To ï¬￾nd proï¬￾t, carrier plans to lose more Vegas flights

[aptboeses]

LAS is a massive yield pit. Just as MCO and FLL are to a lesser extent. These destinations are around to add value to the system as a whole. I'm not saying they don't make money. They just don't command the yield premium that other destinations do.

LGA could certainly be better utilized but I do think a lot has changed since 2001. Florida in general is a disaster yield wise out of NYC due to B6, NK, FL and CO. B6 has really done an excellent job of taking a good portion of market share from the NYC market. There are opportunities out of LGA but perhaps not to the bigger markets that sound great. Focusing on stronger second tier destinations would most likely produce better results.

One issue that continues to plague US is that our costs are still higher than some of our biggest competitors. Some of these costs are inherent to the part of the country that we focus our service on and the type of carrier we are. Other costs such as labor are due to a senior workforce. Nothing can be done about that other than offering attractive buyouts and hiring off the street.

 

[V1cut]

Deja vu...all over again. This management has some decisions to make going forward...run an airline (with all that entails) or just play with numbers until there's nothing left and all the competition has walked right into our markets and wiped us out. I think I see where this is going. For the naysayers' out there: you can only "go to the well" with employees so many times...times' up. There's no more excuses for management incompetency....except the obvious: maybe they're actually incompetent.

It's irrelevent that many of the employees are at top of scale pay...RELATIVE TO WHAT? T-O-S pay on the East is FAR less than competition, and HAS BEEN for years...so, no joy there. Failed experiments like the HHD's failed for implementation and lack of forethought. Just as SWA expands all over the country, LCC contracts all over the country, why? Maybe LACK OF A PRODUCT....maybe lack of marketing strategy (tied to lack of product to market)...maybe topheavy greed based on incentivised compensation at the expense of the product as a whole? Hmmmm.

Nope, it's ALL BS...employee's cannot be blamed any longer for USAirways seeming inability to define itself....get on it, or step off.

THATS NOT OUR JOB...IT'S YOURS.

Better check yourself there, Dougie.

 

[BoeingBoy]

One issue that continues to plague US is that our costs are still higher than some of our biggest competitors.

For those wondering about a repeat of the PSA debaucle, there's the answer...cost.

PSA had relatively low costs, merged with hig- cost US, and routes in the west that had been profitable became money losers.

Fast forward to 2005, a relatively low-cost HP merged with high-cost US, and routes in the west that had been profitable became money losers.

What's ironic is some of those from the high cost East side of this merger taking apparent glee in the shrinkage of the West when that shrinkage is the result of the East side's high costs.

Jim

 

[freedom]

The wheels on the bus go round and round , round and round ,round and round!


Our company is DOA , it's just a matter of time ... flying is not a necessity ...

 

[luvthe9]

Frankly some wouldn't fly US now for free.

You got that right, There are just no seats available even for free, my last coulple of 4days full every leg every day.

 

[ussnark]

What's ironic is some of those from the high cost East side of this merger taking apparent glee in the shrinkage of the West when that shrinkage is the result of the East side's high costs.

1. I have yet to meet any east pilot who displays anything other than dismay at any shrinkage.
2. With separate lists, and, operations, I would think you would have a difficult time proving your assertion that the high costs of the east translate into westerly shrinkage.

High costs associated with west conceived operations.

1. Abysmal reservations and booking computer transition, that is on-going in it's decrepitude.
2. "Investment" of $418 million cash in derivatives, lost. How much more is "invested" similarly that we do not know about? Yet.
3. Call sign transition bungled, big time, resulting in cancelled flights and still contributes to delays.
4. Premium services for repeat customers manipulated so that many stalwart customers found relative serenity elsewhere.
5. Completely mishandled inflight charging meme, ignoring successful duty free procedures, drives more customers away.

Tell me when to stop..... :down:

I would suggest that the west operation had a marginal operation to begin with so that any increased costs and/or reduced revenue would immediately put most segments at risk.

 

[N965VJ]

You got that right, There are just no seats available even for free, my last coulple of 4days full every leg every day.

A hundred times on the blackboard-

“Full flights do not equal profitability.â€￾

 

[Pacemaker]

OTslave:

What is this company? Is it a low cost carrier or a full service airline?

Neither, and costs are the highest in the industry.

Is this a PSA acquistion all over again?

Looks that way doesn't it?

If that's the case why go through the merger in the first place.

