Originally Posted by woodford02A

Lots of questions and few answers so far on the following items:

-How does AS compete in product-rich transcons full of established players with much deeper pockets and market tenure (ie. DL).

-Does the VX brand continue on the Airbus flying? Sounds like it won't but I cannot imagine the Alaska brand being a good for for NY-LA, NY-SF, NY-Florida flying

-How does AS convert VX loyalists who love the on-board experience and brand who will risk being forced to fly a more basic product?

Originally Posted by sfozrhfco

Completely agree. Being isolated in the PWN, AS may look great but in the rest of the world there is very little special about AS and I would never even think of connecting in SEA/PDX to go pretty much anywhere except Vancouver from SFO--and even then I would rather endure AC/UA non-stop rather than wasting time connecting.

Alaska is more than just SEA/PDX With them getting SFO its likely another hub is created

As true with any carrier and their routing PAX will question the routing. There are times I have flown between NE/GL cities on Delta/AA and had to fly through ATL/CLT. Same argument holds there.


The DCA/LGA within perimeter slots would be best sold to a competitor as neither AS nor VX have any strength at all within the Eastern half of the US. This may help AS get a little of their overpayment back but also strengthens their competitors who already have a more diversified network. Offering a mediocre product in SFO non-stop to a few destinations and then having to connect in SEA for the rest makes WN/UA and even DL/AA a lot more compelling. If you are not going to get anything special, you may as well at least gain access to a decent network. AS also just can not compete against B6's Mint product either--on price point, food, inflight entertainment or service. Without Red, good quality food, and the better seat which VX provides, they are in an even weaker position in premium transcon markets.


The only way the slot is sold if DOT requires it. AS is a west coast airline so the slots matter to them more than DL or AA or someone else

AA would never dispute AS getting the slot.


Seems AS's management has acted out of fear rather than rationality and ended up paying a ton of money which benefited all of those of us that had VX stock and sold out today, but they better think quickly about how they are going to start to pay down the huge debt they are going to be incurring. Offering the AS cabin experience and a still weak network to most of the world is just not going to be a money making proposition and will drain resources from their fight against DL in SEA.

Its actually quite rational. Its blocking B6 from getting more traction on the west coast. B6 has been more at expanding on the east coast, but not so much on the west coast

On the west coast from SEA its been mostly going to LGB or connecting there, and B6 has an ANC route

same argument on routes apply to B5 from SEA---why travel SEA-LGB-east when I could travel SEA-ORD-east.



The economies in SEA/PDX/SFO are doing great now but as many of us seen, tech goes through booms and busts just like the airlines and having all of AS's eggs in the West may very well prove to be a very big mistake. It took VX nearly its whole existence to start making money and that came during a crash in oil prices. Things won't be too pretty when the next bust comes and the "diversification" to add yet another West Coast hub may not seem too smart. They could have used their cash to invest in Apple a few months again and had a very large cushion rather than flush money down the drain.

AS is a western airline. Their eggs are just fine.

California does gain a tax windfall though for the huge gains made in the short 17 months since the IPO. Small consolation prize.