Us Airways Tp Starting To Be Enacted

[funguy2]

Both moves will average down unit costs, increase loads, and increase revenue with the GoFares program.

[post="192336"][/post]​

Actually, I would expect Revenue to be flat... Go Fares will reduce fares and RASM, and ASM's increase... There may be a slight upward tick in revenue, or downward, but I don't expect a major change in revenues... The goal here is to keep the existing revenue (although growth would be great) on a lower CASM basis.

RowUnderDCA:

I had the same thought. However, since the GoFare changes will probably affect primarily last-minute fares (after all, there are plently of cheap-o 21+ day fares out and available), there is no reason to make a change, or announce it, until much closer in, unless they want to start system-wide GoFares next week (which I doubt, but with the employee cost reductions, you never know).

 

[Doc]

once the company emerges from bankruptcy.

Regards,

USA320Pilot

[post="192336"][/post]​

Don't you mean IF

 

[motnot]

The tricky part is whether the plan, should UAIR last till February, will lower RASM less than it will lower CASM. Not the least of the concerns should be competitive pressures. If UAIR is putting GoFares in DCA business markets, airlines with hubs in those business markets are likely to respond negatively.

 

[mrfish3726]

BEAR96,

I was employed at your beloved UniTED for over six years. It was un-doubtly the worst company that I have EVER worked for. The most mis-managed F'D UP company probably in the entire industry. I got smart resigned and moved back home to Denver with a company that has vision and is a success.

You keep believing in that UniTED management, your time is right around the corner. The employees at UAL will suffer the same fate as the USAIR employees are. Your pay will be taken away from you in BK court. UniTED's finacials will coninue to bleed RED INK! :blink: As each month passes, UAL management will want MORE and MORE from the labor groups. As I said before, folks like you need to get your head out of the sand, because UAL management is about to PACK it were the sun don't shine.

And I'll still state, USAIR management with their TP will continue to bleed. The judge issued them a bandaid last week in court. But by the first of the year USAIR will be in a coma and by FEB it will be useless and the plug will have to be pulled becuause USAIR will be declared brain dead. B)

 

[Light Years]

*yawn*

 

[ringmaruf]

In fact, since the transformation plan was formed with the assumption of probably $35-$40/bbl oil, one has to wonder what the effect of increase fuel costs will be to the transformation plan...

[post="192320"][/post]​

The transformation plan called for $44/bbl oil. That was quite conservative at the time, certainly more conservative than the other airlines were planning for. Unfortunately, it wasn't conservative enough.

That was my next question. Will this increase in flying be accompanied by system-wide 'GoFares?' That wasn't mentioned in the press release... I don't think.

[post="192338"][/post]​

US has been quietly rolling out GoFares in *lots* and *lots* of markets. And contrary to popular belief, plenty of these markets are without lowfare--or any--competition.

From DCA, US Airways currently offers GoFares to 63 markets: AHN, ALB, ART, ATL, AUG, BDL, BNA, BTV, BUF, CAE, CHA, CHS, CMH, CVG, DAY, DDC, EWN, FAY, FLL, FLO, GBD, GCK, GSO, GSP, HHH, HPN, HVN, HYS, ILM, IND, JAX, LAS, LEB, MCI, MCO, MHK, MHT, MSS, MSY, MYR, OAJ, OGS, ORF, PBI, PGV, PHX, PNS, PVD, PWM, RDU, RKD, ROC, RSW, SAV, SDF, SLN, SRQ, SYR, TLH, TPA, TRI, TYS, VPS.

From PHL, US Airways currently offers GoFares to 37 markets: AHN, ART, ATL, BOS, CVG, EWN, FAY, FLL, FLO, HHH, IAH, ILM, LAS, LAX, MCO, MHT, MKE, MSS, MSY, MYR, OAJ, OGS, ORD, PBI, PGV, PHX, PNS, PVD, RDU, RSW, SAN, SAV, SRQ, SYR, TLH, TPA, VPS.

