Tango is right on the money.

I'm not buying basenji's reasons for the fall in airline stocks. The primary reason for the fall in selected airline stocks (and no, they have not all fallen) is labor issues.

It wasn't fuel prices, because I recall a half-dozen fare increases last year under the excuse of "fuel costs". I'm not expecting any decreases when fuel prices fall, either.

There was a reason that United couldn't even get half of their flights on-time last summer, and it wasn't due to the "high-tech frenzy". It was labor, pure and simple. If it was an industry-wide phenomenon, then everyone would have had the same problem. They didn't. Take a look at lowly AirTran. Their stock has doubled as passengers give up on United's high prices and service problems (down 50%) and go elsewhere. It's not rocket science.

If you do not think that exceptional service impacts the stock price you are sorely mistaken. In case you haven't noticed, airline travel is a SERVICE business. Firms that provide great service keep their customers, like Southwest's annual 15%+ growth rates. Others end up in the toilet (TWA, anyone?).

I'm a PremEx, but if I absolutely need to get somewhere on time, I still fly Southwest. If it's my money, I fly the discounters. A $100 fee to change a $79 itinerary? Please.

Signed,
a United "enemy" (passenger)