With this latest 35M scandal,how do USAIRWAYS execs, past and present, even sleep at night?

TomBascom

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On 2/26/2003 8:53:28 AM whatkindoffreshhell wrote:

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On 2/26/2003 8:12:15 AM geo1004 wrote:

I see lots of reactions but no solutions. Don't get me wrong, I'm no fan of Wolf & Co. nor am I saying they are right.

However, as of late, these boards carry nothing but reactions. No one has stepped forward and offered a solution to either US Airways revenue decline OR the need to get costs in line with what little revenue is there. Management keeps cutting everywhere it can to make the revenue even to expenses just so the airline will stop hemoraging cash. And everytime there is a cut, everyone else curses management and screams "Off with their heads!!!".

Does anyone have constructive ideas or have the USAviation boards deteriorated to the same level as those aol boards?

I hope not...
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DING DING DING - we have a correct answer!

Wish there were some US customers here on the board to give perspective. You folks are arguing yourselves into oblivion...
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Constructive suggestion to improve revenue -- immediately redesign the reservations web page to blatantly copy the SWA approach. Present customers with all of the choices right up front. Let them elect to buy a more flexible ticket when they'd like to. SWA sells a larger percentage of full fares than anyone -- part of it is price but another part is that they make it easy instead of relentlessly steering customers to the lowest possible fare aty every turn.

Apply the same approach to the phone reservations sales process.

For extra credit (and improved productivity) simplfy the fare structure so that people will actually want to buy something other than a rock bottom priced fare.
 

AtlanticBeach

Senior
Aug 20, 2002
341
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On 2/26/2003 8:53:28 AM whatkindoffreshhell wrote:


Wish there were some US customers here on the board to give perspective. You folks are arguing yourselves into oblivion...
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Well, since you asked.

Management has been very schizophrenic since 9/11. Carribean routes are being increased, but the 10 PM bank from CLT was eliminated for a month, requiring an extra day for return travel.

Q and V fares remain historically low, but no fare rationalization at the high end. Many of those folks (including me when necessary) fly on other airlines when we need unrestricted tickets. I won't call them competetitors because US still has the best employees in the business.

Passengers are given incentives to use the web site, but it often takes multiple attempts to complete a reservation. Getting into the queue for e-upgrades from the website is more miss than hit.

More on the topic, denial of the $35MM would have required leadership and vision. Granting the bonuses is a show of simple management.

Leadership might be gained from senior officers flying on the airplanes, meeting and talking with customers and seeing how the product is being delivered. They might learn something from a FA taking care of 26 people in F on a 50 minute flight. Or how it feels to sit in a window seat on an RJ for 600 or 700 miles.

Just a few of many examples. Management is in place and functioning. Leadership and vision are missing.
 

usfliboi

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Sorry if i feel OUT OF THE LOOP, but where is the proff that this happened. I mean this all sounds wonderful for board chat but someone copy the proof and post it.... Otherwise arent we waisting our energy here? Tom swa web site sucks. Our web site has won 2 years in a row for best design and easy to navigate. Room for improvement here but i dont like swa website....
 

MrAeroMan

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Dec 29, 2002
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On 2/26/2003 8:55:48 AM DCAflyer wrote:

mrplanes wrote:

Get back the 35 million Dave GAVE those three crooks just days before the BK filing.


DCAflyer asks:

Why is everyone blaming this on Dave? The ratification for the $35 million payout would have been done at the BOD level. People need to understand basic corporate structure.
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DCA you're correct that it wasn't Dave's decision but what was stopping him from stepping up when it occurred and issuing a statement that it was taking place and that it was wrong in the light of the grave situation at U?
 

AtlanticBeach

Senior
Aug 20, 2002
341
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On 2/26/2003 11:06:25 AM usfliboi wrote:

Sorry if i feel OUT OF THE LOOP, but where is the proff that this happened. I mean this all sounds wonderful for board chat but someone copy the proof and post it.... Otherwise arent we waisting our energy here? Tom swa web site sucks. Our web site has won 2 years in a row for best design and easy to navigate. Room for improvement here but i dont like swa website....
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I'm not certain that I follow your message. I like the web site too. But only for informational purposes. Let me suggest that you try making a reservation at usirways.com. The most common problems that are encountered include;
1. The back button does not function and use thereof usually cancels the reservation.
2. The web site "times out" often, even with timely responses.
3. Even though the reservation "times out" the credit card is charged if that screen has been entered. Was recently charged for 6 reservations for the one ticket purchased, because of timing.
4. Preferred seats are not available. Should be a link from US status to unblock those seats.
5. Can not easily determine fare class. Needed to determine whether refundable (some A and B fares are refundable, some are not) or upgradeable (trans-Atlantic).

