Costs

Hope777

Veteran
Aug 19, 2002
2,053
490
www.usaviation.com
USAirways:

US Airways said its mainline unit costs, excluding fuel, fell 15.6 percent to 8.4 cents between January and March.


Air Tran

Cost per available seat mile, including fuel, rose 7.7% to 8.9 cents. Excluding fuel, cost per available seat mile fell to 6.44 cents.
 
"Attention Alll Workers:
It is important to offer bonuses so as to retain good leadership.
That is all."

Now, where can I find a nice marina for the Concessions II?

OOOPS, is the microphone still on???"
 
Southwest:

1Q2005 CASM fell 1.5% to 7.70 cents INCLUDING FUEL; excluding fuel, CASM fell 3.8% to 6.32 cents. So even if US Airways mainline had gotten free fuel, costs would have been higher.
 
Still have two cents per mile to go before you are competitive with Air Tran (and probably WN and B6 as well).

You guys could work for free and it still wouldn't matter.
 
Bob, one of the biggest problems is Facilities.

USAirways feels paying rent on unused gates prevents the LLC's coming in a taking them away. So the company pays for much unused Gate and Terminal space. Do you think SWA would have 4 Gates for 11 mainline departures? Our Company thinks thats the right number. They do not care that they sit idle over 75% of the day.
 
If U insists on guaranteeing their high-cost RJ operators profits, then there's no way that they can compete with SW or Jetblew. Might have to get rid of the loser international routes as well.
 
3. Personal Fiefdoms could and must be dismantled through transfers and terminations. There is no money left to fund MPA's and other "Pets" or their projects. Performance counts.

Bob:

Good luck getting through that one. That is one
of the largest areas of inefficiency in the company.
Every department spends loads of time and money
justifying their existence by "making work" for
themselves. I know of one department that I am
familiar with that is highly bloated, but the Director
has found a way to protect "the kingdom" and
has support from those above to keep the
status quo. The culture has permeated so far
that even low level supervisory management
takes great pains to avoid streamlining so that
they can maintain their importance among
Sr. management . If you PM me, I'll tell you
more, much more.