FlyerTalk Forums - View Single Post - FL turns up the heat in MKE, Skywest deal...
Old Nov 4, 2009 | 8:39 pm
  #11  
8C4IOW
 
Join Date: Feb 2009
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Originally Posted by newsmanhoss
I don't think there was any choice on the type of aircraft. SkyWest had no home for these planes...I think they approached FL about this deal. Better to have them fly at a marginal loss than not produce any cash flow at all.
I understand the situation but not the execution. It seems they are being reactive and not proactive. Is a better strategy to pull poor performing routes and increase frequencies to higher yielding routes? Or add new destinations? I don't know the answer and I am unsure the new agreement is the best strategy to create revenue for either Skywest or AirTran for reasons you have stated:
I still don't know that they'll last, though. This is a new arrangement, since SkyWest is operating them on a somewhat standalone basis, they might have to bail if not enough money is being made. It will likely be SkyWest's call whether to bail on any of these routes...FL will play a smaller role than in a typical regional airline relationship.
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