There is room for improvement and these defects should be correctable.
 

AP Tech

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Sep 4, 2002
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Everyone seems to forget those three were under contract and were due their monies as were the rest of us "bottom feeders" This just shows where priorites lie in regards to employees with U. Its funny how you can "tuck away" a 35 million payment prior to BK. I'm just glad the BK juge approved that 6mil so we can keep the current managment onboard. Just look at all the golden parachute money we are saving!!
 

DCAflyer

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Aug 27, 2002
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USflyboi, according to the Pittsburgh Post:

"As it was careening into financial ruin and ultimately Chapter 11 bankruptcy, US Airways paid $35 million in lump-sum retirement benefits to its former top three executives.

Stephen Wolf, who ran the airline for seven years and now serves as chairman of the board, received $15 million. Wolf is no longer employed by the carrier. His protege, Rakesh Gangwal, who resigned as president and CEO in November 2001, also received $15 million, and Lawrence Nagin, the airline's longtime executive vice president and general counsel who retired last March, received $5 million.

Although the payouts apparently took place at the time each of the executives retired, they didn't come to light until this week during a bankruptcy court hearing in Alexandria, Va. Disclosure of the payments was tucked into documents filed with the court last September and October."
 

RowUnderDCA

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Oct 6, 2002
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www.usaviation.com
I love USAirways.com. I don't have any of those problems. I love the listing of fares from low to high and I don't always take the low. I like it much better than UAL's or DALs.

The fare structure and marketing strategy of the airline is one subject, but I think that USAirways.com is great.

just a user, here. (I'm one of those guys that they survey to get the good results. I guess I'm an idiot.)
 

TomBascom

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On 2/26/2003 11:06:25 AM usfliboi wrote:
Tom swa web site sucks. Our web site has won 2 years in a row for best design and easy to navigate. Room for improvement here but i dont like swa website....
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Usairways.com sucks. Big time. The usability gaffes are truly breathtaking. You could write a book about it...

The "awards" that you refer to are based on self serving surveys that it would be nearly impossible to lose at -- every airline has them and every airline claims that their website is wonderful. US is in love with their own perfume on this subject.

People who buy tickets buy lots of them from SWA. They also buy more full fares on SWA. That ought to be of interest to someone in CCY.

I've bought tickets from both. Buying a ticket from SWA is an incredibly smooth process. Buying a ticket from US is a major pain. I went through it again today. It took me half an hour to do something that I could have done in about a minute and a half on SWA's site -- specifically comparing a refundable & non-refundable for the same itinerary so that I could decide whether or not to spring for the extra $$$. You'd think that someone might want to make it easy for me to make that decision...
 

usfliboi

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Aug 20, 2002
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Oh God lets not go down this road.... back to the thread subject..... Thanks for the pit link was informative... Im sure if there was foul play it will be uncovered.. Hopefully.... DAVE you owe an explanation ....
 

PITbull

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Dec 29, 2002
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On 2/26/2003 9:43:24 AM a320av8r wrote:

Exactly,
Dave has nothing to do with the bonuses, thats the BOD before they are replaced in April with Bronners crowd.
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Think Dr. Bronner and HIS CONTROLLING SEATS will behave any differently? Does he immenate any retorhic of late that gives indication that he is in anyway a fair, businessman? This is Corporate America. Who behaves diffently when it comes to CASH? You know Bronner will BECOME the new Chairman of the Board. You know our CEO will be controlled by the likes of the "bully in the sand box".

Sorry guys, he's in this "cash cow" to make millions and millions and zillions on his investment in the future, AT ANYONES EXPENSE! LET'S NOT DELUDE OURSELVES THAT IF WE SLEEP ON THIS ALL WILL BECOME BETTER TOMORROW.

This exposure is a necessary "evil".
 
OP
M

mrplanes

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Sep 17, 2002
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PitBull:

No one is going to sleep on this. Bill O'Reilly has the information and is looking into it. Yes, THAT Bill O'Reilly.

mr
 

TomBascom

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On 2/26/2003 1:31:09 PM RowUnderDCA wrote:

I love USAirways.com. I don't have any of those problems. I love the listing of fares from low to high and I don't always take the low. I like it much better than UAL's or DALs.

The fare structure and marketing strategy of the airline is one subject, but I think that USAirways.com is great.

just a user, here. (I'm one of those guys that they survey to get the good results. I guess I'm an idiot.)


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Yeah but you can only get that with flexible dates. And then when you pick actual dates you find out that your desired fare isn't really available... and then...

It's way, way too complex and inconsistent.
 

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