissappears so does your darling status, and your profitability.

Welcome to the real world, you are about to get smacked with some reality...

SWA is a one trick pony - low cost, and oops you gave your employees too many raises. Are the SWA employees ready for some givebacks? I have 2007 for your first round of concessions.

JBG

 

[WNjetdoc]

So how do you increase (Q3 YOY) ASM's by 12% and average fares by 5.8% with little appreciable decline in total costs and come out to a 90% increase in Net Income?

Call accounting. Ask 'em what they're cookin'.

http://yahoo.brand.edgar-online.com/doctra...-05-000014&nad=

I know what we are cookin', its called profits...the bigger question is what are you smokin'?? BWAHAHAHAHA

Its you again with your paranoid posts. I guess next we will see another post like a previous one from you about Herb, a barn, some horsemeat breath, a dog and some other crazy, out there, comments, :blink: .

Don't be a playa hata, B)

 

[luvn737s]

Okay, lesson learned; some folks just can't add anything to the discussion. I'll direct my comments to those who have an opinion worth considering.

 

[WNjetdoc]

Uh Oh,
remember that is all you've got is low cost...a very simple product that costs less
More connections, less non stop, no meals, no entertainment, cattle car seating, cramped seats etc. No one is going to pay more for the bad jokes during the safety presentation by the F/A's

SWA has already passed on many fare increases "due to the cost of fuel", how are they going to convince the flying public that they should pay more "because our hedges are running out"??

Your only lever is "we cost less so fly us" You have used that to successfully compete and gain market share from nearly every airline flying in the US.

I have only two questions

1. Don't you think every other airline out there is waiting to re-visit that competitive sting back on you, and
2. What are you going to do as your low cost advantage evaporates??

You have higher employee costs than many airlines, the fuel hedge has been the anomaly in the revenue picture, as it dissappears so does your darling status, and your profitability.

Welcome to the real world, you are about to get smacked with some reality...

SWA is a one trick pony - low cost, and oops you gave your employees too many raises. Are the SWA employees ready for some givebacks? I have 2007 for your first round of concessions.

JBG

Oh lord, another bitter, sad and lonely person that blames SWA for all their worldly problems. Man, by reading your post we have nothing to offer but bad stuff and we pretty much suck. The flying public is pretty much clueless by your reasoning. We are going to take pay cuts, our hedges are going away, which is another arrow in us, we wont be the darlings anymore and our profitablility is going away. Plus you welcome us to the real world and we are going to get smacked with some reality...yikes. Why so much hate? Why do you wish ill will on us? Come on, admit it, you hate us...just let it out, its not healthy to keep it in dude...Lets say it together......I HATE SWA, THEY ARE CAUSING ALL OF MY PROBLEMS, THEY SUCK AND ARE VERY MEAN TO OTHER AIRLINES.

I wish you and your airline the best of luck and I hope everything comes out smelling like roses in your life. I hope your airline makes lots and lots of money, passengers love to fly you and you get lots of pay raises. May you live long, breath fresh air forever and never have a cavity or any other problem in your life.

Now stop hating SWA, ok? Its not good for you pal, its eating you alive, Peace and may Daoism, (the path), lead you to the light my friend.

Okay, lesson learned; some folks just can't add anything to the discussion. I'll direct my comments to those who have an opinion worth considering.

Ironically you're actually referring to yourself without knowing it...funny.

 

[jbguppy]

Oh lord, another bitter, sad and lonely person that blames SWA for all their worldly problems. Man, by reading your post we have nothing to offer but bad stuff and we pretty much suck. The flying public is pretty much clueless by your reasoning. We are going to take pay cuts, our hedges are going away, which is another arrow in us, we wont be the darlings anymore and our profitablility is going away. Plus you welcome us to the real world and we are going to get smacked with some reality...yikes. Why so much hate? Why do you wish ill will on us? Come on, admit it, you hate us...just let it out, its not healthy to keep it in dude...Lets say it together......I HATE SWA, THEY ARE CAUSING ALL OF MY PROBLEMS, THEY SUCK AND ARE VERY MEAN TO OTHER AIRLINES.

I wish you and your airline the best of luck and I hope everything comes out smelling like roses in your life. I hope your airline makes lots and lots of money, passengers love to fly you and you get lots of pay raises. May you live long, breath fresh air forever and never have a cavity or any other problem in your life.

