What is Really Wrong with Airline Industry

katbuad · 05-27-2008, 03:07 PM

Tripped over this article earlier. Kinda interesting info on how cost of fare has not increased over the years. The blogging at the bottom of the article is kinda interesting, too.
One blogger, Gman5000, states "Southwest is a profitable fuel speculation company, that happens to also run a money-losing airline." I have read that point of view in a couple differnt places. I guess that we will see when their fuel hedges come to an end.

What's Really Wrong With The Airline Industry - And Can It Be Fixed? - Seeking Alpha

Tallgrl98 · 05-27-2008, 10:10 PM

I watched an interview w/ the former AA CEO and Diane Sawyer. She kept saying, "Why should we pay more for bad service!?" If she read that article, she would understand. THanks for posting it!!

Mrs.Alchemist · 05-28-2008, 12:35 AM

Very interesting! Thank you!

pilotwife38 · 05-31-2008, 09:47 AM

Isn't SWA still buying fuel hedges? I thought that was the idea. From everything we have seen the company is in the best position of all the airlines. I am not saying this because dh is an FO with SWA. Most of our friends are flying with other majors.

Tonya

SWAFOWIFE · 05-31-2008, 11:50 AM

Yes, they are still hedged...my dh is an fo at was also. Where is your dh based? where do you guys live? Here's something I pasted on the hedging....

2007 is 95% hedged at $50/barrel;
2008 is 65% hedged at $49/barrel;
2009 is over 50% hedged at $51/barrel;
2010 is over 25% hedged at $63/barrel;
2010 is over is 15% hedged at $64/barrel;
2012 is 15% hedged at $63/barrel.

pilotwife38 · 05-31-2008, 01:33 PM

Dh is based at Baltimore but he commutes from Atlanta. It isn't a bad commute overall. It is a quality of life issue for us and my parents are a few hours away. Where is dh based? Does he like SWA? Thanks for the stats.

Tonya

SWAFOWIFE · 05-31-2008, 01:49 PM

my dh is in LAS for May Chicago for June and then back to LAS in July. He could of had MCO in July but he didn't want to sit reserve so he decided to go back to LAS. We are 2 hours from MCO so ultimately I would love dh to be based in MCO. We have never moved from our area in the 9 yrs we have been together. All our family is here so Dh has put up with 3 leg commutes to OAK & PHX but he still says it's worth it. DH went to ERAU in Daytona after he got out of the military and we met right after he graduated. It is all about quality of life!

AnnaRose · 05-31-2008, 06:22 PM

I think its crazy the prices of airline tickets today. My boyfriend told me that it is actually cheaper today to fly across the country than it was 20 years ago.

05-27-2008, 03:07 PM	#1 (permalink)
katbuad Jetgirls Plus Member Join Date: Jul 2007 Location: Nashville, TN USA Posts: 654 Recipes: Thanks: 9 Thanked 12 Times in 12 Posts	What is Really Wrong with Airline Industry Tripped over this article earlier. Kinda interesting info on how cost of fare has not increased over the years. The blogging at the bottom of the article is kinda interesting, too. One blogger, Gman5000, states "Southwest is a profitable fuel speculation company, that happens to also run a money-losing airline." I have read that point of view in a couple differnt places. I guess that we will see when their fuel hedges come to an end. What's Really Wrong With The Airline Industry - And Can It Be Fixed? - Seeking Alpha Last edited by katbuad; 05-27-2008 at 03:20 PM.

05-27-2008, 10:10 PM	#2 (permalink)
Tallgrl98 Jetgirls Member Join Date: Apr 2007 Location: Chicago, IL Posts: 119 Recipes: Thanks: 0 Thanked 0 Times in 0 Posts	Re: What is Really Wrong with Airline Industry I watched an interview w/ the former AA CEO and Diane Sawyer. She kept saying, "Why should we pay more for bad service!?" If she read that article, she would understand. THanks for posting it!!

05-28-2008, 12:35 AM	#3 (permalink)
Mrs.Alchemist Jetgirls Member Join Date: Aug 2007 Location: Anaheim Posts: 390 Recipes: Thanks: 0 Thanked 5 Times in 4 Posts	Re: What is Really Wrong with Airline Industry Very interesting! Thank you! __________________ Mrs. Alchemist AKA Sarah http://www.myspace.com/sarah_and_lola

05-31-2008, 09:47 AM	#4 (permalink)
pilotwife38 Jetgirls Member Join Date: Feb 2007 Location: GA Posts: 98 Recipes: Thanks: 0 Thanked 0 Times in 0 Posts	Re: What is Really Wrong with Airline Industry Isn't SWA still buying fuel hedges? I thought that was the idea. From everything we have seen the company is in the best position of all the airlines. I am not saying this because dh is an FO with SWA. Most of our friends are flying with other majors. Tonya

05-31-2008, 11:50 AM	#5 (permalink)
SWAFOWIFE Jetgirls Member Join Date: Dec 2007 Location: Saint Augustine, FL Posts: 111 Recipes: Thanks: 1 Thanked 4 Times in 4 Posts	Re: What is Really Wrong with Airline Industry Yes, they are still hedged...my dh is an fo at was also. Where is your dh based? where do you guys live? Here's something I pasted on the hedging.... 2007 is 95% hedged at $50/barrel; 2008 is 65% hedged at $49/barrel; 2009 is over 50% hedged at $51/barrel; 2010 is over 25% hedged at $63/barrel; 2010 is over is 15% hedged at $64/barrel; 2012 is 15% hedged at $63/barrel. __________________ Shannon Elvis has left the building bye bye Vegas base..HELLO Orlando!

05-31-2008, 01:33 PM	#6 (permalink)
pilotwife38 Jetgirls Member Join Date: Feb 2007 Location: GA Posts: 98 Recipes: Thanks: 0 Thanked 0 Times in 0 Posts	Re: What is Really Wrong with Airline Industry Dh is based at Baltimore but he commutes from Atlanta. It isn't a bad commute overall. It is a quality of life issue for us and my parents are a few hours away. Where is dh based? Does he like SWA? Thanks for the stats. Tonya

05-31-2008, 01:49 PM	#7 (permalink)
SWAFOWIFE Jetgirls Member Join Date: Dec 2007 Location: Saint Augustine, FL Posts: 111 Recipes: Thanks: 1 Thanked 4 Times in 4 Posts	Re: What is Really Wrong with Airline Industry my dh is in LAS for May Chicago for June and then back to LAS in July. He could of had MCO in July but he didn't want to sit reserve so he decided to go back to LAS. We are 2 hours from MCO so ultimately I would love dh to be based in MCO. We have never moved from our area in the 9 yrs we have been together. All our family is here so Dh has put up with 3 leg commutes to OAK & PHX but he still says it's worth it. DH went to ERAU in Daytona after he got out of the military and we met right after he graduated. It is all about quality of life! __________________ Shannon Elvis has left the building bye bye Vegas base..HELLO Orlando!

05-31-2008, 06:22 PM	#8 (permalink)
AnnaRose Jetgirls Plus Member Join Date: Apr 2008 Location: Florida Posts: 263 Recipes: Thanks: 6 Thanked 6 Times in 6 Posts	Re: What is Really Wrong with Airline Industry I think its crazy the prices of airline tickets today. My boyfriend told me that it is actually cheaper today to fly across the country than it was 20 years ago. __________________ "A person travels the world over in search of what he needs, and returns home to find it..."

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