With regard to the fares out of SMF... WN is not oblivious to the competition... and perhaps WN believes there is less competition at SMF today than 3-4 years ago.
When UA operated United Shuttle (to LAX), IMO, WN kept one eye open and was aware that competition existed. While WN tends to drive the lower fares, in that environment, maintaining market share contributed to keeping the fares lower than you are seeing today.
I realize SMF-LAS on United was a 1-stop or change of aircraft v. WN's non-stop, but some people (me, for example, at that time) would opt for the extra miles/segments, especially when the prices were identical before PFCs and segment fees.
Today, United Shuttle is gone and WN's competition to LAX is a regional jet; they don't have to compete as heavily on price when the choice is a non-stop 737 or a connection with an RJ on one leg.
My two cents.
[This message has been edited by Nevada1K (edited 09-14-2003).]