Another blow for US

http://biz.yahoo.com/djus/031111/1516001471_1.html

Yikes! They better start making some money to fend off these LCC's or they are in deep.

Bankruptcy#2 will come as a blessing to US so they can slice wages even more.

Something I was thinking about:

Two of Delta's hubs, ATL and SLC, are LCC cities (Southwest in SLC and AirTran in ATL). How come US can't survive under those conditions?

(I acknowledge this may be a stupid question)

<font face="Verdana, Arial, Helvetica, sans-serif" size="2">Originally posted by Epsilon359:
Something I was thinking about:

Two of Delta's hubs, ATL and SLC, are LCC cities (Southwest in SLC and AirTran in ATL). How come US can't survive under those conditions?
</font>

DL spent the roaring 90's honing their network - utilizing the RJ concept to the fullest potential (Comair) and maintaining their long haul route structure. US sliced and diced it's operations as it tried to keep bits and pieces of all the botched acquisitions it made (Piedmont, PSA, etc.).

About that article, the author oughta' learn how to spell Pittsburgh(he dropped the 'h' in one instance), and learn what constitutes a red-eye.

Tanner said a redeye to Los Angeles could be added soon as well.

So, what, depart PIT at 2300, arrive LAX at 00:30 local time??? that'll be a full flight....

<font face="Verdana, Arial, Helvetica, sans-serif" size="2">Originally posted by rd7242:
Another blow for US

http://biz.yahoo.com/djus/031111/1516001471_1.html</font>

Until this carrier operates at least one flight, I don't see it as much of a threat to US. Until Allegheny County does something about the costs at PIT, I don't see how an LCC could be successful based out of PIT.

Isn't $100 million almost enough to buy one airplane?

Remember -- "the easiest way to make a million bucks is to invest a billion in an airline." I think it might have been Warren Buffet who said that. http://www.flyertalk.com/forum/wink.gif

I think the planes will be leased.

A brand-new Boeing 737-700 would run around $30-$35 million ... depending on outfitting.

<font face="Verdana, Arial, Helvetica, sans-serif" size="2">Originally posted by Beckles:
Until this carrier operates at least one flight, I don't see it as much of a threat to US. Until Allegheny County does something about the costs at PIT, I don't see how an LCC could be successful based out of PIT.</font>

Simple. US does not pay the $9/pax that it costs to fly from PIT. It's rolled into the cost of the ticket.

If the LCC also rolls the $9/pax into the cost of the ticket, but the rest of the fare cost components (Eg, their cost) is lower, they can undercut US and fill planes.

The O&D market at PIT is depressed because of US and the monopoly hold on the hub not due to the costs of PIT itself. PIT loses somewhere north of half a million boardings a year according to some figures because people drive to CAK or CLE.

Airtran tried this, and it failed. However, now would be a prime time to open up a second front on US, as they are bleeding cash and have to deal with WN at PHL dropping the yield thru the floor. HP dropped PIT-(anwhere on the west coast US goes) to reasonable fare levels, and actually added flights at PIT over the last year.

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Don't feed the trolls.

<font face="Verdana, Arial, Helvetica, sans-serif" size="2">Originally posted by ClueByFour:
PIT loses somewhere north of half a million boardings a year according to some figures because people drive to CAK or CLE.
</font>

I can tell you this is true because I do it weekly. CAK is about a 45 minute drive for me, CLE about 75 minutes and PIT about 50 minutes. Everything is easier out of CLE and CAK though. Ticket counters, luggage deliver (in PIT you can expect a 45 minute wait for lugagge consistently) and price. I fly NW and CO out of both (and on occasion even PIT) but US, in my opinion, delivers less product/product quality. I'd start flying out of PIT again if they had a reliable LCC. At least on a LCC I'm not overcharged for the product I expect to receive.

[This message has been edited by fireworksboy (edited Nov 12, 2003).]

Found some more info on Roam. microbrews and transferable tickets sound nice

http://www.elliott.org/vault/oped/2003/new.htm