Second quarter earnings reported-US makes profit

[28L_or_10R?]

I have found Doug Parker to be one-on-one face-to-face to be a very caustic man. A spitting cobra. He has no use for happy employees and hasn't even an acquaintance with the principles of good customer service.

However, I will give him props when it comes to shaking the money tree. He's been shaking it since the post 9-11 days and he has been shaking it since. Let's face it, if he goes, we're stuck with Kirby and then we'll be in a fine mess.

 

[N965VJ]

<SNIP> Did anyone see uncle Dougie on CNBC this morning?

Archived video linkage

 

[john john]

If we had more pax, then we would be better off, so YAAY SPECIAL ITEMS!

US load factor was around 86% hard to get more butts in seats then that

 

[insp89]

Therein lies the fundamental challenge facing US Airways. Two of the remaining 3 hubs have stiff competition from WN which drives yield down. WN with costs at least 20% less then US's 16.99 cents CASM and you have to discount to the point where you lose money on nearly every ticket sold in those markets. The monopoly routes aren't as plentiful and can no longer cover over the cost structure.

Couple this with driving away premium customers and US has a problem.

Bob, Do you have the RASM numbers for US and WN handy? Thanks in Advance.

 

[fudgerunyard]

I'd like to congratulate all of the US Airways employees on achieving profitability in the most difficult of times. When one looks at the tremendous headwinds all airlines are facing right now, it truly is no small feat. Good luck in the future as well, and that goes out to all of my fellow aviation co-workers. With a little bit of luck, and perhaps God's intervention, we'll all get through this terrible downturn no worse for wear.

 

[BoeingBoy]

All I care about is beating BoeingBoy

And you did handily. A tip of my hat to you.

Jim

 

[Elevation]

And you did handily. A tip of my hat to you.

Jim

I think you let me win out of pity

 

[USFlyer]

Couple this with driving away premium customers and US has a problem.

I still am not convinced premium passengers have left US in droves anymore than they have left all airlines. I work with a lot of travelers and no one has an issue with US. I still see lots of business folks on the many flights I take out of DCA.

 

[Itestwell]

I'd like to congratulate all of the US Airways employees on achieving profitability in the most difficult of times. When one looks at the tremendous headwinds all airlines are facing right now, it truly is no small feat. Good luck in the future as well, and that goes out to all of my fellow aviation co-workers. With a little bit of luck, and perhaps God's intervention, we'll all get through this terrible downturn no worse for wear.

And to think they did it without your beloved PTV's!

 

[Itestwell]

One way you can gauge the loss of Elites is by the DM program changes and promotions. US put back the 500 mile minimum in relatively short order as it placed them a huge competitive disadvantage. Also when you lose elites you create programs that are designed to either keep the ones left or entice new elites to switch and we've seen a ton of that activity.

I am just curious, but haven't most major airlines been offering EQM promotions over the past few months? And, just like UA and CO, US restored the 500 mile bonus for competitive reasons. Remember, though, that CO and UA tried to ditch it as well, so were they seeing Elites leave in droves as well?

None of us here will ever know what percentage have left and even in FFOCUS there are quite a few who still fly US Airways.

Really? From what you and Art and others have been saying constantly, I am truly floored by the above statement. Glad, but floored.

 

[insp89]

Bob, Do you have the RASM numbers for US and WN handy? Thanks in Advance.

[Ref. Post 37].

 

[insp89]

Therein lies the fundamental challenge facing US Airways. Two of the remaining 3 hubs have stiff competition from WN which drives yield down. WN with costs at least 20% less then US's 16.99 cents CASM and you have to discount to the point where you lose money on nearly every ticket sold in those markets. The monopoly routes aren't as plentiful and can no longer cover over the cost structure.

Couple this with driving away premium customers and US has a problem.

Bob,
I did a quick Google search, I came up with[ -US 13.72 vs. WN 10.24 CASM-] and [-US 12.46 vs.WN 10.67 RASM-]. These numbers were for 2008, did'nt find #'s for 2009. [Airlinefinancials.com.]

 

[BoeingBoy]

Bob,
I did a quick Google search, I came up with

Piney made a little mistake - he picked up the Express CASM instead of Mainline CASM (US doesn't report combined CASM)

US mainline CASM = 10.44 cents (thank goodness for lower oil prices than last year and mark-to-market gains on unsettled hedges)

US Mainline RASM = 9.42 cents
US Express RASM = 17.47 cents
US Composite RASM = 10.76 cents

WN CASM = 9.76 cents
WN RASM = 10.24 cents

Jim

 

[insp89]

Piney made a little mistake - he picked up the Express CASM instead of Mainline CASM (US doesn't report combined CASM)

US mainline CASM = 10.44 cents (thank goodness for lower oil prices than last year and mark-to-market gains on unsettled hedges)

US Mainline RASM = 9.42 cents
US Express RASM = 17.47 cents
US Composite RASM = 10.76 cents

WN CASM = 9.76 cents
WN RASM = 10.24 cents

Jim

Thanks Jim, How did you end up with the US Composite RASM number ?

 

[BoeingBoy]

That they do report...

Jim