Doing the deal made some folks a lot of money.

 

[necigrad]

WN has crew bases as mentioned in LAS. Regarding flight levels they have cut I think 7 flights a day. They've also hired many of the furloughees. They required these people to give up their recall rights and flight benefits. I've said the the one ex AWA now SWA employee I've talked to that she should tell them whatever they want to hear for the job. There is no provision to give up your recall rights or flight benefits. Say "OK", get the job, and go on with your new life. What are they going to do, fire you for quitting because you got recalled? Of course SWA is probably a step up so they wouldn't' come back...

The interesting thing though has been the connecting walkway and the repositioning of the security lanes for WN.

Previously, WN was at the end of the ticket counter, so folks had to back track, go past Baggage Claim and take a tram to the gates. Customers now have a short walk and an escalator ride to security and the choice of B or C gates.

LAS continues to build the new E terminal and that supposedly has it's own ticket counter, Baggage Claim and ticket counters. Rumors abound as to who will go out there, but the operation is too small for WN. When the economy rebounds and WN has full access to both C and B gates, WN could easily be in the 350-400 flights a day.

The walkway has been a project that was supposed to happen a few years ago, back when AWA had night flights on the "C" gates and SWA had day flights in the "B" gates. It was completed about 2 years behind schedule.

The new terminal will be Terminal 3, not "E". It will be a completly standalone terminal of (I think) 14 gates.

 

[USPHX]

Oh, and, SWA does not do red-eyes, apparently leaving that marginally "profitable niche" to US.

If night flying were more than just "marginally" profitable is there any doubt WN would be doing it? The fact is pre-merger AWE had a CASM at around 8.5 (roughly equal to WN) so could eak out a small profit with a night flight system out of LAS. Post merger AWE has a CASM of around 14 and we can no longer viably compete in many markets (including LAS) due to the increased costs brought on by integrating the east into our system.

 

[nycbusdriver]

Looks like US is handing Las Vegas on platter to SWA. It's like all US knows how to do is cut flights until there is not even an airline.

To SWA, USAir(ways) is the gift that just keeps on giving. Herb Kelleher said that years ago when Wolf was running the show and Schofield had given away the west coast (which they had purchased at great price....PSA.) The gift continued to give under Siegel and Lakefield, and now Parker continues the charity.

A hundred times on the blackboard-

“Full flights do not equal profitability.â€￾

Agreed, of course.

But then, if full flights does not equal profitability, who's dropping the ball?

SOMEBODY is.

 

[Travelpro72]

I'm no airline management professional but can we break down some costs? Why is US's so high? It sure as HELL isn't the employees. I thought because US had a lot of short stage length flights but doesn't WN? I thought it was originally because employees were all paid well but isn't WN basically the highest? I think it's a recipe of out of date thinking and new people running the show that are literally grabbing at straws to keep this baby going. What in HELL is the excuse now? I know sometimes the little people don't see the "big picture" but it just seems that some assets go to waste. That goes for both "east" AND "west". Stop handing everything over to your competitor. Continually other airlines make a success out of what US could not.

 

[Pacemaker]

Look at daily utilization of the fleet US vs. WN for starters.

 

[USPHX]

Look at daily utilization of the fleet US vs. WN for starters.

Doesn't night flying (out of LAS, for example) actually INCREASE fleet utilization?

 

[jetjok1]

Looks like US is handing Las Vegas on platter to SWA. It's like all US knows how to do is cut flights until there is not even an airline. Question though...If US ever tries to add flights back to LAS do they lose the gates and the airport tells them "sorry you pulled out" or?

Well, my first positive comment for Useless Air. We've been doing an excellent job handing the business to all the other airlines for years. Reminds me of the San Francisco Giants trading away all the good players who went on to stellar careers at the other MLB teams. Starting with the West Coast pull out including spending 10mil on the rotunda gates in SAN only to end up after the giveaway with 1 or 2 gates. PIT and soon-to-be LAS base closures, international destinations awarded only to be given away or dropped, yadda, yadda, yadda.

and for Upnaway-YGTBKM! While there have been some improvements, we are near the bottom in bags lost and complaints continue to rise. I ride transcon to get to work and I judge our "success" on talking with the people who pay my paycheck and what people have to say, well, I'm glad I travel in street clothes.

You need to understand something- We have not had any kind of reputable , smart, think-outside-the-box management for about 20 of the 25 years I've been here. And the saga continues.......