View Single Post
Old Jan 11, 13, 10:18 am
Join Date: Dec 2012
Programs: A3, AA. Plasticy things! That give me, y'know, Stuff!
Posts: 6,294
I also don't think it's lack of money. They've got the cashflow. It's lack of management ability. Look at all the numbers over the last ~3 decades - their revenue per pax km hasn't been bad, their outright volumes have been fine, and they don't pay particularly high taxes.

Given they have every reason to succeed, the only thing that is ruining them is themselves. They do have very high operating costs, but again, IMO that's simply due to amazingly bad management and poor staff. They have bloated staff rosters at virtually every level, but especially the management level.

But that's US business overall, IMO: unnecessarily high inputs for average outputs, resulting in depressed profits over the medium to long term and excessive business fragility. On a completely unrelated note, it's the exact same situation in the US farm industry: inputs are simply too high and outputs too low.
SeriouslyLost is offline