Originally Posted by
DCdeacon
Actually, I believe many of CLT's low costs are due to factors independent of US Airways and their cost structure. Namely, the airport authority is fiscally conservative and very conscious to fund airport enhancements, runway expansions, parking improvements, etc in a manner that won't get passed on to the airlines in the form of a higher CPE. I don't expect the cost per enplanement to really change even if the airline's cost structure changes.
The real question to me will be, is CLT's $0.77 CPE (which is crazy low compared to most other airports) be enough to make it viable as a connecting hub in a post merger airline despite the level of O&D traffic that you would normally associate with a hub it's size?
Costs of an airport are down the list on dictating an airlines's overall cost structure. It helps but its not a huge chunk when you look at the overall numbers. Airlines largely use this as leverage then a true impact on their costs. That said it's certainly been important to maintain in a relatively low yield hub market. But if that is the game they continue to play after the merger CLT is doomed as hub given all the other cost increases. Any hubs that have been closed or downsized, in the end the airport fees had little to do with it.