Rough Skies Ahead

[BoeingBoy]

Executive Sees Rough Skies Ahead for Airline Industry
23 June 2004

Las Vegas Gaming Wire

The head of Southern Nevada's second-busiest airline painted a dismal portrait of the U.S. aviation industry Tuesday, telling a Las Vegas audience high fuel costs and rigid competition could soon permanently ground many of today's largest carriers.

Article

Jim

 

[jimntx]

Well, at least one of the LCC heads is not predicting total destruction for the legacy carriers. What's even more amazing is that he's not predicting a perfect future of ever increasing revenue and profits for the LCCs!

As to the shakeout he predicts--2-3 super legacies and a dogfight among the LCCs--I think he's right. The LCCs are running out of options as far as competing only against one or two legacies. At some point they have to start going up against each other, if they want to continue growing. Things should get real "intristin" then.

 

[delldude]

Well, at least one of the LCC heads is not predicting total destruction for the legacy carriers. What's even more amazing is that he's not predicting a perfect future of ever increasing revenue and profits for the LCCs!

As to the shakeout he predicts--2-3 super legacies and a dogfight among the LCCs--I think he's right. The LCCs are running out of options as far as competing only against one or two legacies. At some point they have to start going up against each other, if they want to continue growing. Things should get real "intristin" then.

The LCCs are running out of options as far as competing only against one or two legacies. At some point they have to start going up against each other, if they want to continue growing.

i think sooner or later they will have more seats available than flying passengers. then it will self check into a right sized national fleet,with some dying along the way.