KevAZ

From Forbes.com
http://www.forbes.com/markets/2007/0...markets11.html
In the aftermath of a full-scale operational collapse that resulted from an ice storm on the East Coast last week, beleaguered low cost-carrier, JetBlue Airways said Wednesday that it now expects a first-quarter operating loss.

The Forest Hills, N.Y. - based company said it now expects a first-quarter operating margin of negative 4% to negative 2%, compared with its previous estimate of 2% to 4% (profit.)

In general, when a company expects a negative operating margin, it's a sign that its projected sales are running behind its operating costs.

JetSet78

I can't imagine this comes as a surprise to anyone. The real question is if they can stop the bleeding at 4%.

KevAZ

Perhaps the name might morph to jetRed? I am sure that Neeleman is feeling quite blue.

Bam Bam

I still think Neeleman is in denial.

I like that, "jetRed."

The problem JetBlue faces is that this loss comes at a time when they will also, if they really want to fix their internal problems, have to make massive cash outlays to shore up a very broken system.

FWAAA

I like that.

Problem is, jetRed would better describe an airline whose primary initial equity investor was a Republican backer, and not a Democrat.

Seat13c

Many of B6's enthusist as well a few others in the aviation business are eagarly anticipating the quick demise of Virgin America. Aren't thier colors predetermined to be red? Just a thought...

TWA Fan 1

It's interesting to note the presence of a few obvious Virgin America supporters who also seem to be deeply critical of jetBlue. Of course, I understand why anyone would be critical of jetBlue after what happened on the "Valentine's Day Massacre," myself included.

Personally, I am very supportive of Virgin America getting off the ground and providing jetBlue and all the other airlines with some terrific competition.

In many ways, VA is an adaptation of the B6 business model, with the addition, of course, of 55" seat-pitch FC. Otherwise it would essentially be a premium LCC, just like B6, offering many of the same amenities (although, in all fairness, many of those were Richard Branson's innovations in the first place).

VA & B6 togehter would go a long way to build and solidify the new market segment of the premium LCC and help to create some competition for the legacies to really start improving their coach cabin product.

KevAZ

No B6 Heifer Hauler service for me, thanks. I am very interested in Virgin America's F product however. ^ ^

Intrepid

Why did JBLU lose 15% of stock value in the last 30 days?
That happened before VD.