Slot Transaction, E-190 Sale, Crew Base Closures, & Realignment Designed to Shop the Company for Sal

We keep hearing PHX makes money but no one can back it up. If they do.. it's probably on a route like PHX-SMF where there is no other non-stop competiton. When/if this merger is ever fully integrated.. watch how fast PHX shrinks.. but then again where else are they going to go?? there's no where left to run!! :lol: the clock is ticking
 
I call this a loss leader strategy, as they will take a beating in BOS and LGA from a yeild perspective.

Sure, wilbur. They set the bar with pricing because they have some of the lowest costs. They'll take a yield beating.

I'm much prefer consolidating to gain market share in already profitable markets, rather than stretch thinner into tough markets. Some people LUV Southwest though, so of course they take the position if SW is doing it, it must be smart.

You know the difference between a 20 year US or HP shareholder and a 20 year WN shareholder, right?
 
We keep hearing PHX makes money but no one can back it up. If they do.. it's probably on a route like PHX-SMF where there is no other non-stop competiton. When/if this merger is ever fully integrated.. watch how fast PHX shrinks.. but then again where else are they going to go?? there's no where left to run!! :lol: the clock is ticking

I do not know where you are hearing PHX makes money, but they would be as wrong as anyone saying PHL or CLT make money. In case you missed the last couple of years, the company has been losing money, not making it.
 
I do not know where you are hearing PHX makes money, but they would be as wrong as anyone saying PHL or CLT make money. In case you missed the last couple of years, the company has been losing money, not making it.

I'm sorry, but CLT and PHL is what's carrying this company. We've been battered by fuel and the recession, but only God knows where we'd be without those two cities carrying the water for our company. And DCA is also a soldier and soon to be an officer in the bloodletting that has been the fuel and economic crisis of the last 2 years. Once DCA obtains those extra slots from DL, we should all hope that with PHL and CLT all hands are on deck with a more beefed up and muscular presence at DCA. And then we'll see where the long term fate of our company lies. Trust me, CLT and PHL and to a lesser extent DCA are keeping us all employed.
 
PHX is now the 4th largest metro in the country and will continue to grow. The high fixed costs of the operation in the NE are spread out over a lot more seat miles with the west operation. I think there's some truth to both sides of this arguement. I.E. the west has more leisure travel which is more sensitive to the economy, but east has never been able to make it by just depending on such a heavy concentration in the NE corridor. You have to have both. And you need to be able to offer leisure destinations to your frequent flyers. I don't think you will see PHX flights reduced but you will (eventually) see more PHX flying transferred to east domiciles.
 
I'm still somewhat mystified at how airlines (not just US) allocate revenue to specific airports. For example, if I fly DCA-PHX-SEA vs. DCA-CLT-SEA, to which airport is the revenue allocated and, if multiple, how much to each? DCA? SEA? PHX? CLT? etc. There seems a lot of room for interpretation.

I could see how the revenue could be allocated to specific routes, but not specific airports. For example, US would garner revenue on the DCA-SEA route; the costs would be the airports, aircraft, fuel, staff, etc. encountered during that DCA-SEA journey.

If anyone knows how airlines (or at least US) accounts for the revenue, I'd love to know.
 
PHX is now the 4th largest metro in the country and will continue to grow. The high fixed costs of the operation in the NE are spread out over a lot more seat miles with the west operation. I think there's some truth to both sides of this arguement. I.E. the west has more leisure travel which is more sensitive to the economy, but east has never been able to make it by just depending on such a heavy concentration in the NE corridor. You have to have both. And you need to be able to offer leisure destinations to your frequent flyers. I don't think you will see PHX flights reduced but you will (eventually) see more PHX flying transferred to east domiciles.

Looking WAY back ...... a PHX hub was on Bill Howard and Piedmont Airlines wish list in the 80's. PHX is solid .... ;)
 
I'm sorry, but CLT and PHL is what's carrying this company. We've been battered by fuel and the recession, but only God knows where we'd be without those two cities carrying the water for our company. And DCA is also a soldier and soon to be an officer in the bloodletting that has been the fuel and economic crisis of the last 2 years. Once DCA obtains those extra slots from DL, we should all hope that with PHL and CLT all hands are on deck with a more beefed up and muscular presence at DCA. And then we'll see where the long term fate of our company lies. Trust me, CLT and PHL and to a lesser extent DCA are keeping us all employed.
Carrying this company where? We are losing money and cannot continue for a whole lot longer. PHL and CLT do not make any more money flying a passenger from say EWR to LAX than PHX does doing the same route. Actually, originally the West operation would have made more on that same route.

I do believe the DCA operation is a good strategy going forward, but trust me, what has kept us employed was the fact that the corporate office moved to Tempe.
 
What gates they going to use?

If SWA made a commitment to serve CLT, the airport would fall all over themselves to either find gates, or build them in short order. Way back when SWA made its first inroads into the northeast, BWI extended a concourse to make room for SWA. The construction (24/7) was completed within about 90 days.
 
Thats because WN is gate limited in PHL. So they've cut a flight or two out of the NE.. discontinued service to AUS.. a route with no competition. Big deal! Wait until they have access to more gates and the economy improves
This is not true, as there is plenty of open gate space in D/E at most times of the day. Based on what I have heard, SWA doesn't even want all of the new gates in E that are under construction.
 
but trust me, what has kept us employed was the fact that the corporate office moved to Tempe.



LOL that is laughable I am not sure all those westside transfers we are getting here would agree with you
 

Latest posts

Back
Top