Originally Posted by
bernardd
Presumably that would leave WN piling up cash? Wonder what they would do with it? Our, under your scenario, what they would be allowed to do with it?
Quite frankly the highly-unionized work force would probably get a lot of it, making them even more well compensated compared to their industry peers. I would imagine some of it would be used then to provide an even better product to differentiate itself further from the service provided by other carriers.
Originally Posted by
theblakefish
They're still way better than UA, US, AA, DL, NW, and yes, even WN in almost all facets, IMO, but the differing labor cost structures of those airlines post-bankruptcy have changed the rules a bit, and CO's previous (and admirable) business structure prevented it from going belly-up, but now they are at a distinct cost disadvantage as compared to UA, the new DL, etc...just because they did things right.
Originally Posted by
Beckles
That is an awfully short historical view, CO has been bankrupt as many times in the past 30 years as UA and DL combined.
Originally Posted by
theblakefish
You think so?
Yeah, I do, because I don't see how a business structure can so "admirable" if it only came around after two bankruptcies. Yeah, CO is doing some good things now, but quite frankly they did get the benefit of bankruptcy in the not too distant past (twice) and they still can't consistently make money anyway. What's so admirable exactly? I don't think it's fair to claim DL and UA have some great advantage because they each went through bankruptcy recently just because CO hasn't gone through bankruptcy
lately.