From FLL, US Airways currently offers GoFares to 24 domestic markets: AOO, BDL, BOS, BWI, CKB, CLT, CVG, DCA, DUJ, EWR, EYW, FKL, HGR, HVN, IAD, JST, LGA, MCO, MGW, PHL, PIT, PVD, SBY, TPA. US Airways also offers International GoFares at FLL.

Other routes with GoFares include MCO/TPA-CAE/CHS/GSO/GSP/HGR/HSV/TRI/TYS, BOS-MCO, ABE/AOO/AVP/BFD/DUJ/ERI/FKL/IPT/JNS/LNS/MDT/PIT/SCE-DEN/LAS/LAX/PHX/SAN/SEA/SFO, and CVG to the entire domestic system.

 

[WestCoastGuy]

Mr Fish...I tend to agree about the FEB date. I suspect US will survive thru Christmas and New Years, but after that, it's pretty much a gonner. At least that might help UA survival chances.

 

[whlinder]

Actually, I would expect Revenue to be flat... Go Fares will reduce fares and RASM, and ASM's increase... There may be a slight upward tick in revenue, or downward, but I don't expect a major change in revenues... The goal here is to keep the existing revenue (although growth would be great) on a lower CASM basis.

[post="192342"][/post]​

Exactly. I'd be shocked at RASM growth in this environment unless airlines start cutting back on ASMs due to fuel (yeah right) or airlines raise their fares collectively (illegal, and WN has no reason to raise them unless they think they have some pricing power).

US could possibly acheive some RASM growth by trying to extract more revenue from the domestic F cabin, but that would probably upset FFOCUS...

 

[Bear96]

BEAR96,

I was employed at your beloved UniTED for over six years. It was un-doubtly the worst company that I have EVER worked for. The most mis-managed F'D UP company probably in the entire industry. I got smart resigned and moved back home to Denver with a company that has vision and is a success.

Like I said, you couldn't hack it at a real airline.

You keep believing in that UniTED management

You must have me confused with someone else. When did I ever say I believe in United's management?

your time is right around the corner. The employees at UAL will suffer the same fate as the USAIR employees are. Your pay will be taken away from you in BK court. UniTED's finacials will coninue to bleed RED INK! :blink: As each month passes, UAL management will want MORE and MORE from the labor groups.

No kidding. When did I ever suggest anything to the contrary? Again I think you are confusing me with someone else.

 

[Rico]

How funny...

I hear so many on here bitching about how the company has done nothing to transform itself, or to create cost savings through better efficiency...

Then when they do something you get the same screwballs giving em a hard time about how it is a mistake, and stupid, and so on.

 

[N628AU]

To say that there is an industry oversupply of seats is a fallacy. There is an oversupply of seats that cost to much to produce. If there was a blanket industry oversupply, then HP, WN, FL, and B6 would not be growing. The February schedule changes, as I stated in another thread, work of the assumption that costs, both labor and nonlabor will be in line by then, or the company will not be around to see the schedule implemented.

 

[dbcooper]

Welcome back Piney!

 

[mrfish3726]

Piney,

For the size of OUR carrier we are doing just fine. You don't hear doom and gloom from many of the LCC's, because their picking away a bit at a time. Our load factors so far for OCT have been averaging 82%. Just like everyone else, we'll have a loss (Minimal) for the 3Q, but nothing as bad as the big boys! B) Better use your FFM'S at USAIR Piney before the 1st of the year, they'll need all the business they can get from here till then :blink: . Because by FEB they'll be OUT OF BUSINESS!!!!

 

[ACrazy8]

"Drama, party of one, your table is ready........"

 

[WNjetdoc]

Actually FM, SWA fly's 415 jets to those 59 cities and will be adding 10 more this year and 29 for 2005. They are in the hunt for additional a/c as well. Just trying to get the facts straight, .

A little more info, for the first 7 months of 2004 SWA has passed DAL as the number 1 airline in the world in terms of passengers boarded, 47.5m vs 46.9m. SWA is the 6th largest in terms of passenger miles flown.

Kinda like Southwest flying 405 aircarft between only 59 cities.

[post="192276"][/post]​