Apparently, when your only choices are either to sink like Independence Air or book a permanent berth in bankruptcy court like US Airways, you start questioning the fundamental way you do business and improve your game. The Wharton Journal
Somebody needs to wake Mr. Wharton up and remind him the USAirways has been out of bankruptcy for 5 months and that his beloved UAUA was in BK longer than any other airline in history. :down:
Quick question: which airlines are in the best financial position to withstand continued upward pressure on oil prices?
Legacy carriers. Why? Because of their significant revenue stream advantage. How insulated is Frontier from continued rise in oil prices? Are u paying attention to what's happening in Iran? If sanctions are put in place and the Iranians shut off the flow of oil exports to the West, it's gonna be game on for the ENTIRE airline industry. And the low-cost carriers are going to be feeling it harder than the legacy carriers. Just ask JetBlue how things are looking for 2006. Enjoy the ride.
