Us Airways Group, Inc. Reports First Quarter 2005

[USA320Pilot]

Another point that negatively affected the quarter was the widespread belief the company would liquidate in January. This caused passengers to "book away" from the airline and management to introduce online fare sales to boost cash to maintain minimum ATSB requirements.

I understand these two issues cost the company about $100 million in lost revenue.

Regards,

USA320Pilot

 

[FWAAA]

Mainline yield down 11.5% year over year; systemwide yield down 12.7% yoy.

Mainline RASM down nearly 8% yoy and systemwide RASM down 9% yoy.

Costs going up in a fierce way (because you have to buy fuel - so it's kinda pointless to discuss x-fuel costs) and revenue going down (in a similar hurry). Where's that breakeven point again?

 

[SVQLBA]

excluding fuel

[post="265424"][/post]​

But CASM including fuel came down too. Not too shabby. US's CASM inc fuel is now less than DL and NWs at much shorter stage length. It's not WN yet by any means, but its progress.

Now, can US stop the wheels falling off the operation for long enough to build on the cost reductions and to somehow survive.

 

[RowUnderDCA]

Isn't the POR due today by according to the GE agreement?

 

[FWAAA]

But CASM including fuel came down too. Not too shabby. US's CASM inc fuel is now less than DL and NWs at much shorter stage length. It's not WN yet by any means, but its progress.

Now, can US stop the wheels falling off the operation for long enough to build on the cost reductions and to somehow survive.

[post="265511"][/post]​

CASM did decline, but by a smaller percentage than the decline in revenue. It ain't the costs that's the problem - it's that revenue is falling faster than the decline in costs.

 

[deltawatch]

"They've essentially gone after all the easily manageable issues. Now it's up to (US Airways) management to do the hard work and reform the business model," said Robert Mann, an independent consultant based in Port Washington, New York.

http://biz.yahoo.com/rb/050429/airlines_us...earns.html?.v=2

 

[RowUnderDCA]

oil dipped below $50 again today. It'll probably rally.