State of the Airline
Brief recap from my poor memory of Doug’s webcast today.
All time record 3rd Qtr profit not just since merger. Only airline to do that.
Ops, best run airline among the majors.
Cash on hand 2.4 billion wants to build up some more.
Profit sharing pool is at 50 million.
4th qtr looks to be 5-10% better then last year.
Q&A
RE Mesa extension: we are saving 28 million and most importantly instead of the contract ending all at once for the 39 RJs (Which it did) they can be phased out.
RE MX closing rumors: Not true, already re-org MX and planning on sticking to what we have now with line MX and Base.
RE RJs and 1st class: Lots of laughter from the senior staff, I guess a CARE is already in work but they are not ready to announce it, but think it is a good idea.
RE Glassware in 1st: Coming to flights with food service this early 2011.
RE Mergers: AA not doable now too many problems. Frontier not possible because their labor cost are too low. Alaska is a great niche but would cost a lot to acquire and you get no synergies. Expects nothing in the next few years. Wants to keep improving and getting to the point that in 3-5 years when things are better the other big 3 are fighting over US and we can pick and choose (or stay alone) instead of having no choice.
RE China Flying: When the A350 comes but not sooner.
RE market share: Not interested in market share only flying profitable flights. Must fly where we have the advantage and that is the HUBs.
Well that was the high points best I can recall.
Brief recap from my poor memory of Doug’s webcast today.
All time record 3rd Qtr profit not just since merger. Only airline to do that.
Ops, best run airline among the majors.
Cash on hand 2.4 billion wants to build up some more.
Profit sharing pool is at 50 million.
4th qtr looks to be 5-10% better then last year.
Q&A
RE Mesa extension: we are saving 28 million and most importantly instead of the contract ending all at once for the 39 RJs (Which it did) they can be phased out.
RE MX closing rumors: Not true, already re-org MX and planning on sticking to what we have now with line MX and Base.
RE RJs and 1st class: Lots of laughter from the senior staff, I guess a CARE is already in work but they are not ready to announce it, but think it is a good idea.
RE Glassware in 1st: Coming to flights with food service this early 2011.
RE Mergers: AA not doable now too many problems. Frontier not possible because their labor cost are too low. Alaska is a great niche but would cost a lot to acquire and you get no synergies. Expects nothing in the next few years. Wants to keep improving and getting to the point that in 3-5 years when things are better the other big 3 are fighting over US and we can pick and choose (or stay alone) instead of having no choice.
RE China Flying: When the A350 comes but not sooner.
RE market share: Not interested in market share only flying profitable flights. Must fly where we have the advantage and that is the HUBs.
Well that was the high points best I can recall.