Now stop hating SWA, ok? Its not good for you pal, its eating you alive, Peace and may Daoism, (the path), lead you to the light my friend.
Ironically you're actually referring to yourself without knowing it...funny.

You are in denial if you think your company is anything other than the cheapest price (I mean used to be).
There is nothing magic about having to fly three "trips" to get from Boise to San Antonio, and it costs a lot more because you guys make more money than most airline employees.

The thing you don't get is that when other employees were making more than you "their costs were out of line in the new marketplace"

All I am saying is now that your hedges are largely going away (it gets worse after 2006), your costs will be out of line, or you will have to raise fares.

If SWA raises fares, it loses it's only appeal. It's kind of like trying to charge for a steak at the local Burger Barn.

Your burger aint worth the price you will have to charge to support your new higher cost structure.

Good Luck to you as well, no hate here, only the facts - the SWA low cost model does not work at current oil prices. (That is another smack of reality you are going to face)

Good Luck keeping your payrates, don't take it personally it is just competition.

JBG

 

[WNjetdoc]

You are in denial if you think your company is anything other than the cheapest price (I mean used to be).
There is nothing magic about having to fly three "trips" to get from Boise to San Antonio, and it costs a lot more because you guys make more money than most airline employees.

The thing you don't get is that when other employees were making more than you "their costs were out of line in the new marketplace"

All I am saying is now that your hedges are largely going away (it gets worse after 2006), your costs will be out of line, or you will have to raise fares.

If SWA raises fares, it loses it's only appeal. It's kind of like trying to charge for a steak at the local Burger Barn.

Your burger aint worth the price you will have to charge to support your new higher cost structure.

Good Luck to you as well, no hate here, only the facts - the SWA low cost model does not work at current oil prices. (That is another smack of reality you are going to face)

Good Luck keeping your payrates, don't take it personally it is just competition.

JBG

Thanks for all the luv and concern you have shown us here at SWA, you're really a swell guy!! Also thanks for the cheery post, look forward to more, BTW, have you ever thought about being a motivational speaker? You really should think about it if this airline gig doesn't work out for you, :blink: . LOL.

Perhaps if you keep making your thoughful posts on our board maybe half of us will commit suicide at which time our airline will not be able to run and we will be out of business....then you will be happy again,
. AMF.

 

[KCFlyer]

You are in denial if you think your company is anything other than the cheapest price (I mean used to be).
There is nothing magic about having to fly three "trips" to get from Boise to San Antonio, and it costs a lot more because you guys make more money than most airline employees.

Boise - San Antonio...1 stop with a change of planes in LAS. How is this costing any more than someone changing in Denver, Phoenix, or Dallas?

The thing you don't get is that when other employees were making more than you "their costs were out of line in the new marketplace"

That's what your management was telling you...Remember - the first place your managment went looking for cost reductions was labor. Southwest has looked for other methods.

All I am saying is now that your hedges are largely going away (it gets worse after 2006), your costs will be out of line, or you will have to raise fares.

Did you not notice that the latest earnings report showed a profit...even after the savings from the hedging program were factored out?

If SWA raises fares, it loses it's only appeal. It's kind of like trying to charge for a steak at the local Burger Barn.

Really? Frequency doesn't play any role in it? If what you say is true, there should never have been any fare wars going on with the legacy carriers...after all - they offered so much more for the price that customers should have flocked to them. And I'm here to tell you that if SWA raises prices, your airline (if they are smart) will raise them as well. Of course, they could come back to labor with a request for further pay and benefit cuts to maintain the "competitive edge" over SWA.

Your burger aint worth the price you will have to charge to support your new higher cost structure.

What is on the burger of the other carriers that isn't on Southwests? Assigned seats? PTV's? You sound downright PROUD to have taken pay cuts to get you BELOW the pay rate of a low fare carrier that makes a profit...and STILL have your company lose money.

Good Luck to you as well, no hate here, only the facts - the SWA low cost model does not work at current oil prices. (That is another smack of reality you are going to face)

Agai, I refer you to the earnings report...profit...even after factoring in the "savings" provided by hedging.

Good Luck keeping your payrates, don't take it personally it is just competition.

You sound jealous.

JBG

 

[WNJETFIXER]

Actually, that would be ORCA to reflect our already painted aircraft. And we prefer Alaska salmon for dinner!

Salmon sounds good, I like mine over rice. Dinner at 8